NYSE:AME

Stock Analysis Report

Executive Summary

AMETEK, Inc. manufactures and sells electronic instruments and electromechanical devices worldwide.

Snowflake

Fundamentals

Mediocre balance sheet with questionable track record.


Similar Companies

Share Price & News

How has AMETEK's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.7%

NYSE:AME

2.6%

US Electrical

2.1%

US Market


1 Year Return

13.1%

NYSE:AME

-11.2%

US Electrical

-0.04%

US Market

AME outperformed the Electrical industry which returned -10.8% over the past year.

AME outperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

AMEIndustryMarket
7 Day1.7%2.6%2.1%
30 Day-4.5%-8.5%-3.2%
90 Day1.5%-1.3%2.8%
1 Year13.9%13.1%-9.3%-11.2%2.2%-0.04%
3 Year75.8%72.3%22.1%14.9%41.5%32.3%
5 Year67.5%61.9%17.5%5.7%55.0%37.8%

Price Volatility Vs. Market

How volatile is AMETEK's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is AMETEK undervalued based on future cash flows and its price relative to the stock market?

23.87x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

AMETEK's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

AMETEK's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

AMETEK is overvalued based on earnings compared to the US Electrical industry average.

AMETEK is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

AMETEK is poor value based on expected growth next year.


Price Based on Value of Assets

AMETEK is overvalued based on assets compared to the US Electrical industry average.


Next Steps

Future Growth

How is AMETEK expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

7.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

AMETEK's revenue is expected to grow by 3.8% yearly, however this is not considered high growth (20% yearly).

AMETEK's earnings are expected to grow by 7.8% yearly, however this is not considered high growth (20% yearly).

AMETEK's revenue growth is positive but not above the United States of America market average.

AMETEK's earnings growth is positive but not above the United States of America market average.

AMETEK's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

AMETEK is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has AMETEK performed over the past 5 years?

8.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

AMETEK's year on year earnings growth rate has been positive over the past 5 years.

AMETEK's 1-year earnings growth is less than its 5-year average (7.2% vs 8%)

AMETEK's earnings growth has not exceeded the US Electrical industry average in the past year (7.2% vs 20.1%).


Return on Equity

AMETEK has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

AMETEK used its assets more efficiently than the US Electrical industry average last year based on Return on Assets.


Return on Capital Employed

AMETEK's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is AMETEK's financial position?


Financial Position Analysis

AMETEK is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

AMETEK's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

AMETEK's level of debt (52.9%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (46.8% vs 52.9% today).

Debt is well covered by operating cash flow (40%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 14x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.9x debt.


Next Steps

Dividend

What is AMETEK's current dividend yield, its reliability and sustainability?

0.67%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase AMETEK before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

AMETEK's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

AMETEK's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).

AMETEK is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.

AMETEK is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of AMETEK's dividends as it is not paying a notable one for United States of America.


Future Payout to Shareholders

No need to calculate the sustainability of AMETEK's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of AMETEK's salary, the management and board of directors tenure and is there insider trading?

8.0yrs

Average management tenure


CEO

Dave Zapico (54yo)

3.3yrs

Tenure

US$8,762,155

Compensation

Mr. David A. Zapico, also known as Dave, is Chief Executive Officer and President of AMETEK Specialty Metal Products Inc. He has been Chief Executive Officer at AMETEK, Inc. since May 5, 2016. He has been  ...


CEO Compensation Analysis

Dave's remuneration is about average for companies of similar size in United States of America.

Dave's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

8.0yrs

Average Tenure

56yo

Average Age

The average tenure for the AMETEK management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

4.9yrs

Average Tenure

60yo

Average Age

The tenure for the AMETEK board of directors is about average.


Insider Trading

AMETEK individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$169,80017 Jun 19
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$84.90
SellUS$257,40013 Jun 19
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,000
Max PriceUS$85.80
SellUS$149,58113 May 19
Thomas Amato
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,790
Max PriceUS$83.57
SellUS$290,50001 Apr 19
Thomas Marecic
EntityIndividual
Role
Senior Key Executive
President of Electronic Instruments
Shares3,500
Max PriceUS$83.00
SellUS$411,00029 Mar 19
Timothy Jones
EntityIndividual
Role
Senior Key Executive
President of Electromechanical Group
Shares5,000
Max PriceUS$82.20
SellUS$319,85712 Mar 19
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,000
Max PriceUS$80.44
SellUS$159,50001 Mar 19
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$79.75
SellUS$237,01414 Feb 19
Thomas Marecic
EntityIndividual
Role
Senior Key Executive
President of Electronic Instruments
Shares3,000
Max PriceUS$79.00
SellUS$632,87412 Feb 19
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares8,000
Max PriceUS$80.75
BuyUS$146,29013 Nov 18
Thomas Amato
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$73.14
SellUS$426,70314 Sep 18
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,300
Max PriceUS$80.51
SellUS$117,14707 Sep 18
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,500
Max PriceUS$78.10
SellUS$150,81607 Sep 18
Gretchen McClain
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,920
Max PriceUS$78.55
SellUS$231,78030 Aug 18
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,000
Max PriceUS$77.26
SellUS$231,00027 Aug 18
Elizabeth Varet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,000
Max PriceUS$77.00

Ownership Breakdown


Management Team

  • Kevin Coleman

    Vice President of Investor Relations

    • Tenure: 7.6yrs
  • Robert Feit (56yo)

    Senior VP

    • Tenure: 12.3yrs
  • Dave Zapico (54yo)

    Chairman & CEO

    • Tenure: 3.3yrs
    • Compensation: US$8.76m
  • Wes Hardin (54yo)

    President of Electronic Instruments

    • Tenure: 11.1yrs
    • Compensation: US$1.96m
  • Thomas Deeney

    Vice President of Corporate Compliance & Auditing

    • Tenure: 14.9yrs
  • Tom Marecic (57yo)

    President of Electronic Instruments

    • Tenure: 6.4yrs
    • Compensation: US$1.78m
  • Timothy Jones (62yo)

    President of Electromechanical Group

    • Tenure: 13.5yrs
    • Compensation: US$1.87m
  • Bill Burke (57yo)

    Executive VP & CFO

    • Tenure: 3.3yrs
    • Compensation: US$3.00m
  • Ron Oscher (51yo)

    Chief Administrative Officer

    • Tenure: 3.3yrs
  • Ken Weirman

    Chief Information Officer & VP

    • Tenure: 8.5yrs

Board Members

  • Dennis Williams (73yo)

    Independent Director

    • Tenure: 13.3yrs
    • Compensation: US$247.75k
  • Elizabeth Varet (75yo)

    Independent Director

    • Tenure: 32.6yrs
    • Compensation: US$232.75k
  • Tom Amato (56yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$241.44k
  • Dave Zapico (54yo)

    Chairman & CEO

    • Tenure: 3.3yrs
    • Compensation: US$8.76m
  • Steve Kohlhagen (71yo)

    Independent Director

    • Tenure: 13.3yrs
    • Compensation: US$232.75k
  • Ruby Chandy (57yo)

    Independent Director

    • Tenure: 6.3yrs
    • Compensation: US$232.75k
  • Tod Carpenter (60yo)

    Director

    • Tenure: 0.2yrs
  • Gretchen McClain (57yo)

    Independent Director

    • Tenure: 4.9yrs
    • Compensation: US$232.75k
  • Tony Conti (70yo)

    Lead Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$282.75k

Company Information

AMETEK, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AMETEK, Inc.
  • Ticker: AME
  • Exchange: NYSE
  • Founded: 1930
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$19.585b
  • Shares outstanding: 228.35m
  • Website: https://www.ametek.com

Number of Employees


Location

  • AMETEK, Inc.
  • 1100 Cassatt Road
  • Berwyn
  • Pennsylvania
  • 19312
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AMENYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
AK1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
0HF7LSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
AME *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968

Biography

AMETEK, Inc. manufactures and sells electronic instruments and electromechanical devices worldwide. The company’s Electronic Instruments segment offers advanced instruments for the process, aerospace, powe ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 23:31
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.