Shareholders might have noticed that Applied Industrial Technologies, Inc. (NYSE:AIT) filed its quarterly result this time last week. The early response was not positive, with shares down 4.7% to US$227 in the past week. Applied Industrial Technologies reported US$1.2b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of US$2.57 beat expectations, being 6.6% higher than what the analysts expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Our free stock report includes 1 warning sign investors should be aware of before investing in Applied Industrial Technologies. Read for free now.NYSE:AIT Earnings and Revenue Growth May 4th 2025

Following the latest results, Applied Industrial Technologies' eight analysts are now forecasting revenues of US$4.82b in 2026. This would be a satisfactory 7.2% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to rise 4.9% to US$10.71. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$4.91b and earnings per share (EPS) of US$10.84 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

See our latest analysis for Applied Industrial Technologies

The analysts reconfirmed their price target of US$278, showing that the business is executing well and in line with expectations. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Applied Industrial Technologies at US$300 per share, while the most bearish prices it at US$250. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Applied Industrial Technologies' past performance and to peers in the same industry. It's pretty clear that there is an expectation that Applied Industrial Technologies' revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 5.7% growth on an annualised basis. This is compared to a historical growth rate of 8.8% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 6.1% annually. So it's pretty clear that, while Applied Industrial Technologies' revenue growth is expected to slow, it's expected to grow roughly in line with the industry.

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The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for Applied Industrial Technologies going out to 2027, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified  1 warning sign for Applied Industrial Technologies that you should be aware of.

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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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