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AME vs ZWS
Which Stock Would AI Choose? AMETEK (AME) vs. Zurn Elkay Water Solutions (ZWS) Stock Comparison
Key Takeaways
- AME (AMETEK, Inc.) is a diversified industrial technology giant with a roughly $54 billion market capitalization, while ZWS (Zurn Elkay Water Solutions) is a smaller, "pure-play" water management company valued near $7.7 billion.
- Both companies posted double-digit sales growth in recent quarters, but AME enjoys broader demand tailwinds from defense, automation, and AI-related data center infrastructure.
- ZWS delivered strong margin expansion and aggressive share repurchases, yet its share price has underperformed recently with roughly flat year-to-date returns.
- AME trades at a premium valuation (roughly 35 times earnings) relative to ZWS (about 28 times earnings), reflecting differing growth profiles and risk profiles.
- These are fundamentally different businesses serving different end markets, making this a comparison of industrial diversification versus focused, specification-driven water infrastructure exposure.
Introduction
Industrial investors often weigh diversified conglomerates against focused specialty companies when building a portfolio. AME, the electronic instruments and electromechanical devices manufacturer, and ZWS, a pure-play water management business, sit at opposite ends of that spectrum. This stock comparison examines their relative performance, market positioning, growth drivers, and risk factors to help traders and investors understand which profile may better fit current market conditions. Both names have reported strong recent results, but their momentum, valuations, and sector exposures diverge meaningfully, making a side-by-side review especially relevant for those seeking balance between growth and defensive, cash-generative franchises.
AME Overview and Recent Performance
AMETEK, Inc., headquartered in Berwyn, Pennsylvania, operates two core segments: the Electronic Instruments Group (EIG), which makes advanced analytical and monitoring instruments, and the Electromechanical Group (EMG), which produces precision motors, blowers, and engineered systems. The company serves aerospace and defense, industrial automation, process, and power markets.
Recent market activity has been constructive for AME. In its most recent quarter, the company reported roughly 11% sales growth, record orders up about 23% year over year, and a record backlog, driven by strong demand in defense, automation, and power infrastructure. Management raised its full-year adjusted earnings per share (EPS) guidance, and the company announced the acquisition of First Aviation Services, expanding its defense aftermarket and maintenance, repair, and overhaul (MRO) capabilities. Sentiment has been supported by exposure to AI-related semiconductor, data center, and grid modernization themes, though the stock's elevated valuation has prompted some analysts to question how much execution risk is already priced in.
ZWS Overview and Recent Performance
Zurn Elkay Water Solutions, based in Milwaukee, Wisconsin, is a growth-oriented, pure-play water management company. Its portfolio spans professional-grade water safety and control products, flow systems, hygienic and environmental products, and filtered drinking water solutions sold under brands including Zurn and Elkay.
In recent weeks, ZWS has demonstrated solid operational momentum. Its latest quarter featured roughly 11% core sales growth and an 18% increase in adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization), with adjusted EBITDA margins expanding to about 26.8%. The company maintained low net debt leverage, increased its revolving credit capacity, and repurchased shares. Management also cited progress on new growth adjacencies and an acquisition to broaden its addressable market. Despite strong fundamentals, the stock has lagged recently, trading below its 52-week high as investors weigh tariff-related uncertainty and a relatively premium valuation in a slower-growth commercial construction environment.
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Head-to-Head Comparison
The clearest contrast between these two stocks is scope. AME is a diversified multi-industry platform whose acquisition-driven growth model spans defense, aerospace, automation, process instrumentation, and power. ZWS, by contrast, is concentrated in specification-driven water management, tied closely to institutional and commercial construction plus drinking water filtration.
Growth drivers differ accordingly. AME benefits from secular themes such as rising global defense spending, industrial automation, and AI-powered data center infrastructure. ZWS leans on water safety regulation, sustainability mandates, and non-residential building activity. In terms of momentum, AME has carried stronger relative performance recently, while ZWS has been more range-bound despite solid earnings. On risk, AME faces integration and valuation risk from its mergers and acquisitions (M&A) strategy, whereas ZWS is more exposed to construction cycles and tariff-driven input costs.
Tickeron AI Verdict
Based on observable factors such as trend consistency, breadth of demand, and relative positioning, Tickeron's AI would likely favor AME in the current environment. The stock has demonstrated more consistent upward momentum, a record order backlog, and multiple secular catalysts across defense, automation, and power. ZWS offers attractive margin expansion and a clean balance sheet, but its more concentrated end-market exposure and softer recent price action suggest a less compelling trend profile at present. This assessment reflects relative momentum and positioning rather than any definitive prediction, and conditions could shift as new earnings, macro data, and sector rotations unfold.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is AME is a Buy and ZWS is a Hold.
AME in upward trend: price may ascend as a result of having broken its lower Bollinger Band on October 22, 2026
AME may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 23 of 37 cases where AME's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 62%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 28, 2026. You may want to consider a long position or call options on AME as a result. In 47 of 89 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 53%.
AME moved above its 50-day moving average on October 27, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for AME crossed bullishly above the 50-day moving average on September 29, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 8 of 16 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 50%.
Following a +2.26% 3-day Advance, the price is estimated to grow further. Considering data from situations where AME advanced for three days, in 162 of 330 cases, the price rose further within the following month. The odds of a continued upward trend are 49%.
The Aroon Indicator entered an Uptrend today. In 141 of 284 cases where AME Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 50%.
Bearish Trend Analysis
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
The Moving Average Convergence Divergence Histogram (MACD) for AME turned negative on October 14, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 46 similar instances when the indicator turned negative. In 16 of the 46 cases the stock turned lower in the days that followed. This puts the odds of success at 35%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AME declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 45%.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 9 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 74, placing this stock better than average.
The Tickeron PE Growth Rating for this company is 22 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is 45 (best 1 - 100 worst), indicating steady price growth. AME’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 58 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (5.126) is normal, around the industry mean (3.907). P/E Ratio (36.703) is within average values for comparable stocks, (38.471). Projected Growth (PEG Ratio) (2.859) is also within normal values, averaging (1.879). Dividend Yield (0.005) settles around the average of (0.030) among similar stocks. P/S Ratio (6.803) is also within normal values, averaging (186.943).
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
ZWS in upward trend: price may ascend as a result of having broken its lower Bollinger Band on October 28, 2026
ZWS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 26 of 35 cases where ZWS's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 74%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where ZWS's RSI Oscillator exited the oversold zone, 24 of 35 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 69%.
The 10-day moving average for ZWS crossed bullishly above the 50-day moving average on October 23, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 11 of 21 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 52%.
Following a +1.99% 3-day Advance, the price is estimated to grow further. Considering data from situations where ZWS advanced for three days, in 182 of 298 cases, the price rose further within the following month. The odds of a continued upward trend are 61%.
The Aroon Indicator entered an Uptrend today. In 124 of 204 cases where ZWS Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 61%.
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In 33 of 56 cases where ZWS's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are 59%.
The Momentum Indicator moved below the 0 level on October 28, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on ZWS as a result. In 46 of 84 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 55%.
The Moving Average Convergence Divergence Histogram (MACD) for ZWS turned negative on October 28, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 45 similar instances when the indicator turned negative. In 22 of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at 49%.
ZWS moved below its 50-day moving average on October 28, 2026 date and that indicates a change from an upward trend to a downward trend.
The 50-day moving average for ZWS moved below the 200-day moving average on October 13, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ZWS declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 61%.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 51 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 51 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 91, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 71 (best 1 - 100 worst), indicating slightly worse than average price growth. ZWS’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 77 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.472) is normal, around the industry mean (12.494). P/E Ratio (27.274) is within average values for comparable stocks, (-18.330). Projected Growth (PEG Ratio) (1.523) is also within normal values, averaging (0.975). Dividend Yield (0.010) settles around the average of (0.058) among similar stocks. P/S Ratio (4.373) is also within normal values, averaging (251.106).
The Tickeron PE Growth Rating for this company is 82 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
AME | ZWS | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 35 | 20 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 85 Overvalued | 77 Overvalued | |
PROFIT vs RISK RATING 1..100 | 9 | 51 | |
SMR RATING 1..100 | 58 | 51 | |
PRICE GROWTH RATING 1..100 | 45 | 71 | |
P/E GROWTH RATING 1..100 | 22 | 82 | |
SEASONALITY SCORE 1..100 | 85 | n/a |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
ZWS's Valuation (77) in the Industrial Machinery industry is in the same range as AME (85) in the Miscellaneous Manufacturing industry. This means that ZWS’s stock grew similarly to AME’s over the last 12 months.
AME's Profit vs Risk Rating (9) in the Miscellaneous Manufacturing industry is somewhat better than the same rating for ZWS (51) in the Industrial Machinery industry. This means that AME’s stock grew somewhat faster than ZWS’s over the last 12 months.
ZWS's SMR Rating (51) in the Industrial Machinery industry is in the same range as AME (58) in the Miscellaneous Manufacturing industry. This means that ZWS’s stock grew similarly to AME’s over the last 12 months.
AME's Price Growth Rating (45) in the Miscellaneous Manufacturing industry is in the same range as ZWS (71) in the Industrial Machinery industry. This means that AME’s stock grew similarly to ZWS’s over the last 12 months.
AME's P/E Growth Rating (22) in the Miscellaneous Manufacturing industry is somewhat better than the same rating for ZWS (82) in the Industrial Machinery industry. This means that AME’s stock grew somewhat faster than ZWS’s over the last 12 months.
| AME | ZWS | |
|---|---|---|
| RSI ODDS (%) | N/A | 2 days ago 69% |
| Stochastic ODDS (%) | 2 days ago 42% | 2 days ago 59% |
| Momentum ODDS (%) | 2 days ago 53% | 2 days ago 55% |
| MACD ODDS (%) | 2 days ago 35% | 2 days ago 49% |
| TrendWeek ODDS (%) | 2 days ago 50% | 2 days ago 58% |
| TrendMonth ODDS (%) | 2 days ago 48% | 2 days ago 60% |
| Advances ODDS (%) | 2 days ago 49% | 9 days ago 61% |
| Declines ODDS (%) | 12 days ago 45% | 3 days ago 61% |
| BollingerBands ODDS (%) | 2 days ago 62% | 2 days ago 74% |
| Aroon ODDS (%) | 2 days ago 50% | 2 days ago 61% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
AME’s FA Score shows that 2 FA rating(s) are green while ZWS’s FA Score has 0 green FA rating(s).
- AME’s FA Score: 2 green, 3 red.
- ZWS’s FA Score: 0 green, 5 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
AME’s TA Score shows that 6 TA indicator(s) are bullish while ZWS’s TA Score has 5 bullish TA indicator(s).
- AME’s TA Score: 6 bullish, 3 bearish.
- ZWS’s TA Score: 5 bullish, 6 bearish.
Price Growth
AME (@Industrial Machinery) experienced а +5.43% price change this week, while ZWS (@Industrial Specialties) price change was -8.08% for the same time period.
The average weekly price growth across all stocks in the @Industrial Machinery industry was +20.04%. For the same industry, the average monthly price growth was -12.64%, and the average quarterly price growth was -17.68%.
The average weekly price growth across all stocks in the @Industrial Specialties industry was +4.86%. For the same industry, the average monthly price growth was -8.63%, and the average quarterly price growth was -22.98%.
Reported Earning Dates
AME is expected to report earnings on Nov 03, 2026.
ZWS is expected to report earnings on Feb 09, 2027.
Industries' Descriptions
@Industrial Machinery (+20.04% weekly)The industry makes and maintains machines for consumers, the industry, and most other companies. While it has traditionally been categorized as heavy industry, some smaller companies are also branching into the light category. The industry is pivotal in providing the equipment for production in businesses like agriculture, mining, industry and construction, gas, electricity and water utilities. It also supplies supporting equipment for almost all sectors of the economy, such as equipment for heating, and air conditioning of buildings. Illinois Tool Works Inc., Parker-Hannifin Corporation and Rockwell Automation Inc are some of the major U.S. companies operating in this industry.
@Industrial Specialties (+4.86% weekly)Companies in the industrial specialties industry process basic materials and minerals into various specialty products, such as flat and safety glass, fire retardant products, paints and coatings. Examples of companies operating in this industry are Sherwin-Williams Company, PPG Industries, Inc. and RPM International Inc.
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AME and
Correlation & Price change
A.I.dvisor indicates that over the last year, AME has been closely correlated with ROP. These tickers have moved in lockstep 75% of the time. This A.I.-generated data suggests there is a high statistical probability that if AME jumps, then ROP could also see price increases.
ZWS and
Correlation & Price change
A.I.dvisor indicates that over the last year, ZWS has been closely correlated with XYL. These tickers have moved in lockstep 74% of the time. This A.I.-generated data suggests there is a high statistical probability that if ZWS jumps, then XYL could also see price increases.
| Ticker / NAME | Correlation To ZWS | 1D Price Change % | ||
|---|---|---|---|---|
| ZWS | 100% | +2.83% | ||
| XYL - ZWS | 74% Closely correlated | +2.87% | ||
| LECO - ZWS | 70% Closely correlated | +1.34% | ||
| HLIO - ZWS | 67% Closely correlated | +0.90% | ||
| HLMN - ZWS | 67% Closely correlated | +2.77% | ||
| PNR - ZWS | 65% Loosely correlated | +2.28% | ||
More | ||||
| 1 Day | |||
|---|---|---|---|
| ETFs / NAME | Price $ | Chg $ | Chg % |
| IXG | 130.63 | 1.49 | +1.15% |
| iShares Global Financials ETF (IXG) | |||
| NDAA | 24.00 | 0.03 | +0.10% |
| Ned Davis Research 360 Dynamic Allocation ETF (NDAA) | |||
| EHLS | 24.68 | -0.04 | -0.18% |
| Even Herd Long Short ETF (EHLS) | |||
| BNDD | 97.57 | -0.29 | -0.29% |
| Quadratic Deflation ETF (BNDD) | |||
| IGM | 159.89 | -3.52 | -2.15% |
| iShares Expanded Tech Sector ETF (IGM) | |||