AME

AMETEK, Inc.Industrials / Specialty Industrial MachineryINTACT

AMETEK, Inc. manufactures and sells electronic instruments (EIG) and electromechanical (EMG) devices in the United States and internationally. It operates through EIG and EMG segments. The company offers advanced instruments for the process, aerospace, power, and industrial markets; process and analytical instruments for the oil and gas, petrochemical, pharmaceutical, semiconductor, automation, and food and beverage industries; instruments to the laboratory equipment, ultra-precision manufacturing, medical, and test and measurement markets; power quality monitoring and metering devices, uninterruptible power supplies, programmable power and electromagnetic compatibility test equipment, and gas turbines sensors; dashboard instruments for heavy trucks and other vehicles; instrumentation and controls for food and beverage industries; and aircraft and engine sensors, embedded computing, monitoring, power supplies, fuel and fluid measurement, and data acquisition systems for aerospace and defense industry. It also provides engineered medical components and devices, automation solutions, thermal management systems, specialty metals, and electrical interconnects; single-use and consumable surgical instruments, implantable components, and drug delivery systems; engineered electrical connectors and electronics packaging; precision motion control products for data storage, medical devices, business equipment, automation, and other application; high-purity powdered metals, strips and foils, specialty clad metals, and metal matrix composites; motor-blower systems and heat exchangers for thermal management, military and commercial aircraft, and military ground vehicles; and motors used in commercial appliances, food and beverage machines, hydraulic pumps, and industrial blowers, as well as operates a network of aviation maintenance, repair, and overhaul facilities. AMETEK, Inc. was incorporated in 1930 and is headquartered in Berwyn, Pennsylvania.

Share Price
$241.87
52W: $179.24 - $261.16
DCF Fair Value
$163.28
-48.1% Premium
P/E (TTM)
35.4x
ROIC
19.7%
Operating Margin
26.2%
FCF Yield
2.7%
Debt / Equity
0.21x
Piotroski Score
8/9
Altman Z-Score
3.1
Market Cap
$55.4B

Price vs. Intrinsic Value Corridor

Overvalued vs DCF ($163.28)

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)
()
Period Range
$ - $
DCF Fair Value
$163.28
MOS Buy Target (-25%)
$122.46
Valuation Overlays:

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price
$241.87
DCF Fair Value
$163.26
-48.2% Premium
$1,492M
$100M$1,492M (Reported)$50,000M
13.1%
-5%10% (Target)35%
4.5%
0%5%20%
9.0%
6%9% (Standard)15% (High Risk)
2.5%
1% (GDP Floor)2.5% (Inflation)4.0%
$1,800M
-$100B CashBalance Sheet+$150B Debt
10-Yr PV of Cash Flows
$16.3B
PV of Terminal Value
$22.9B
Implied Enterprise Value
$39.2B
Implied Equity Value
$37.4B
YearYr 1Yr 2Yr 3Yr 4Yr 5Yr 6Yr 7Yr 8Yr 9Yr 10
Projected FCF ($M)$1,687$1,909$2,159$2,441$2,761$2,885$3,015$3,151$3,293$3,441
Present Value (PV)$1,548$1,606$1,667$1,729$1,795$1,720$1,649$1,581$1,516$1,453

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number-178.2% Premium
$86.95

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

EPS: $6.84BVPS: $49.12
Revised Graham Formula-36.8% Premium
$176.81

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Buffett Owner Earnings2.6% Yield
$6.19 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $1.4BYield: 2.6%

Reverse DCF: Market Growth Expectation

FAIR BARRIER
13.8% CAGR (Next 10 Yrs)

At the current price of $241.87, the market is assuming the business will compound Free Cash Flow at 13.8% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict
ℹ Fair expectations: Requires steady execution.
Autonomous Thesis Underwriting

Surveil AME with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for AMETEK, Inc.. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 26.2% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

Frequently Asked Questions: AMETEK, Inc. (AME) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for AMETEK, Inc..

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, AMETEK, Inc. has an estimated DCF intrinsic fair value of $163.28 per share compared to its current market price of $241.87. This represents an estimated 48.1% premium over fair value. Additionally, its classic Benjamin Graham Number stands at $86.94.

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