Quality Investor

AMETEK, Inc.

Rank #401Capital Return

AME · NYSE · Industrials

AMETEK, Inc. (AME) — Rank #401 by gross profitability (GP/assets 0.16) · ROE 13.1% · Piotroski F-Score 6 / 9.

As-of 2026-09-15 · CIK 0001037868 · all metrics point-in-time as of the filing date.

About

AMETEK, Inc. manufactures and sells electronic instruments (EIG) and electromechanical (EMG) devices in the United States and internationally.

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It operates through EIG and EMG segments. The company offers advanced instruments for the process, aerospace, power, and industrial markets; process and analytical instruments for the oil and gas, petrochemical, pharmaceutical, semiconductor, automation, and food and beverage industries; instruments to the laboratory equipment, ultra-precision manufacturing, medical, and test and measurement markets; power quality monitoring and metering devices, uninterruptible power supplies, programmable power and electromagnetic compatibility test equipment, and gas turbines sensors; dashboard instruments for heavy trucks and other vehicles; instrumentation and controls for food and beverage industries; and aircraft and engine sensors, embedded computing, monitoring, power supplies, fuel and fluid measurement, and data acquisition systems for aerospace and defense industry. It also provides engineered medical components and devices, automation solutions, thermal management systems, specialty metals, and electrical interconnects; single-use and consumable surgical instruments, implantable components, and drug delivery systems; engineered electrical connectors and electronics packaging; precision motion control products for data storage, medical devices, business equipment, automation, and other application; high-purity powdered metals, strips and foils, specialty clad metals, and metal matrix composites; motor-blower systems and heat exchangers for thermal management, military and commercial aircraft, and military ground vehicles; and motors used in commercial appliances, food and beverage machines, hydraulic pumps, and industrial blowers, as well as operates a network of aviation maintenance, repair, and overhaul facilities. AMETEK, Inc.

was incorporated in 1930 and is headquartered in Berwyn, Pennsylvania.

Industry
Specialty Industrial Machinery
Sector
Industrials
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
December 31
Website
ametek.com

Price History

AME+84.5% · +13.0% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

$53.49B

P/E (annual)

36.5

P/S (annual)

7.2

P/B

4.8

P/OCF (annual)

29.7

Shareholder Yield

0.9%

Employees

22,500

Industry

Specialty Industrial Machinery

Exchange

NYSE

Signal Flags

5 green
Revenue growth acceleratingGrowth rate increasing year over year
Operating leverage expandingOperating income growing faster than revenue
Deferred revenue growingRevenue and deferred revenue both growing — retention signal
RPO outpacing revenueRemaining performance obligations growing faster than recognized revenue — forward demand building
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak

Quality Profile

Profitability

1/1 pass
GP / assets
0.16
Return on equity
13.1%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.47
Current ratio
1.21×
Net cash
-$1.54B

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
0.6%

Growth

2/2 pass
Revenue growth
6.6%
Piotroski F-Score
6 / 9
Share dilution
-0.4%

Terry Smith quality gate

Passes 2/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

14.2%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Buyback tailwind: -0.4% — per-share value needs a total required return of 13.8% once share-count change is priced in.

vs. own 6-year median revenue growth: 5.9%

priced above its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

9.5%

r = 10% (base)

14.2%

r = 12%

18.3%

Net debt / market cap: 2.9%

Base FCF: $1.7B3Y mean FCF: $1.7B

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

36.5xExpensive
7.5xmed 23.6x37.7x

P / S

Price / revenue per share

7.3xExpensive
0.7xmed 3.3x7.3x

P / B

Price / book value per share

5.1xExpensive
1.2xmed 4.1x5.8x

P / GP

Price / gross profit per share

20.2xFair
17.7xmed 19.3x20.4x

P / FCF

Price / free cash flow per share

32.3xExpensive
5.6xmed 20.0x43.3x

FCF yield, shareholder yield, and buyback activity are the primary reads at this stage.

Profitability

Gross profitability (GP / assets)

0.16

Primary signal (Novy-Marx).

6th pctl of 37 SIC 38 peers

Return on equity

13.1%

Gross margin

36.0%

17th pctl of 37 SIC 38 peers

Revenue growth (YoY)

6.6%

RPO growth (YoY)

15.8%

Remaining performance obligations growth — RPO > revenue = forward demand building.

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

6.4%

Revenue CAGR (5Y)

Earnings CAGR (3Y)

8.5%

FCF CAGR (3Y)

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.47

79th pctl of 35 SIC 38 peers (best = lowest)

Current ratio

1.21×

0th pctl of 36 SIC 38 peers

Quick ratio

0.63×

Net cash

-$1.54B

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$1.67B

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

0.13

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.6%

Stock-based comp intensity.

Dividend safety

Composite score

3.8 / 5

Good
Payout ratio
19.3%5/5 Strong
FCF coverage
5.86×5/5 Strong
Dividend growth streak
6 yr3/5 Good
Balance-sheet health
D/E 0.47 · IC N/A2/5 Fair

Piotroski F-Score

F-Score

6 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20122025
Capital Return