AIT:NYE-Applied Industrial Technologies, Inc (USD)

COMMON STOCK | Industrial Distribution | NYE

Last Closing Price

USD 58.23

Change

+3.03 (+5.49)%

Market Cap

USD 2.14B

Volume

0.14M

Average Target Price

USD 73.40 (+26.05%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

Applied Industrial Technologies, Inc. distributes industrial products in North America, Australia, New Zealand, and Singapore. The company offers its products for maintenance, repair, and operational, as well as original equipment manufacturing customers. It operates in two segments, Service Center Based Distribution, and Fluid Power & Flow Control. The company distributes bearings, power transmission products, engineered fluid power components and systems, specialty flow control solutions, industrial rubber products, linear motion components, tools, safety products, oilfield supplies, and other industrial and maintenance supplies; and designs and assembles hydraulic and electro-hydraulic power units and control systems, electronic control systems, pneumatic and electro-pneumatic panels and sub-assemblies, fabricated aluminum assemblies, lubrication systems, hydraulic manifolds, and pump assemblies, as well as provides equipment repair services. It also operates fabricated rubber shops that modify and repair conveyor belts, as well as offer hose assemblies; and rubber service field crews to install and repair conveyor belts and rubber lining at customer locations. In addition, the company rebuilds or assembles speed reducers, pumps, valves, cylinders, and electric and hydraulic motors, as well as custom machining products; and offers technical support services. It offers industrial products through a network of service centers. The company serves various industries, including agriculture and food processing, cement, chemicals and petrochemicals, fabricated metals, forest products, industrial machinery and equipment, mining, oil and gas, primary metals, transportation, and utilities, as well as to government entities. Applied Industrial Technologies, Inc. was founded in 1923 and is headquartered in Cleveland, Ohio.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2020-05-26 )

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ETFs Containing AIT

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Industrial Distribution)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -12.69% 45% F 55% F
Dividend Return 0.96% 40% F 46% F
Total Return -11.73% 45% F 56% F
Trailing 12 Months  
Capital Gain 5.22% 60% D- 79% C+
Dividend Return 2.28% 50% F 54% F
Total Return 7.50% 60% D- 80% B-
Trailing 5 Years  
Capital Gain 35.14% 75% C 82% B-
Dividend Return 13.02% 50% F 52% F
Total Return 48.16% 75% C 82% B-
Average Annual (5 Year Horizon)  
Capital Gain 11.53% 82% B- 82% B-
Dividend Return 2.05% 33% F 47% F
Total Return 13.57% 82% B- 81% B-
Risk Return Profile  
Volatility (Standard Deviation) 24.54% 73% C 30% F
Risk Adjusted Return 55.31% 64% D 63% D
Market Capitalization 2.14B 45% F 69% D+
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Industrial Distribution)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 63.01 18% F 8% F
Price/Book Ratio 2.55 73% C 27% F
Price / Cash Flow Ratio 11.83 55% F 26% F
EV/EBITDA 16.16 45% F 24% F
Management Effectiveness  
Return on Equity 3.95% 18% F 37% F
Return on Invested Capital 11.83% 45% F 77% C+
Return on Assets 6.86% 55% F 87% B+
Debt to Equity Ratio 101.32% 40% F 34% F
Technical Ratios  
Short Ratio 2.65 73% C 33% F
Short Percent 2.17% 82% B- 72% C-
Beta 1.37 36% F 31% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
High dividend returns

The stock has outperformed its sector peers on average annual dividend returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile. This can be a good buy, especially if it is outperforming on total return basis , for investors seeking high income yields.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

What to not like:
Low market capitalization

This is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market which can help it grow or get acquired in future.

Below median total returns

The company has under performed its peers on annual average total returns in the past 5 years.

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Poor return on equity

The company management has delivered below median return on equity in the most recent 4 quarters compared to its peers.

Poor capital utilization

The company management has delivered below median return on invested capital in the most recent 4 quarters compared to its peers.

Higly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Dividend Growth

This stock has shown below median dividend growth in the previous 5 years compared to its sector.