AMETEK (NYSE:AME) Posts Earnings Results, Beats Expectations By $0.10 EPS

AMETEK (NYSE:AME) issued its quarterly earnings results on Tuesday. The technology company reported $2.09 earnings per share for the quarter, topping analysts’ consensus estimates of $1.99 by $0.10, Zacks reports. The company had revenue of $2.04 billion for the quarter, compared to the consensus estimate of $1.95 billion. AMETEK had a net margin of 20.11% and a return on equity of 16.63%. The firm’s quarterly revenue was up 15.0% on a year-over-year basis. During the same period in the previous year, the firm earned $1.78 EPS. AMETEK updated its Q3 2026 guidance to 2.080-2.100 EPS and its FY 2026 guidance to 8.200-8.300 EPS.

Here are the key takeaways from AMETEK’s conference call:

• AMETEK raised its 2026 outlook, now expecting sales to grow approximately 10% and adjusted diluted EPS of $8.20–$8.30, up 10%–12% year over year. Third-quarter EPS guidance is $2.08–$2.10.
• Second-quarter performance was strong, with record sales of $2.04 billion, up 15%, organic sales growth of 10%, and adjusted EPS of $2.09, ahead of guidance. Organic orders rose 25%, producing a record $4.11 billion backlog and a 1.12 book-to-bill ratio.
• Core operating margins expanded 110 basis points to 27.1%, led by a 290-basis-point improvement in the Electromechanical Group, while free cash flow increased 37% to $452 million with 111% conversion. Management cited productivity, positive pricing, and strong operating execution as key contributors.
• Management sees durable, broad-based demand from semiconductor and AI infrastructure, power-grid expansion, aerospace and defense modernization, med tech, and automation. AMETEK also expects to close its approximately $5 billion Indicor Instrumentation acquisition in the second half of 2026 and identified additional cost-synergy opportunities.

AMETEK Stock Up 4.2%

AME stock opened at $254.10 on Wednesday. The stock has a 50-day simple moving average of $234.45 and a two-hundred day simple moving average of $229.18. AMETEK has a twelve month low of $179.24 and a twelve month high of $257.40. The firm has a market capitalization of $58.24 billion, a PE ratio of 38.38, a PEG ratio of 3.41 and a beta of 0.98. The company has a quick ratio of 0.72, a current ratio of 1.14 and a debt-to-equity ratio of 0.10.

AMETEK Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th were issued a dividend of $0.34 per share. This represents a $1.36 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend was Monday, June 15th. AMETEK’s payout ratio is presently 20.54%.

AMETEK News Summary

Here are the key news stories impacting AMETEK this week:

• Positive Sentiment: Quarterly results exceeded expectations: AMETEK reported second-quarter adjusted EPS of $2.09, above the $1.99 consensus estimate and up from $1.78 a year earlier. Revenue rose 15% year over year to $2.04 billion, exceeding analyst expectations of $1.95 billion. AMETEK Announces Record Second Quarter 2026 Results and Raises Full Year Guidance
• Positive Sentiment: Management raised earnings guidance: AMETEK now expects third-quarter 2026 EPS of $2.08-$2.10, above the $2.04 consensus, and full-year EPS of $8.20-$8.30, above the $8.14 analyst estimate. The guidance increase is a key bullish catalyst because it suggests continued demand and profitability strength. AMETEK Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Record performance supports the rally: The company characterized the quarter as a record second quarter, while its 20.11% net margin and 16.63% return on equity indicate solid profitability. Investors can review management’s outlook and commentary in the earnings call materials. AMETEK Q2 2026 Earnings Call Transcript
• Neutral Sentiment: Despite the favorable results, AMETEK trades at a relatively elevated valuation, with a price-to-earnings ratio near 38 and a PEG ratio above 3. This could limit further upside if future results or guidance fail to maintain their current pace.

Hedge Funds Weigh In On AMETEK

Several hedge funds have recently bought and sold shares of the company. Darwin Wealth Management LLC bought a new stake in AMETEK during the second quarter valued at $25,000. Transamerica Financial Advisors LLC raised its holdings in shares of AMETEK by 73.9% in the 4th quarter. Transamerica Financial Advisors LLC now owns 153 shares of the technology company’s stock valued at $31,000 after acquiring an additional 65 shares in the last quarter. DV Equities LLC bought a new stake in shares of AMETEK during the 4th quarter valued at about $66,000. Johnson Financial Group Inc. boosted its position in shares of AMETEK by 17.4% during the 3rd quarter. Johnson Financial Group Inc. now owns 478 shares of the technology company’s stock valued at $90,000 after acquiring an additional 71 shares during the last quarter. Finally, Advisory Services Network LLC purchased a new position in shares of AMETEK during the third quarter worth about $92,000. Hedge funds and other institutional investors own 87.43% of the company’s stock.

Wall Street Analysts Forecast Growth

Several analysts have commented on the stock. Morgan Stanley lifted their price objective on shares of AMETEK from $235.00 to $245.00 and gave the stock an “equal weight” rating in a research report on Friday, July 10th. Citigroup restated a “neutral” rating on shares of AMETEK in a research note on Wednesday. Weiss Ratings cut shares of AMETEK from a “buy (b)” rating to a “buy (b-)” rating in a report on Tuesday, July 28th. DA Davidson reissued a “buy” rating and set a $265.00 price objective on shares of AMETEK in a report on Monday, May 4th. Finally, Barclays raised their target price on AMETEK from $220.00 to $230.00 and gave the stock an “equal weight” rating in a research report on Monday, May 4th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $256.29.

About AMETEK

AMETEK, Inc is a global manufacturer of electronic instruments and electromechanical devices that serves a broad range of industries. Headquartered in Berwyn, Pennsylvania, the company designs and produces precision instruments, electronic measurement devices, specialty sensors, and electric motors and motion control systems. Its product portfolio includes analytical and monitoring instruments, calibration equipment, power supplies, embedded electronics, and industrial motors and drives used for critical applications.

The company operates through two primary business platforms — an electronic instruments group focused on analytical, test and measurement and sensor products, and an electromechanical group that supplies motors, actuators, and related power and motion solutions.