Advanced Energy

AEIS · Nasdaq · Information Technology · Financials, fiscal 2016 to 2025

AEIS · Last close · October 26, 2026

$221.13

Advanced Energy's revenue rose 21.4% to $1.8 billion in fiscal 2025. Its operating margin was 9.3%, up from 2.5% a year earlier. Free cash flow was $126 million, up 70.1%. It paid out $46 million in dividends and buybacks, 36% of free cash flow. The diluted share count rose 2.1%.

ADVANCED ENERGY INDUSTRIES, INC. Latest fiscal year ended December 31, 2025 10-K filed February 13, 2026 · 0001104659-26-014731 Updated October 16, 2026

Revenue

$1.8B

21.4%

Operating margin

9.3%

6.9 pts

Net income

$148M

173.7%

Free cash flow

$126M

70.1%

Return on capital

13.6%

10.1 pts

Market cap

$9.4B

Oct 26 close

P/E

41.1x

On $5.38 EPS, 4 qtrs

Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

Charts show fiscal years, from the 10-K filings.

Revenue and margins

Revenue

US$ billions, fiscal years

Margins

Percent of revenue

GrossOperatingNetFree cash flow

Net income and earnings per share

From fiscal 2016 to 2025, earnings per share grew 2.1% a year and net income 1.7% a year, as buybacks cut the share count by 3%.

Net income

US$ billions, fiscal years; loss years in red.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Cash flow

Free cash flow

US$ billions. Cash from operations minus capital expenditure; negative years in red.

Payouts and share count

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Valuation

Two ways to value Advanced Energy yourself, both starting from its filings: a discounted cash flow model and the price-to-earnings method.

Discounted cash flow (DCF)

A discounted cash flow (DCF) model values a business as the cash it may generate in future, discounted back to today. The starting figures come from Advanced Energy's 10-K (or, for net cash and shares, its latest 10-Q) and the assumptions are yours: start from one of three example scenarios, then change any figure to see what it implies for a share, and how that compares with the last share price.

Value per share on three example scenarios, from Advanced Energy's cash from operations minus depreciation in fiscal 2025 (free cash flow before spending to grow: capital spending was 1.7 times depreciation, which holds its free cash flow down) of $171M, net cash of $224M at December 31, 2025 and 39 million diluted shares, from its filings. The scenarios are fitted to Advanced Energy: the base scenario's growth in years 1 to 5 is its revenue growth over the last 3 years, -0.8% a year, kept between 0% and 20%; the cautious and optimistic ones are lower and higher, and growth in years 6 to 10 is halfway to the long-run rate. The base scenario's discount rate is 13%: 11% for a cyclical or higher-risk business (Semiconductor Materials & Equipment), plus 1 point as a smaller company, worth $9.4B, plus 1 point for unsteady results (revenue fell in two of the last five years); the cautious and optimistic ones use a point more and a point less. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

From the filings

Starting free cash flow, US$ millions

Cash from operations minus depreciation in fiscal 2025: a rough guide to cash flow before spending to grow, for a company building heavily.

Net cash, US$ millions

Cash and short-term investments minus debt and finance leases at December 31, 2025. Negative means net debt.

Diluted shares, millions

Weighted-average diluted shares in fiscal 2025.

Your assumptions

Start from

Fitted to Advanced Energy's own revenue growth, as above. Cautious: growth of -2% then 0% a year, 2% after year 10, a 14% discount rate. Base: growth of 0% then 1% a year, 2.5% after year 10, a 13% discount rate. Optimistic: growth of 2% then 2.5% a year, 3% after year 10, a 12% discount rate.

Free cash flow growth, years 1 to 5 (% a year)

Free cash flow growth, years 6 to 10 (% a year)

Growth after year 10 (% a year)Long-run growth forever after year 10. Usually close to inflation, and always below the discount rate.

Discount rate (% a year)The yearly return an investor wants for the risk. A higher rate gives a lower value.

Value per share on these assumptions

—

Last close, October 26, 2026: $221.13
Value on these assumptions, against the last close: —

Cash flows in years 1 to 10, valued today: —
Everything after year 10, valued today: —
Plus net cash: —
Share of value from after year 10: —

Projected free cash flow

US$ billions. Each column is one year's projected free cash flow, split into what it is worth today and the part removed by discounting.

Value todayRemoved by discounting

How the value changes with two assumptions

Value per share in US$, with the growth rates above. The highlighted cell matches the current assumptions.

How the model works. Free cash flow grows at the first rate for five years and the second rate for five more, and each year is discounted at the discount rate. Everything after year 10 is valued as year-10 cash flow × (1 + growth after year 10) ÷ (discount rate − growth after year 10), discounted back ten years. Net cash is added and the total is divided by diluted shares. The result depends entirely on the assumptions. It is not a forecast, a price target or a recommendation. The last close is the consolidated US closing price, from Databento.

Price-to-earnings (P/E) method

Another common way to value a company is to multiply its earnings per share by a price-to-earnings (P/E) multiple: the number of years of today's earnings an investor pays for a share. A higher multiple usually means investors expect earnings to grow. Choose a multiple, for example from similar companies, to see the value it gives.

Value per share on three example scenarios, from Advanced Energy's earnings per share of $5.38 (over the last four quarters). Each grows earnings for a year at the cash flow scenarios' rates and applies a multiple to next year's earnings: 41.1×, the middle of Advanced Energy's own P/E today, its peers' median and its sector's median (Advanced Energy's own P/E today) for the base scenario, 20% less and more for the cautious and optimistic ones. The price is brought back a year at 14%, 13% and 12%. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

Earnings per share, US$

Diluted earnings per share over the four quarters to June 30, 2026, from the 10-Qs and 10-K.

P/E multiple

P/E today is the last close divided by the latest earnings per share, the four quarters' where available. Peers: Teradyne, Entegris, Onto Innovation, MKS Instruments.

Earnings growth in the years ahead (% a year) Starts at Advanced Energy's revenue growth over the last 3 years, -0.8% a year, kept between 0% and 20%, as the base scenario does.

Earnings per share in the years ahead, US$

Year 1Year 2Year 3Year 4Year 5

Type your own estimate for any year; the years after it carry on at the growth rate.

Apply the multiple to earnings

A multiple on a future year's earnings gives the price then, brought back to today at the discount rate below.

Discount rate (% a year) The yearly return an investor wants for the risk, as in the cash flow model.

Value per share today at this multiple

—

Last close, October 26, 2026: $221.13
Value at this multiple, against the last close: —
Advanced Energy's P/E at the last close: 41.1×

Company	Last close	Earnings per share	P/E today
TeradyneTER	$309.00	$3.47	89.0×
Onto InnovationONTO	$203.53	$2.66	76.5×
EntegrisENTG	$140.22	$2.00	70.1×
Advanced EnergyAEIS	$221.13	$5.38	41.1×
MKS InstrumentsMKSI	$202.28	$6.28	32.2×

How the P/E method works. Value per share is earnings per share times the multiple. On a future year's earnings, that gives the price in that year, which is brought back to today at the discount rate: price ÷ (1 + discount rate) for each year ahead. It is quick and easy to compare across companies, but it ignores debt and cash, and earnings can swing with one-off gains and charges, so a multiple says most about steady, profitable businesses. Like the cash flow model, the result depends entirely on the assumptions you choose. It is not a forecast, a price target or a recommendation.

Balance sheet

Fiscal year end	FY21	FY22	FY23	FY24	FY25
Cash and short-term investments	547	459	1,045	722	791
Debt incl. finance leases	393	373	916	565	568
Net debt (negative means net cash)	−154	−86	−129	−157	−224
Net debt to EBITDA	−0.8x	−0.3x	−0.7x	−1.5x	−1.0x
Debt to equity	0.5x	0.3x	0.8x	0.5x	0.4x
Interest coverage	42.4x	31.8x	6.8x	1.5x	10.1x
Current ratio	3.1x	3.0x	5.1x	4.4x	1.6x
Quick ratio	2.2x	2.1x	4.1x	3.3x	1.2x

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Insider trades

Over the 12 months between October 27, 2025 and October 26, 2026, no insider bought Advanced Energy shares on the open market, and 10 insiders sold $34.4 million, $34.1 million of it under trading plans set up in advance.

Date	Insider	Trade	Shares	Price	Value	Filing
Sep 8, 2026	Elizabeth Karpinski VonneEVP, General Counsel	Sold plan	632	$288.14	$182,104	Form 4
Sep 8, 2026	Anne DelSantoDirector	Sold plan	265	$288.14	$76,357	Form 4
Aug 27, 2026	Elizabeth Karpinski VonneEVP, General Counsel	Sold plan	907	$290.05	$263,075	Form 4
Aug 18, 2026	Eduardo Bernal AcebedoEVP and COO	Sold plan	24,771	$315.48	$7.8 million	Form 4
Aug 18, 2026	Elizabeth Karpinski VonneEVP, General Counsel	Sold plan	908	$332.68	$302,073	Form 4
Aug 5, 2026	Anne DelSantoDirector	Sold plan	270	$345.00	$93,150	Form 4
Jun 15, 2026	Brian ShirleyDirector	Sold plan	1,234	$372.35	$459,480	Form 4
Apr 16, 2026	Elizabeth Karpinski VonneEVP, General Counsel	Sold plan	966	$369.40	$356,840	Form 4
Apr 15, 2026	Anne DelSantoDirector	Sold plan	240	$380.52	$91,325	Form 4
Mar 18, 2026	Paul R OldhamEVP, CFO	Sold plan	4,314	$315.99	$1.4 million	Form 4
Mar 16, 2026	Anne DelSantoDirector	Sold plan	240	$312.59	$75,022	Form 4
Mar 13, 2026	Brian ShirleyDirector	Sold plan	1,234	$310.19	$382,774	Form 4

The latest 12 of 24 trades. Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Piotroski F-score

The F-score counts how many of nine simple tests of profitability, funding and efficiency a company passed in a year (Piotroski, 2000). The more tests passed, the stronger the year: 8 or 9 is strong, 0 to 2 weak. Companies that report no gross profit are scored on the other eight.

Test	FY23	FY24	FY25
Net income is positive	Pass	Pass	Pass
Cash from operations is positive	Pass	Pass	Pass
Return on assets rose	Fail	Fail	Pass
Cash from operations exceeds net income	Pass	Pass	Pass
Debt fell relative to assets	Fail	Pass	Fail
Current ratio rose	Pass	Fail	Fail
Share count didn't rise	Fail	Pass	Fail
Gross margin rose	Fail	Fail	Pass
Revenue rose relative to assets	Fail	Fail	Pass
F-score	4 of 9	5 of 9	6 of 9
Accruals ratio	−3.5%	−3.2%	−3.5%

The accruals ratio is net income minus cash from operations, over average total assets.

Compare

Put Advanced Energy side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
Advanced Energy	FY25	21.4%	9.3%	7.0%	13.6%	−1.0x	6
Teradyne	FY25	13.1%	20.4%	14.1%	23.0%	−0.1x	5	Compare
Entegris	FY25	−1.4%	14.3%	12.4%	5.8%	—	6	Compare
Onto Innovation	FY25	1.8%	13.2%	29.8%	8.8%	−3.3x	4	Compare
MKS Instruments	FY25	9.6%	13.4%	12.6%	7.8%	4.4x	6	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score above.

10 years of figures

Fiscal year	FY16	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25
Income statement
Revenue	327	453	719	789	1,416	1,456	1,845	1,656	1,482	1,799
Revenue growth	22.1%	38.4%	58.7%	9.7%	79.5%	2.8%	26.8%	−10.3%	−10.5%	21.4%
Gross profit	253	356	366	316	542	532	676	592	529	677
Research and development	44	58	76	102	144	162	191	202	212	232
Operating income	127	201	172	54	176	152	233	114	37	168
Net income	128	138	147	65	135	135	200	128	54	148
Diluted EPS (US$)	3.18	3.43	3.74	1.69	3.50	3.51	5.29	3.40	1.43	3.84
Diluted shares (millions)	40	40	39	38	38	38	38	38	38	39
Cash flow
Cash from operations	119	183	151	48	201	140	184	209	131	233
Capital expenditure	7	9	20	25	36	29	59	61	57	107
Free cash flow	112	174	131	23	165	111	125	148	74	126
Dividends paid	0	0	0	0	0	15	15	15	15	16
Share buybacks	0	30	95	0	12	78	27	40	2	30
Acquisitions	0	17	94	366	6	22	149	0	14	0
Stock-based compensation	6	12	10	7	12	16	20	31	46	56
Balance sheet at fiscal year end
Cash and short-term investments	282	410	352	349	483	547	459	1,045	722	791
Debt incl. finance leases	—	—	—	339	322	393	373	916	565	568
Total assets	572	733	816	1,532	1,648	1,817	1,992	2,557	2,262	2,546
Total liabilities	180	213	209	855	832	946	926	1,413	1,055	1,175
Shareholders' equity	392	521	607	677	815	871	1,066	1,144	1,203	1,363
Margins and ratios
Gross margin	77.3%	78.7%	50.9%	40.0%	38.3%	36.6%	36.6%	35.8%	35.7%	37.7%
Operating margin	38.8%	44.3%	23.9%	6.9%	12.4%	10.4%	12.6%	6.9%	2.5%	9.3%
Net margin	38.9%	30.4%	20.4%	8.2%	9.5%	9.2%	10.8%	7.8%	3.7%	8.2%
Free cash flow margin	34.4%	38.3%	18.2%	2.9%	11.6%	7.7%	6.8%	8.9%	5.0%	7.0%
Return on capital	—	—	—	—	22.8%	20.0%	22.9%	11.4%	3.5%	13.6%
Return on equity	38.9%	30.2%	26.1%	10.1%	18.1%	16.0%	20.6%	11.6%	4.6%	11.6%
Return on assets	24.6%	21.1%	19.0%	5.5%	8.5%	7.8%	10.5%	5.6%	2.2%	6.2%
Net debt to EBITDA	—	—	—	−0.1x	−0.7x	−0.8x	−0.3x	−0.7x	−1.5x	−1.0x

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: Advanced Energy's Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with Advanced Energy.