Applied Industrial Technologies (AIT, Financial) has entered an agreement to acquire IRIS Factory Automation, a company based in Aurora, IL. IRIS specializes in providing automation products and services, particularly focusing on enhancing material handling and traceability in production environments. This acquisition aims to strengthen AIT's automation platform by incorporating IRIS's expertise in offering innovative and comprehensive turn-key solutions.
The integration of IRIS is expected to enhance AIT's strategies centered on solution delivery, enabling the company to address the emerging automation requirements of its clientele effectively. This move is set to expand AIT's presence in the U.S. Midwest and boost the scalability of their standardized automation solutions.
By leveraging IRIS's cutting-edge technologies and AIT's established position in manufacturing sectors, the company anticipates significant growth over the long term. This acquisition is a strategic step towards reinforcing AIT’s role as a prominent provider and partner in next-generation automation solutions.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 7 analysts, the average target price for Applied Industrial Technologies Inc (AIT, Financial) is $287.86 with a high estimate of $320.00 and a low estimate of $265.00. The average target implies an upside of 18.32% from the current price of $243.28. More detailed estimate data can be found on the Applied Industrial Technologies Inc (AIT) Forecast page.
Based on the consensus recommendation from 8 brokerage firms, Applied Industrial Technologies Inc's (AIT, Financial) average brokerage recommendation is currently 1.8, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Applied Industrial Technologies Inc (AIT, Financial) in one year is $170.64, suggesting a downside of 29.86% from the current price of $243.28. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Applied Industrial Technologies Inc (AIT) Summary page.
