AMETEK Inc (AME) Stock Analysis
Verdict: HOLD
Premium margins and consistent earnings beats justify a high multiple, but current valuation lacks a clear catalyst for immediate breakout.
Investment score: 64/100
Analysis as of
Is AMETEK Inc stock worth reviewing? AI model thesis
AMETEK continues to demonstrate operational excellence with 25%+ operating margins and a perfect earnings beat record over the last year. However, with a 34x P/E—higher than peers like Emerson and Hubbell—the valuation offers a thin margin of safety. Consensus targets imply roughly 9.4% upside, making it a solid hold but a difficult 'buy' at current levels.
7-factor investment score
- Valuation: 45/100 (weight 20%)
- Financial Health: 85/100 (weight 15%)
- Technical Momentum: 55/100 (weight 15%)
- Earnings Quality: 80/100 (weight 15%)
- Insider Sentiment: 40/100 (weight 10%)
- Analyst Consensus: 75/100 (weight 10%)
- Risk-Adjusted Return: 60/100 (weight 15%)
AMETEK Inc opportunities and risks
What speaks for AME
- Niche Market Dominance in EIG
What speaks against AME
- Valuation Multiples Peak
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| AME | 34.0x | 6.9x | 23.8x | 36.6% | 20.1% | 3.3% |
| VRT | 74.4x | 10.7x | 50.0x | 36.2% | 14.4% | 2.0% |
| EMR | 32.8x | 4.4x | 17.8x | 52.7% | 13.3% | 3.9% |
| ROK | 47.3x | 5.8x | 35.1x | 52.5% | 12.4% | 2.6% |
| HUBB | 28.0x | 4.2x | 19.0x | 35.5% | 15.1% | 3.6% |
| Peer median | 40.1x | 5.1x | 27.1x | 44.3% | 13.9% | 3.1% |
Frequently asked questions about AMETEK Inc (AME)
Is AME stock a good investment?
The cached TradeMates AI model rates AMETEK Inc as HOLD with an investment score of 64/100. AMETEK continues to demonstrate operational excellence with 25%+ operating margins and a perfect earnings beat record over the last year. However, with a 34x P/E—higher than peers like Emerson and Hubbell—the valuation offers a thin margin of safety. Consensus targets imply roughly 9.4% upside, making it a solid hold but a difficult 'buy' at current levels. This is algorithmic model output, not personal investment advice.
Is AME stock a buy?
The TradeMates model verdict for AME is HOLD with an investment score of 64/100. Treat this as a model signal to review, not a personal buy recommendation.