Mizuho Securities analyst Brett Linzey has maintained their bullish stance on AME stock, giving a Buy rating on January 24.
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Brett Linzey has given his Buy rating due to a combination of factors, including improving order patterns in Ametek’s segments despite ongoing de-stocking challenges from some original equipment manufacturers. The company saw the strongest order month in December, with continued positive trends into January, indicating potential for growth beyond the average in 2025. Although earnings per share estimates for 2025 and 2026 have been slightly lowered, the price target remains unchanged at $200, reflecting confidence in the company’s eventual recovery.
Brett Linzey also highlights the strength of Ametek’s project pipeline, expecting delayed projects to progress and contribute to growth. The acquisition of Kern Microtechnik adds to Ametek’s capabilities and is expected to integrate well into its Ultra Precision Technology business. Despite macroeconomic uncertainties, the company’s strong mergers and acquisitions strategy and above-average free cash flow generation and EBITDA margins justify maintaining a premium valuation and a Buy recommendation.
Linzey covers the Industrials sector, focusing on stocks such as Stanley Black & Decker, Applied Industrial Technologies, and Parker Hannifin. According to TipRanks, Linzey has an average return of 14.4% and a 76.19% success rate on recommended stocks.