Applied Industrial Technologies, Inc. AIT

IndustrialsMachinery, Tools, Heavy Vehicles, Trains & ShipsUnited States of America

Last close 298.50 USD on Nov 2, 2026, +16.8% year to date

Quant rating

Quant rating B Rank 82 of 486 in Industrials

Growth C 280 of 486
Valuation C 215 of 486
Quality A 27 of 486
Revisions B 96 of 486
Momentum C 269 of 486

Wall Street consensus Buy (1.89)Average target 373.46 USD +25.1%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 10.9B
Enterprise value: 11.1B
52-week range: 238.94 – 374.80
3-year range: 154.87 – 374.80
Dividend yield: 0.69%
Beta (5 years): 0.86
Shares outstanding: 36.5M
Next earnings: Jan 25, 2027

About the company

Applied Industrial Technologies, Inc. is a value-added distributor and technical solutions provider of industrial motion, fluid power, flow control, automation technologies, and related maintenance supplies. The Company’s segments include Service Center and Engineered Solutions. The Service Center segment operates through local service centers and distribution centers with a focus on providing products and services addressing the maintenance and repair of motion control infrastructure and production equipment. Its products include industrial bearings, motors, belting, drives, couplings, pumps, linear motion products, hydraulic and pneumatic components, filtration supplies, and hoses. The Engineered Solutions segment includes operations that specialize in distributing, engineering, designing, integrating, and repairing hydraulic and pneumatic fluid power technologies, and engineered flow control products and services.

Growth and profitability fiscal year ends June 30

Growth and profitability by fiscal year
	2026	2025	2024	2023	2022	5Y avg
Revenue (mil)	4,967	4,563	4,479	4,413	3,811	–
Revenue growth	8.8%	1.9%	1.5%	15.8%	17.8%	8.9%
EPS (basic, normalized)	10.95	10.12	9.83	8.84	6.58	–
EPS growth	8.2%	3.0%	11.2%	34.3%	–	–
Gross margin	30.3%	30.3%	29.8%	29.2%	29.0%	29.7%
Net margin	8.3%	8.6%	8.6%	7.9%	6.8%	8.0%
ROE	22.4%	22.2%	24.5%	26.6%	24.7%	24.1%

Balance sheet, last quarter
Cash & short-term investments (mil)	112
Current ratio	2.89x
Long-term debt (mil)	282
Net debt (mil)	170
Total equity (mil)	1,884
Net debt / equity	0.09x
Net debt / EBITDA	0.28x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			EBITDA (mil)			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	EV/EBITDA	Mean est.	Growth	P/E
2026 actual	4,967	+8.8%	2.2x	618	+10.7%	17.9x	10.95	+8.2%	27.3x
2027	5,270	+6.1%	2.1x	665	+7.6%	16.6x	12.11	+10.6%	24.6x
2028	5,566	+5.6%	2.0x	718	+7.9%	15.4x	13.24	+9.3%	22.5x
2029	5,789	+4.0%	1.9x	747	+4.1%	14.8x	14.14	+6.8%	21.1x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2027	5,270	+0.2%	+1.6%	+1.7%	12.11	+1.0%	+2.5%	+2.7%
2028	5,566	0.0%	+2.0%	+2.3%	13.24	+0.5%	+3.3%	+3.3%
2029	5,789	+0.1%	+2.0%	+2.0%	14.14	+0.5%	+1.9%	+1.9%

Earnings surprises EPS beat in 4 of the last 4 quarters

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	1,146	1,161	1,099	1,073	1,167	1,225	1,200	1,163	1,251	1,353
Sales mean (mil)	1,132	1,185	1,090	1,076	1,172	1,183	1,188	1,169	1,225	1,293
Surprise	+1.3%	−2.1%	+0.8%	−0.3%	−0.5%	+3.5%	+1.0%	−0.5%	+2.2%	+4.7%
EPS reported	2.48	2.64	2.36	2.39	2.57	2.80	2.63	2.51	2.65	3.17
EPS mean	2.40	2.51	2.25	2.21	2.41	2.62	2.48	2.48	2.65	2.92
Surprise	+3.3%	+5.3%	+4.8%	+8.0%	+6.6%	+6.7%	+5.9%	+1.1%	+0.1%	+8.7%

Peer comparison Machinery, Tools, Heavy Vehicles, Trains & Ships

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
AIT Applied Industrial Technologies, Inc.	10.9B	0.28x	8.3%	5.80x	24.6x	22.5x	16.6x	15.4x
ETN Eaton Corporation PLC	142.2B	2.91x	14.9%	7.02x	26.9x	22.7x	20.7x	17.6x
PH Parker-Hannifin Corporation	117.1B	1.43x	17.0%	7.59x	26.1x	23.5x	18.4x	16.9x
TT Trane Technologies PLC	90.5B	0.70x	13.9%	9.94x	27.1x	23.3x	19.3x	16.8x
JCI Johnson Controls International PLC	88.7B	1.83x	7.3%	6.52x	23.4x	19.7x	17.4x	15.4x
EMR Emerson Electric Co	92.6B	2.13x	12.7%	4.54x	25.3x	22.8x	18.8x	17.5x
Mean		1.55x	12.3%	6.90x	25.6x	22.4x	18.6x	16.6x
Median		1.63x	13.3%	6.77x	25.7x	22.7x	18.6x	16.8x

Technical analysis

1M−13.1%
3M−13.4%
1Y+16.9%
3Y+96.9%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Applied Industrial Technologies, Inc., fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Total revenue	4,967	4,563	4,479	4,413	3,811	3,236
Cost of revenue	3,460	3,180	3,143	3,126	2,704	2,293
Gross profit	1,507	1,383	1,337	1,287	1,107	943
Selling, general & administrative expenses	917	849	812	783	717	646
Research & development	–	–	–	–	–	–
Depreciation/amortization	40.1	35.6	28.9	30.8	31.9	34.4
Interest expense (income), operating	–	–	–	–	–	–
Unusual expense (income)	–	–	–	–	0	57.3
Other operating expenses	0	0	0	0	0	0
Operating income	549	499	496	473	358	205
Net interest income (expense)	−6.3	1.6	1.6	−22.7	−28.8	−28.6
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	1.1	0.8	0.7	−0.6	0.7	0.2
Net income before taxes	544	501	498	450	330	177
Provision for taxes	130	108	112	103	72.4	32.3
Minority interest	–	–	–	–	–	–
Equity in affiliates	–	–	–	–	–	–
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	415	393	386	347	257	145
Extraordinary items	–	–	–	–	–	–
Net income	415	393	386	347	257	145
EBIT, normalized	549	499	496	473	358	263
EBITDA, normalized	615	559	548	526	411	318
Basic EPS, normalized	10.95	10.12	9.83	8.84	6.58	–

Balance sheet in millions of USD, fiscal years

Balance sheet, Applied Industrial Technologies, Inc., fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Assets
Cash & short-term investments	127	388	461	344	184	258
Receivables	860	781	738	726	674	532
Total inventory	509	505	488	501	450	363
Prepaid expenses	–	–	–	–	–	–
Other current assets	82.7	72.4	83.5	75.3	50.8	44.8
Total current assets	1,579	1,747	1,770	1,647	1,360	1,197
Property, plant & equipment	345	317	252	216	220	203
Goodwill	705	699	619	578	563	560
Intangibles	313	349	246	236	251	280
Long-term investments	30.7	25.6	22.5	18.6	15.3	16.8
Note receivable	–	–	–	–	–	–
Other long-term assets	38.2	37.7	42.4	48.2	44.0	16.0
Total assets	3,010	3,176	2,952	2,743	2,453	2,272
Liabilities
Accounts payable	341	280	267	302	259	208
Payable/accrued	–	–	–	–	–	–
Accrued expenses	162	139	127	130	121	105
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	–	0	25.1	25.2	40.2	43.5
Other current liabilities	109	107	82.4	83.6	78.7	71.0
Total current liabilities	612	526	501	540	500	428
Long-term debt	262	572	572	597	649	785
Minority interest	–	–	–	–	–	–
Other liabilities	274	233	190	148	154	127
Total liabilities	1,148	1,331	1,263	1,285	1,303	1,339
Shareholders' equity
Preferred stock	–	0	0	0	0	0
Common stock	10.0	10.0	10.0	10.0	10.0	10.0
Additional paid-in capital	205	199	194	189	184	177
Retained earnings (accumulated deficit)	2,789	2,448	2,122	1,793	1,500	1,294
Treasury stock	−1,047	−721	−559	−478	−472	−456
Other equity	−94.8	−91.7	−77.6	−55.3	−72.3	−93.1
Total equity	1,862	1,845	1,689	1,458	1,149	933
Total liabilities & shareholders' equity	3,010	3,176	2,952	2,743	2,453	2,272

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Applied Industrial Technologies, Inc., fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Operating activities
Net income	415	393	386	347	257	145
Depreciation, depletion & amortization	65.9	60.5	52.4	53.1	53.6	55.1
Deferred taxes	26.3	−6.4	−1.1	−5.7	15.2	−31.1
Non-cash items	17.5	18.0	12.7	18.0	15.0	66.5
Changes in working capital	−40.2	27.3	−78.4	−68.1	−154	6.4
Cash from operations	484	492	371	344	188	242
Investing activities
Capital expenditures	−23.6	−27.2	−24.9	−26.5	−18.1	−15.9
Other investing cash flows	−10.3	−292	−70.5	−34.4	−17.5	−29.1
Cash from investing	−33.9	−319	−95.4	−60.8	−35.7	−44.9
Financing activities
Financing cash flow items	−11.7	−4.0	−2.5	−5.6	−18.1	−16.6
Cash dividends paid	−72.6	−63.7	−55.9	−53.4	−51.8	−50.7
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	−627	−178	−98.1	−67.8	−153	−146
Cash from financing	−712	−246	−156	−127	−223	−213
Foreign exchange effects	0.1	−0.2	−2.9	3.3	−2.2	5.5
Net change in cash	−261	−72.2	117	160	−73.3	−10.8
Free cash flow	461	465	347	317	169	226

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 2, 2026 after market close.