Amphenol Corporation (NYSE:APH) is included among the 12 Best HVAC Stocks to Buy Now. Barclays Sees Recent Pullback Creating an Entry Point in Amphenol (APH) Photo by Viacheslav Bublyk on Unsplash On January 29, Barclays analyst Guy Hardwick lifted his price recommendation on Amphenol Corporation (NYSE:APH) to $175 from $156. The analyst also reiterated an Overweight rating following the company’s fourth-quarter results. In a note to investors, Hardwick said the recent pullback in the shares, triggered ...

Core Insights - Amphenol Corp. reported strong fourth-quarter 2025 earnings with adjusted EPS of $0.97, exceeding estimates by 4.3% and showing a year-over-year increase of 76.4% [1] - Quarterly revenues reached $6.44 billion, surpassing estimates by 5.6% and increasing from $49.1 billion year-over-year [1] Financial Performance - Organic net sales increased by 37% year-over-year, driven by robust demand in the IT datacom end-market [3] - Adjusted operating margin rose by 5.1% to 27.5% compared to the previous year [3] - Free cash flow for the quarter was $1.5 billion, up from $1.22 billion in the prior quarter [3] Segment Performance - Revenues from the Harsh Environment Solutions segment grew by 31% year-over-year [4] - Communications Solutions segment net sales surged by 77.5%, while Interconnect and Sensor Systems segment sales increased by 20.9% [4] Business Model and Market Position - Amphenol's diversified business model and strong portfolio of high-technology interconnect products are key growth drivers [5] - The company holds an estimated 33% market share in AI-powered data center interconnects, essential for hyperscale data centers and 5G deployments [5] Growth Drivers - Increased spending on defense technologies and strong demand across Commercial Air, Industrial, and IT Datacom sectors are expected to boost top-line growth [6] - Rising AI workloads and cloud infrastructure upgrades are driving demand for high-speed interconnects, particularly benefiting the Communications Solutions segment [7] Strategic Acquisitions - Recent acquisitions of Trexon and CommScope assets have strategically positioned Amphenol as a leader in defense and fiber optic markets [8] - The company has been selected as a supplier for NVIDIA's next-generation server systems, enhancing its competitive edge [9] Future Guidance - For Q1 2026, Amphenol expects EPS between 91 and 93 cents, indicating year-over-year growth of 44% to 48% [12] - Anticipated revenues for Q1 are between $6.90 billion and $7 billion, suggesting growth in the range of 43% to 45% [12] Estimate Revisions - Expected revenue and earnings growth rates for the current year are 24.1% and 30.2%, respectively [13] - The Zacks Consensus Estimate for the current year's earnings has improved by 1.2% in the last week [13] Stock Performance - Amphenol's stock has increased over 100% in the past year, although it fell more than 13% following the fourth-quarter results [14] - The company is positioned to capitalize on the AI boom with a strong product portfolio and business execution [15]

Core Viewpoint - Amphenol Corporation (APH) is expected to report strong earnings growth, with analysts projecting a significant increase in profit per share for fiscal Q4 2025 and the current fiscal year, reflecting positive market sentiment and strong performance in various sectors [1][2]. Financial Performance - APH is anticipated to report a profit of $0.92 per share for fiscal Q4 2025, which represents a 67.3% increase from $0.55 per share in the same quarter last year [2] - For the current fiscal year ending in December, analysts expect APH to achieve a profit of $3.29 per share, up 74.1% from $1.89 per share in fiscal 2024 [2] - EPS is projected to grow 21.3% year-over-year to $3.99 in fiscal 2026 [2] Stock Performance - APH shares have increased by 92.5% over the past 52 weeks, significantly outperforming the S&P 500 Index's 14.8% return and the State Street Technology Select Sector SPDR ETF's 21.7% increase during the same period [3] - On December 19, APH shares rose by 4.4% after Truist Financial Corporation analyst William Stein raised the price target to $180 from $147, maintaining a "Buy" rating, indicating strong confidence in the company's growth outlook [4] Analyst Sentiment - Wall Street analysts have a "Strong Buy" rating for APH, with 13 out of 17 analysts recommending "Strong Buy" and four suggesting "Hold" [5] - The mean price target for APH is $152.31, indicating a potential upside of 10.4% from current levels [5]

Core Insights - Woodward, Inc. reported record performance for fiscal year 2025, with net sales of $3.6 billion, a 7% increase year over year, and net earnings of $442 million, reflecting a 19% growth [1][2] - Diluted earnings per share reached $7.19, marking a 20% rise from the previous year [1] Strategic Milestones - The company completed the acquisition of an industry-leading electromechanical actuation business [2] - Woodward was awarded contracts for certain spoiler actuation systems on the Airbus A350, marking its first primary flight control system application on a commercial aircraft [2] - Progress was made on the new advanced manufacturing facility located in Spartanburg County, South Carolina [2] Company Overview - Woodward, Inc. is a global leader in energy control solutions for aerospace and industrial markets, focusing on designing and delivering energy control solutions for a clean future [3] - The company is headquartered in Fort Collins, Colorado, and specializes in fluid, combustion, electrical, propulsion, and motion control systems [3]

Core Viewpoint - ABM Industries Incorporated is a prominent player in the Business - Services industry, providing a wide range of facility solutions and aiming for superior quality and efficiency in its services [1] Financial Performance - ABM reported a revenue of $2.3 billion for Q4 2025, representing a 5.4% increase year-over-year, surpassing the Zacks Consensus Estimate of $2.27 billion by 1.19% [3][6] - The company's earnings per share (EPS) were $0.88, which is a decline from $0.90 the previous year and below the consensus estimate of $1.10, resulting in a 20% negative EPS surprise [3][6] Stock Performance - The current stock price of ABM is $45.67, reflecting a decrease of approximately 5.32% from the previous day, with a trading range between $45.67 and $47.51 during the day [4] - Over the past year, ABM's stock has fluctuated between a high of $54.90 and a low of $40, with a market capitalization of around $2.84 billion [4] Analyst Outlook - Andrew Wittmann from Robert W. Baird has set a price target of $52 for ABM, indicating a potential increase of about 13.31% from its current price of $45.89 [2][6] - Despite the earnings miss, the revenue performance and strategic direction discussed in the earnings call may instill confidence in investors regarding the company's future [5]

Core Insights - ABM Industries Incorporated reported earnings per share (EPS) of $0.88, which was below the estimated $1.09, resulting in a negative surprise of 20% [2][6] - The company's revenue for the period was approximately $2.30 billion, exceeding the estimated $2.27 billion, and reflecting a year-over-year increase of 5.4% [3][6] Financial Performance - ABM's EPS decreased from $0.90 reported in the same quarter last year, indicating a trend of missing consensus EPS estimates, having exceeded them only once in the past four quarters [2] - The company has a price-to-earnings (P/E) ratio of approximately 18.27, and a price-to-sales ratio of about 0.35, reflecting market valuation metrics [4] - ABM's enterprise value to sales ratio is around 0.35, and its enterprise value to operating cash flow ratio is approximately 13.06 [4] Financial Health - The company maintains a low debt-to-equity ratio of 0.079, indicating conservative use of debt [5][6] - ABM's current ratio is approximately 1.48, suggesting a strong liquidity position to cover short-term liabilities [5][6] - The earnings yield is about 5.47%, making ABM an attractive option for investors seeking stable returns [5]

Core Insights - TimesSquare Capital Management's "U.S. Focus Growth Strategy" reported a gross return of 4.00% and a net return of 3.78% for Q3 2025, outperforming the Russell Midcap Growth Index's return of 2.78% [1] - Amphenol Corporation (NYSE:APH) is highlighted as a key investment, with a one-month return of -2.34% but a significant 71.52% increase over the past 52 weeks, closing at $129.24 per share with a market capitalization of $158.197 billion [2] - The company is recognized for its strong performance in the Information Technology sector, particularly in critical system provision and productivity-enhancing systems, with a notable 25% gain following a strong earnings report [3] Financial Performance - Amphenol Corporation's Q3 sales increased by 53% in US dollars and 52% in local currencies, reaching $6.194 billion [4] - The company contributed positively to the Baron Asset Fund's performance in Q3 2025, driven by rising expectations in data center spending due to accelerating AI adoption [5] Investment Sentiment - Despite Amphenol's strong performance, it is not among the top 30 most popular stocks among hedge funds, with 89 hedge fund portfolios holding the stock at the end of Q3, up from 81 in the previous quarter [4] - There is a belief that certain AI stocks may offer greater upside potential compared to Amphenol, indicating a competitive investment landscape [4]

Core Viewpoint - Amphenol Corporation has demonstrated strong financial performance and growth potential, significantly outperforming the broader technology sector in recent months and years [2][3][5]. Financial Performance - Amphenol's revenue for Q3 2025 increased by 53.4% year over year to $6.19 billion, exceeding the consensus estimate of $5.48 billion, driven by high demand for interconnect solutions in IT datacom and communication networks [5]. - Adjusted EPS for Q3 2025 rose by 86% to $0.93, surpassing the Street's estimate of $0.79 [5]. - For fiscal Q4 2025, Amphenol forecasts sales between $6 billion and $6.1 billion, indicating a growth of 39% to 41% year over year, with adjusted diluted EPS projected between $0.89 and $0.91, reflecting a growth of 62% to 65% [5]. - For the full fiscal year 2025, sales are anticipated to be between $22.66 billion and $22.76 billion, with adjusted diluted EPS expected in the range of $3.26 to $3.28, representing annual increases of 49% to 50% and 72% to 74%, respectively [6]. Stock Performance - Amphenol's stock is currently trading approximately 3.9% below its November high of $144.37, but has rallied nearly 26.2% over the past three months, significantly outperforming the Technology Select Sector SPDR Fund (XLK), which gained only 7.9% during the same period [2]. - Over the past 52 weeks, Amphenol's stock surged by 89.4%, far exceeding XLK's 20.9% gain [3]. - Year-to-date, the stock has jumped 99.7%, again outperforming XLK's 20.9% rise [3]. - Since May, Amphenol has consistently traded above its 200-day and 50-day moving averages, indicating a sustained uptrend [3].

Group 1 - Amphenol Corporation (NYSE:APH) is recognized as a strong long-term investment option, with Barclays raising its price target from $120 to $143 while maintaining an Equal Weight rating [1] - The company reported a significant 53% year-over-year growth in sales, driven by robust organic growth across nearly all end markets and contributions from its acquisition strategy [2] - The operating margin for the quarter reached a record high of 27.5%, indicating strong profitability [2] Group 2 - Amphenol completed the acquisition of Trexon for approximately $1 billion in cash, which is expected to be accretive to earnings in the first year and will be included in the Harsh Environment Solutions segment [3] - The company specializes in the design, marketing, and manufacturing of various connectors, antennas, interconnect systems, sensors, and specialty cables, with operations divided into three segments: Harsh Environment Solutions, Communications Solutions, and Interconnect and Sensor Systems [4]

Core Insights - Madison Mid Cap Fund's Class I returned 1.9% in Q3 2025, underperforming the Russell Midcap Index which increased by 5.3% [1] - Information Technology sector led the performance in both the quarter and year-to-date [1] Company Performance - Amphenol Corporation (NYSE: APH) reported a one-month return of -2.59% but gained 75.47% over the last 52 weeks, closing at $130.36 per share with a market capitalization of $159.568 billion on November 20, 2025 [2] - Amphenol's Q3 sales increased by 53% in US dollars and 52% in local currencies, reaching $6.194 billion [4] Investment Insights - Madison Mid Cap Fund highlighted Amphenol as a strong performer due to its revenue growth driven by AI-related data center spending, alongside other companies like Arista Networks and MKS [3] - The number of hedge funds holding Amphenol increased from 69 to 81 in the second quarter, indicating growing interest [4]