ESE Stock Analysis: ESCO Technologies | NYSE
Scientific & Technical Instruments | NYSE, USA | Market Cap: 6.889m USD | 12M Return: 28.3% | US2963151046 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 59.1M
EPS Trend: 98.1%
Qual. Beats: 0
Rev. Trend: 93.5%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
ESCO Technologies Inc. (NYSE: ESE) is a St. Louis-based engineered products company that operates through three reporting segments serving aviation, naval, defense, and industrial customers. Its Aerospace & Defense segment produces specialty filtration products, electro-explosive devices for military ejection seats and missile systems, precision-machined components for landing gear and flight controls, elastomeric signature-reduction solutions for U.S. Navy vessels, and mission-critical power management equipment. This breadth reflects the segments role as a tier-one supplier to both commercial aerospace OEMs and U.S. military primes, a dual-customer model common in the defense industrial base.
The Utility Solutions Group focuses on diagnostic and decision-support tools for the renewable energy industry, primarily wind and solar generation. The RF Test & Measurement segment supplies RF energy measurement and control products, anechoic chambers, shielded rooms, absorptive materials, filters, antennas, and calibration services used in R&D, regulatory compliance, medical, and security applications. The company distributes its products through a mix of direct sales teams, manufacturers representatives, and third-party distributors. Founded in 1990, ESCO is classified within the GICS Industrials sector, specifically the Industrial Machinery & Supplies & Components sub-industry, and its diversified portfolio spans highly regulated, certification-driven end markets with long product qualification cycles.
- Navy defense spending growth lifts Aerospace and Defense segment orders
- Commercial aerospace recovery drives filtration and landing gear component demand
- Renewable energy expansion supports Utility Solutions Group testing revenue
| Net Income: 314.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 2.10 > 1.0 |
| NWC/Revenue: 16.18% < 20% (prev 23.99%; Δ -7.81% < -1%) |
| CFO/TA 0.10 > 3% & CFO 244.0m > Net Income 314.8m |
| Net Debt (100.0m) to EBITDA (299.6m): 0.33 < 3 |
| Current Ratio: 1.38 > 1.5 & < 3 |
| Outstanding Shares: last quarter (26.0m) vs 12m ago 0.24% < -2% |
| Gross Margin: 42.01% > 18% (prev 41.05%; Δ 0.95% > 0.5%) |
| Asset Turnover: 52.19% > 50% (prev 42.55%; Δ 9.64% > 0%) |
| Interest Coverage Ratio: 10.09 > 6 (EBIT TTM 192.9m / Interest Expense TTM 19.1m) |
| A: 0.09 (Total Current Assets 755.5m - Total Current Liabilities 546.7m) / Total Assets 2.42b |
| B: 0.60 (Retained Earnings 1.46b / Total Assets 2.42b) |
| C: 0.08 (EBIT TTM 192.9m / Avg Total Assets 2.47b) |
| D: 2.01 (Book Value of Equity 1.62b / Total Liabilities 802.7m) |
| Altman-Z'' = 5.18 = AAA |
| DSRI: 0.68 (Receivables 267.5m/329.7m, Revenue 1.29b/1.07b) |
| GMI: 0.98 (GM 41.05% / 42.01%) |
| AQI: 0.97 (AQ_t 0.60 / AQ_t-1 0.62) |
| SGI: 1.20 (Revenue 1.29b / 1.07b) |
| TATA: 0.03 (NI 314.8m - CFO 244.0m) / TA 2.42b) |
| Beneish M = -3.19 (Cap -4..+1) = AA |
As of September 27, 2026, the stock is trading at USD 268.09 with a total of 191,480 shares traded. Over the past week, the price has changed by +0.82%, over one month by -3.15%, over three months by -24.44% and over the past year by +28.27%.
Current recommended Stop Loss: 253.70 (which is 5.4% or 1.6 ATR below the current price).
ESCO Technologies has received a consensus analysts rating of 4.25. Therefore, it is recommended to buy ESE.
- StrongBuy: 2
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 390.8 | 45.8% |
P/E Trailing = 49.2444
P/E Forward = 25.3807
P/S = 5.3377
P/B = 4.2599
P/EG = 1.6685
Revenue TTM = 1.29b USD
EBIT TTM = 192.9m USD
EBITDA TTM = 299.6m USD
Long Term Debt = 65.0m USD (from longTermDebt, last quarter)
Short Term Debt = 20.0m USD (from shortTermDebt, last quarter)
Debt = 173.2m USD (from shortLongTermDebtTotal, last quarter) + Leases 44.1m
Net Debt = 100.0m USD (calculated: Debt 173.2m - CCE 73.2m)
Enterprise Value = 6.99b USD (6.89b + Debt 173.2m - CCE 73.2m)
Interest Coverage Ratio = 10.09 (Ebit TTM 192.9m / Interest Expense TTM 19.1m)
EV/FCF = 35.55x (Enterprise Value 6.99b / FCF TTM 196.6m)
FCF Yield = 2.81% (FCF TTM 196.6m / Enterprise Value 6.99b)
FCF Margin = 15.23% (FCF TTM 196.6m / Revenue TTM 1.29b)
Net Margin = 24.39% (Net Income TTM 314.8m / Revenue TTM 1.29b)
Gross Margin = 42.01% ((Revenue TTM 1.29b - Cost of Revenue TTM 748.5m) / Revenue TTM)
Gross Margin QoQ = 41.74% (prev 42.45%)
Tobins Q-Ratio = 2.89 (Enterprise Value 6.99b / Total Assets 2.42b)
Interest Expense / Debt = 11.04% (Interest Expense 19.1m / Debt 173.2m)
Taxrate = 22.25% (40.0m / 179.9m)
NOPAT = 150.0m (EBIT 192.9m * (1 - 22.25%))
Current Ratio = 1.38 (Total Current Assets 755.5m / Total Current Liabilities 546.7m)
Debt / Equity = 0.11 (Debt 173.2m / totalStockholderEquity, last quarter 1.62b)
Debt / EBITDA = 0.33 (Net Debt 100.0m / EBITDA 299.6m)
Debt / FCF = 0.51 (Net Debt 100.0m / FCF TTM 196.6m)
Total Stockholder Equity = 1.58b (last 4 quarters mean from totalStockholderEquity)
RoA = 12.73% (Net Income 314.8m / Total Assets 2.42b)
RoE = 19.97% (Net Income TTM 314.8m / Total Stockholder Equity 1.58b)
RoCE = 11.76% (EBIT 192.9m / Capital Employed (Equity 1.58b + L.T.Debt 65.0m))
RoIC = 8.20% (NOPAT 150.0m / Invested Capital 1.83b)
WACC = 9.25% (E(6.89b)/V(7.06b) * Re(9.27%) + D(173.2m)/V(7.06b) * Rd(11.04%) * (1-Tc(0.22)))
Discount Rate = 9.27% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 78.90 | Cagr: 0.23%
[DCF] Terminal Value 75.10% ; FCFF base≈178.8m ; Y1≈205.0m ; Y5≈301.7m
[DCF] Fair Price = 147.3 (EV 3.92b - Net Debt 100.0m = Equity 3.82b / Shares 25.9m; r=9.25% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 98.07 | EPS CAGR: 36.21% | SUE: 0.53 | # QB: 0
Revenue Correlation: 93.49 | Revenue CAGR: 11.74% | SUE: -0.05 | # QB: 0
EPS current Quarter (2026-12-31): EPS=1.82 | Chg30d=+0.06% | Revisions=+25% | Analysts=3
EPS current Year (2026-09-30): EPS=8.36 | Chg30d=+1.89% | Revisions=+50% | GrowthEPS=+38.6% | GrowthRev=+19.9%
EPS next Year (2027-09-30): EPS=9.23 | Chg30d=+1.47% | Revisions=+57% | GrowthEPS=+10.4% | GrowthRev=+18.4%
[Analyst] Revisions Ratio: +73% (up=8, down=0)