AEIS Stock Analysis — Advanced Energy Industries
Sector: Tech hardware
AI Verdict
You're paying up for a narrative of explosive earnings growth, but if AEIS's customer lock-in holds, the numbers suggest it's cheap for the risk.
Competitive Moat
AEIS designs precision power conversion systems used in semiconductor manufacturing and industrial applications, where reliability and customization are critical. Its moat comes from deep integration with customer manufacturing lines and proprietary power management technology, making switching costly and risky for clients.
Summary
AEIS is on watch because analysts expect a massive 157.9% jump in earnings next year, driving a sharp drop in its P/E.
Where It Stands
AEIS trades at 29.3x next year's earnings versus a tech hardware median of 25x, with trailing revenue growth of 22.2% and a forward EPS growth forecast of 157.9%.
Key Metrics
- Trailing P/E: 75.6x
- Forward P/E: 29.3x
- PEG Ratio: 0.48
- Earnings Growth: +1.6%
- Revenue Growth: +0.2%
- Dividend Yield: 0.00%
- 52-Week High: $397.44
- 52-Week Low: $118.77
Analyst Consensus
14 Buy · 4 Hold · 0 Sell (18 analysts)
Bull Case
With forward EPS growth of 157.9%, the 29.3x forward P/E is cheap for the growth on offer if AEIS delivers on its guidance.
Bear Case
If the forward P/E reverts from 29.3x to the sector median of 25x, the stock could see a 15% multiple-driven pullback even if earnings hit targets.
Catalyst to Watch
Watch for quarterly earnings — any miss on the 157.9% EPS growth expectation could trigger a sharp rerating.