# Applied Industrial Technologies Inc. (AIT) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Industrials / Industrial Distribution & Rental. Price $305.15, market value $11.1 billion.

## Valuation
- **P/E (trailing): 26.4×** (5-yr avg 20.7×, 3-yr avg 24.4×). Applied Industrial Technologies Inc. trades at 26.4× trailing earnings, well above its own five-year average of 20.7×: investors are paying up relative to the company's past. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 23.0×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 2.81**. A PEG of 2.81 means the P/E is high relative to expected earnings growth; the price already assumes a lot.
- **Price / sales: 2.2×**. Each dollar of revenue is priced at 2.2×.
- **Price / book: 5.9×**. The shares trade at 5.9× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **Free-cash-flow yield: 3.8%** (5-yr avg 4.8%). Free cash flow equals 3.8% of the market value, below its five-year average of 4.8%, so the shares are pricier on cash than usual.
- **Earnings yield: 3.8%**. The inverse of the P/E: 3.8% of the price is earned each year.

## Profitability
- **Gross margin: 30.4%**. Applied Industrial Technologies Inc. keeps 30.4% of revenue after the direct cost of what it sells.
- **Operating margin: 11.2%**. 11.2% of revenue is left after running the business.
- **Net margin: 8.3%**. 8.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 22.3%**. 22.3% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 21.0%**. Return on all capital, debt included, is 21.0%: comfortably above what that capital costs.
- **Return on assets: 14.1%**. Each dollar of assets produces 14.1% of profit.

## Growth
- **Revenue growth (1 yr): 8.8%** (3-yr 4.0%/yr, 5-yr 8.9%/yr). Revenue grew 8.8% over the last year, against 8.9% a year compounded over five years.
- **EPS growth (1 yr): 8.2%** (3-yr 7.4%/yr, 5-yr 24.4%/yr). Earnings per share rose 8.2%, roughly in step with revenue.
- **Free-cash-flow growth (3 yr): 13.2%/yr**. Free cash flow has compounded at 13.2% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.14**. Debt is 0.14 times equity: a conservative balance sheet.
- **Current ratio: 2.58** (quick 2.58). Current assets cover the next year's liabilities 2.58 times.
- **Altman Z-score: 9.33**. A Z-score of 9.33 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 8/9**. 8 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 0.67%** ($1.99 per share, trailing). Applied Industrial Technologies Inc. yields 0.67%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 18%** (18% of free cash flow). 18% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 26**. 26 straight years of increases (the data covers 26 years, so this may be longer): a record very few companies hold.
- **Dividend growth (5 yr): 7.5%/yr** (1-yr 24.3%). The dividend has grown 7.5% a year over five years.

## Analyst view
- **Analyst consensus: strong_buy** (6 analysts). 6 analysts cover Applied Industrial Technologies Inc.; the consensus is strong_buy, with an average price target of $380.00 (+25% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 21.1%** (YTD 19.3%, 3-mo -14.5%). The shares are up 21.1% over twelve months including dividends.
- **From 52-week high: -18.6%** (27.8% above the low). Trading 19% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 40**. An RSI of 40 is neutral.
- **Beta (1 yr): 0.81** (volatility 28%). Beta of 0.81 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=AIT · Page: https://foliofundamentals.com/stocks/ait

Not investment advice.