AMETEK’s Record 2025 Results Test Acquisition Strategy And Growth Outlook

AMETEK, Inc. +0.33%

AMETEK, Inc.

AME

233.51

+0.33%

  • AMETEK (NYSE:AME) reported record fourth quarter and full year 2025 results.
  • The company highlighted strong cash generation, solid sales and order growth, and contributions from recent acquisitions.
  • Management pointed to continued momentum and a healthy backlog as key support factors for the business.

For investors watching NYSE:AME, the latest update comes with the stock around $233.11 and multi year returns that have been strong, including 26.6% over the past year and 98.7% over five years. The move of 10.7% over the past 30 days and 11.5% year to date suggests that recent trading has been supportive of the latest company news.

Record results, together with comments on orders, cash generation, and backlog, give investors fresh data on how management sees the business positioned as it enters the next reporting period. A key question from here is how consistently AMETEK can convert its order book and recent acquisitions into future revenue, earnings, and cash flow.

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NYSE:AME Earnings & Revenue Growth as at Feb 2026
NYSE:AME Earnings & Revenue Growth as at Feb 2026

For you as an investor, the key takeaway from AMETEK’s record 2025 results is how consistent the execution looks across sales, earnings and cash generation. Fourth quarter sales of US$1,998.45m and net income of US$398.6m, together with full year sales of US$7,401.12m and net income of US$1,480.14m, show the company operating at a larger scale than a year ago while still growing earnings per share. Management’s focus on pricing, product refreshes and integrating recent acquisitions appears to be supporting profitability, even as those acquired businesses come with lower margins.

How This Fits Into The AMETEK Narrative

  • The strong 2025 sales and earnings, alongside a record backlog, align with the narrative that expansion in automation, metrology and sustainability end markets can support recurring revenue and margin resilience.
  • Management’s reliance on acquisitions to support growth could challenge the narrative if integration of deals like FARO and others does not keep margins steady, especially against peers such as Honeywell, Rockwell Automation and Emerson.
  • The new 2026 guidance for mid to high single digit sales growth and US$6.96 to US$7.16 in EPS gives extra data that is not fully captured in the earlier narrative, which focused more on longer term assumptions than near term company guidance.

Knowing what a company is worth starts with understanding its story. Check out one of the top narratives in the Simply Wall St Community for AMETEK to help decide what it's worth to you.

The Risks and Rewards Investors Should Consider

  • ⚠️ Analysts have flagged acquisition risk, where overpaying or weaker than expected performance from acquired businesses could weigh on margins and returns.
  • ⚠️ A minor red flag is the recent insider selling that has been identified, which some investors may view as a signal to scrutinize alignment between management and shareholders.
  • 🎁 AMETEK has a track record of growing earnings by 11.1% per year over the past 5 years, which supports the idea that the company has been able to scale its business over time.
  • 🎁 Earnings are forecast to grow 9.5% per year, which, together with record results and firm 2026 guidance, frames AMETEK as a company with an ongoing growth story rather than a one off spike.

What To Watch Going Forward

From here, it is worth watching whether AMETEK can deliver on its 2026 outlook of mid to high single digit sales growth and US$6.96 to US$7.16 in EPS, while integrating recent acquisitions without eroding margins. Keep an eye on order trends and backlog, especially in end markets like aerospace, defense, automation and research, as well as how AMETEK’s execution compares to large peers such as Honeywell, Rockwell Automation and Emerson.

To ensure you're always in the loop on how the latest news impacts the investment narrative for AMETEK, head to the community page for AMETEK to never miss an update on the top community narratives.

This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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