Applied Industrial (AIT) Stock Analysis

November 11, 2026

This is a peer-relative look at Applied Industrial (AIT): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Capital Goods peers, so every number reads in context rather than in isolation.

Company Profile

Company profile fields for Applied Industrial (AIT)
Profile Item	AIT
Name	Applied Industrial Technologies Inc.
Country/Region	United States
GICS Sector	Industrials
GICS Industry Group	Capital Goods
GICS Industry	Trading Companies & Distributors
GICS Sub-Industry	Trading Companies & Distributors
Market Capitalization	10.35 billion USD
Currency	USD
Exchange	NYSE
Listing Date	March 17, 1980
Security Type	Common Stock

Price Performance

Cumulative Growth

AIT

GSPC

Applied Industrial (AIT) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Applied Industrial (AIT) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Applied Industrial (AIT) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
Total Return (1Y)	15.62%	6.84%
Total Return (3Y, Annualized)	24.49%	17.66%
Total Return (5Y, Annualized)	24.56%	9.09%

Risk Profile

Drawdown History

AIT

GSPC

Applied Industrial (AIT) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Applied Industrial (AIT) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
Volatility (1Y, Annualized)	28.72%	44.38%
Beta (5Y)	0.86	1.19
Max Drawdown (5Y)	-26.42%	-49.95%

Risk-Adjusted Performance

Risk-Return Positioning

Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. AIT is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
Sharpe Ratio (1Y)	0.39	0.06
Sortino Ratio (1Y)	0.53	0.09

Profitability

ROE (TTM)

Applied Industrial (AIT) posts ROE of 22.51%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

AIT

Capital Goods industry group

22.51%

Group distribution

Max: 40.55%
AIT: 22.51%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

Largest peers

GEV: 93.04%
CAT: 56.14%
GE: 50.17%
AIT: 22.51%
DE: 18.24%
RTX: 12.85%
BA: --

Where Applied Industrial (AIT) stands on ROE within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Applied Industrial (AIT) keeps 8.39% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.

AIT

Capital Goods industry group

8.39%

Group distribution

Max: 27.47%
Q3: 12.10%
AIT: 8.39%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

Largest peers

GEV: 23.54%
GE: 17.31%
CAT: 15.21%
DE: 10.17%
RTX: 8.75%
AIT: 8.39%
BA: 8.07%

Where Applied Industrial (AIT) stands on net margin within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

Applied Industrial (AIT) turns 11.12% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.

AIT

Capital Goods industry group

11.12%

Group distribution

Max: 36.60%
Q3: 18.33%
AIT: 11.12%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

Largest peers

CAT: 20.19%
GE: 18.49%
RTX: 15.54%
DE: 13.37%
GEV: 12.77%
AIT: 11.12%
BA: 0.30%

Where Applied Industrial (AIT) stands on operating margin within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
ROE (TTM)	22.51%	12.12%
ROA (TTM)	11.43%	5.29%
Net Margin (TTM)	8.39%	6.30%
Operating Margin (TTM)	11.12%	11.12%
Gross Margin (TTM)	30.40%	29.63%

Growth

Revenue Growth

Applied Industrial (AIT) grew revenue 8.84%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.

Applied Industrial (AIT): Revenue Growth across different time periods, set against Capital Goods industry-group medians.

EPS Growth

No usable EPS growth is available for Applied Industrial (AIT) this period, so the earnings-momentum read is skipped.

Applied Industrial (AIT): EPS Growth across different time periods, set against Capital Goods industry-group medians.

Growth Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
Revenue Growth (YoY)	8.84%	8.11%
Revenue Growth (3Y CAGR)	4.02%	6.45%
EPS Growth (YoY)	--	5.45%
EPS Growth (3Y CAGR)	7.40%	7.15%

Financial Strength

Current Ratio (MRQ)

Applied Industrial (AIT) has current ratio of 2.89, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.

AIT

Capital Goods industry group

2.89

Group distribution

Max: 5.22
Q3: 2.95
AIT: 2.89
Median: 2.08
Q1: 1.43
Min: 0.36

Largest peers

AIT: 2.89
DE: 2.13
CAT: 1.42
BA: 1.13
RTX: 1.05
GE: 0.98
GEV: 0.83

Where Applied Industrial (AIT) stands on current ratio within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Debt / Equity (MRQ)

Applied Industrial (AIT) has debt-to-equity ratio of 0.15, in the lower-leverage quartile for its industry. Borrowing is modest relative to equity compared with most peers, which can leave more flexibility through a cycle.

AIT

Capital Goods industry group

0.15

Group distribution

Max: 2.33
Q3: 1.12
Median: 0.60
Q1: 0.29
AIT: 0.15
Min: 0.00

Largest peers

BA: 7.39
DE: 2.30
CAT: 2.10
GE: 1.16
RTX: 0.55
GEV: 0.30
AIT: 0.15

Where Applied Industrial (AIT) stands on debt-to-equity ratio within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
Current Ratio (MRQ)	2.89	2.08
Debt / Equity (MRQ)	0.15	0.60
Net Debt / EBITDA	0.27	1.78

Dividends

Dividend Yield (TTM)

Applied Industrial (AIT) has dividend yield of 0.71%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.

AIT

Capital Goods industry group

0.71%

Group distribution

Max: 2.66%
Q3: 1.14%
AIT: 0.71%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

Largest peers

RTX: 1.47%
CAT: 1.13%
DE: 0.98%
AIT: 0.71%
GE: 0.56%
GEV: 0.26%
BA: 0.00%

Where Applied Industrial (AIT) stands on dividend yield within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Applied Industrial (AIT) has payout ratio of 17.63%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

AIT

Capital Goods industry group

17.63%

Group distribution

Max: 67.39%
Q3: 28.02%
AIT: 17.63%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

Largest peers

RTX: 45.85%
DE: 36.02%
CAT: 24.18%
GE: 20.23%
AIT: 17.63%
GEV: 4.59%
BA: 0.00%

Where Applied Industrial (AIT) stands on payout ratio within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
Dividend Yield (TTM)	0.71%	0.24%
Dividend Payout Ratio (TTM)	17.63%	6.86%

Valuation

P/E Ratio (TTM)

Applied Industrial (AIT) trades at P/E ratio of 25.10, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.

AIT

Capital Goods industry group

25.10

Group distribution

Max: 59.38
Q3: 35.92
Median: 25.41
AIT: 25.10
Q1: 19.47
Min: 3.03

Largest peers

DE: 37.33
GE: 36.94
RTX: 30.82
AIT: 25.10
CAT: 21.92
GEV: 20.32
BA: 17.89

Where Applied Industrial (AIT) stands on P/E ratio within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Applied Industrial (AIT) trades at 2.05 on P/S ratio, roughly in the peer group’s normal range. The market is not making a strong cheap-or-rich statement about its revenue base.

AIT

Capital Goods industry group

2.05

Group distribution

Max: 7.54
Q3: 3.76
Median: 2.15
AIT: 2.05
Q1: 1.03
Min: 0.03

Largest peers

GE: 6.38
GEV: 4.65
DE: 3.78
CAT: 3.29
RTX: 2.66
AIT: 2.05
BA: 1.45

Where Applied Industrial (AIT) stands on P/S ratio within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Applied Industrial (AIT) trades at 5.50 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.

AIT

Capital Goods industry group

5.50

Group distribution

Max: 9.66
AIT: 5.50
Q3: 5.00
Median: 3.12
Q1: 1.81
Min: -1.08

Largest peers

BA: 20.99
GE: 19.06
GEV: 18.00
CAT: 11.90
DE: 6.47
AIT: 5.50
RTX: 3.69

Where Applied Industrial (AIT) stands on P/B ratio within its Capital Goods peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Applied Industrial (AIT) metric values compared with Capital Goods industry-group medians
Metric	Current stock: AIT	Industry group median
P/E Ratio (TTM)	25.10	25.41
P/S Ratio (TTM)	2.05	2.15
P/B Ratio (MRQ)	5.50	3.12
Free Cash Flow Yield (TTM)	3.24%	3.03%