Founded in 1930 and transformed over the decades through the acquisition of dozens of esteemed brands, Ametek owns more than 40 autonomous industrial businesses operating across research, aerospace, energy, medical, and manufacturing... Show more
AME, the stock ticker for AMETEK, Inc., represents a company with a modest but steadily growing dividend profile. AMETEK is a global industrial technology solutions provider with annual sales of approximately $7.5 billion, operating across electronic instruments and electromechanical segments. The company pays a regular quarterly dividend of $0.34 per share, which translates to an annualized dividend of $1.36 per share and a current dividend yield of roughly 0.58%. The most recent ex-dividend date was June 15, 2026, with the payment distributed on June 30, 2026. AMETEK is not a high-yield stock by any conventional measure; rather, it falls squarely into the dividend growth category. The company prioritizes steady, meaningful annual dividend increases over offering an outsized current yield. This approach reflects management's focus on reinvesting capital into organic growth initiatives and strategic acquisitions while simultaneously rewarding long-term shareholders.
AMETEK's dividend history reveals a company deeply committed to returning capital to shareholders. The company has paid dividends for an extraordinary 56 consecutive years, a track record that places it among the most consistent dividend payers in the industrial sector. Beyond mere consistency, AMETEK has demonstrated a powerful commitment to dividend growth. Over the past five years, the company has delivered a compound annual dividend growth rate of approximately 11.5%. Looking at recent annual dividend per share figures, the progression is clear: $0.72 in 2020, $0.80 in 2021, $0.88 in 2022, $1.00 in 2023, $1.12 in 2024, and $1.24 in 2025. The most recent increase, reflected in the quarterly dividend rising from $0.31 to $0.34 per share in early 2026, represents a year-over-year increase of roughly 10%. AMETEK has now raised its dividend for six consecutive years, and the pace of those increases has averaged in the low double digits — a compelling characteristic for investors seeking dividend growth over time.
AMETEK's dividend sustainability ranks among the strongest in the industrial sector. The company's payout ratio — the percentage of earnings paid out as dividends — stands at approximately 19–20%, based on trailing twelve-month earnings per share (EPS) of roughly $6.61 and an annual dividend of $1.36 per share. This low payout ratio means that for every dollar of profit AMETEK generates, less than 20 cents goes toward dividend payments, leaving substantial room for reinvestment, acquisitions, and future dividend growth. Similarly, the free cash flow payout ratio is approximately 18.6%, demonstrating that the dividend is well covered by operating cash flows. The company's dividend cover — the number of times earnings cover the dividend — stands at approximately 5.16x, providing a significant safety margin. With a return on equity of roughly 15% and an operating margin consistently around 26%, AMETEK generates robust profitability that comfortably supports its dividend program. Investors can reasonably expect the dividend to remain secure and continue growing.
Within the industrial sector, AMETEK's dividend yield of approximately 0.58% sits below the sector average of roughly 1.17%. This lower yield is characteristic of high-quality industrial growth companies that command premium valuations. Peers in the multi-industry and electronic instrumentation space, such as DHR (Danaher), ROP (Roper Technologies), and HON (Honeywell), generally offer yields in a similar range, with some paying slightly higher yields depending on their stage of capital allocation maturity. What sets AMETEK apart is the combination of its exceptionally low payout ratio and its aggressive dividend growth rate. While some industrial peers may offer higher current yields, few match AMETEK's double-digit annual dividend growth trajectory. For income-oriented investors, AMETEK's yield may seem underwhelming. But for investors focused on long-term dividend growth and total shareholder returns — which also include AMETEK's share buyback program — the company's profile is among the more attractive in the sector.
Identifying dividend stocks like AMETEK across thousands of publicly traded companies can be a time-consuming challenge for both retail and professional investors. Tickeron's AI Screener addresses this challenge by providing an AI-powered stock and ETF discovery platform. The tool enables users to scan and filter thousands of stocks and ETFs using customizable criteria such as industry classification, market capitalization, technical indicators, price patterns, performance metrics, and fundamental data. For dividend-focused investors, the screener can help pinpoint stocks with growing payouts, sustainable payout ratios, and strong free cash flow coverage — all without the inefficiency of manual screening. Whether you are searching for dividend growth stocks, income-generating investments, breakout candidates, or trending market opportunities, the AI Screener streamlines the discovery process with data-driven precision. Explore how the AI Screener can enhance your investment research workflow today.
AMETEK is best suited for dividend growth investors with a long-term investment horizon. The company's modest current yield of roughly 0.58% means it is unlikely to satisfy investors who need immediate income from their portfolios. However, the combination of a low payout ratio, consistent double-digit annual dividend increases, and a 56-year track record of uninterrupted payments makes AMETEK a compelling candidate for those building a portfolio with rising income potential over time. The company's strong free cash flow generation, healthy operating margins, and disciplined capital allocation strategy provide confidence that dividend growth can continue well into the future. Long-term total return investors may also benefit from AMETEK's share buyback program, which complements the dividend and adds to overall shareholder yield. Conservative investors should note that AMETEK trades at a premium valuation, with a price-to-earnings (P/E) ratio above 34, reflecting the market's high expectations for continued growth. For dividend investors who prioritize dividend safety, growth, and longevity over current yield, AMETEK represents a high-quality holding in the industrial technology space.
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.
a manufacturer of electronic instruments and electromechanical devices
Industry IndustrialMachinery