Earnings Alerts

Applied Industrial Tech (AIT) Earnings: Q2 Net Sales Align with Estimates Amid Mixed Demand

By January 29, 2025 No Comments
  • Applied Industrial Technologies reported net sales of $1.07 billion for the second quarter, slightly below the estimate of $1.08 billion.
  • Net sales decreased by 0.4% compared to the same quarter the previous year.
  • Earnings per share (EPS) were reported at $2.39, an increase from last year’s $2.32 EPS.
  • The company observed mixed demand during the quarter, affected by seasonal factors and limited customer activity in December due to holiday timings.
  • In response to the second quarter’s performance and contribution from the recent Hydradyne acquisition, the company is raising its fiscal 2025 guidance.
  • The updated outlook anticipates muted industrial activity in the near term, influenced by ongoing economic policy uncertainty and a slower rate of interest rate cuts.
  • There are 7 buy recommendations, 1 hold, and no sell ratings for the company’s stock.

Applied Industrial Tech on Smartkarma

Analyst coverage on Smartkarma highlights positive outlook for Applied Industrial Technologies (AIT). Baptista Research published two reports on the company, indicating a bullish sentiment towards its growth potential and operational performance. The first report, titled “Applied Industrial Technologies (AIT): Emerging Market Growth & Margin Expansion To Change The Game! – Major Drivers,” discusses the company’s fiscal 2025 first-quarter results, noting a mixed performance amidst economic uncertainties. Despite a moderate decline in organic sales, AIT saw a significant increase in free cash flow generation and steady EBITDA performance.

In their second report, “Applied Industrial Technologies: Initiation Of Coverage – Expansion of Engineered Solutions & Major Drivers,” Baptista Research expresses confidence in AIT’s ability to navigate challenging market conditions. The company’s strong financial and operational results at the end of fiscal year 2024, coupled with strategic initiatives and customer relationships, have positioned AIT for growth. Both reports provide insights into AIT’s performance, highlighting areas of strength and opportunities for improvement.


A look at Applied Industrial Tech Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth4
Resilience3
Momentum5
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Applied Industrial Technologies, Inc. shows promise for long-term growth, indicated by its high score in the Growth category according to Smartkarma Smart Scores. The company’s strong momentum score further supports its potential for continued positive performance in the market. While the Value and Dividend scores are moderate, Applied Industrial Tech‘s resilience score suggests it has the capacity to withstand challenges and adapt to market fluctuations. Overall, the company’s favorable Smart Scores point to a positive long-term outlook.

Applied Industrial Technologies, Inc. is a company that distributes various industrial products and provides engineering design and integration services. With a solid Growth score and high Momentum score, the company appears well-positioned for future success. Its ability to navigate market uncertainties, as indicated by the Resilience score, adds to its long-term attractiveness for investors. While the Value and Dividend scores are not as high, Applied Industrial Tech‘s overall Smart Scores paint a promising picture for its future performance in the market.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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