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Amphenol Corporation (APH)
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Amphenol (APH) AI Stock Analysis

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APH

Amphenol

(NYSE:APH)

Rating:81Outperform
Price Target:
$121.00
▲(12.11% Upside)
Amphenol's strong financial performance and record-breaking earnings drive the stock's high score. The strategic acquisition of CommScope's CCS business further positions the company for growth in lucrative markets. While technical indicators remain mostly positive, the high P/E ratio indicates potential overvaluation concerns. Overall, the combination of strong financials, strategic acquisitions, and robust earnings performance leads to a solid overall stock score.
Positive Factors
Acquisition Impact
The acquisition of CommScope's Connectivity & Cables Solutions business strengthens Amphenol's position in the data center market with an expanded portfolio of fiber optic interconnect and complex cables.
Earnings Potential
The acquisition is expected to be accretive to earnings per share in the first full year after closing.
Negative Factors
Growth Concerns
Investors are questioning if growth in AI has peaked and if the magnitude of the beats will slow down from the $700-800mn over the past two quarters to a more normal historical rate of $100-200mn/quarter.
Market Uncertainty
Long-term positives on strong AI trajectory are offset by near-term uncertainty around macroeconomic factors and tariff impacts on end market demand.

Amphenol (APH) vs. SPDR S&P 500 ETF (SPY)

Amphenol Business Overview & Revenue Model

Company DescriptionAmphenol Corporation (APH) is a leading global provider of high-technology interconnect, sensor, and antenna solutions. The company operates across a diverse array of sectors, including automotive, broadband communications, commercial aerospace, industrial, information technology and data communications, military, mobile devices, and mobile networks. Amphenol's core products encompass a wide range of connectors, cable assemblies, sensors, and antennas, which are critical components in the electrical and electronics systems of its customers.
How the Company Makes MoneyAmphenol Corporation generates revenue through the design, manufacturing, and sale of its interconnect, sensor, and antenna solutions across various industries. The company's revenue model is primarily based on the sale of these products to original equipment manufacturers (OEMs), contract manufacturers, and other customers. Key revenue streams include the automotive sector, where Amphenol provides high-performance connectors and sensors; the broadband and information technology sectors, which rely on Amphenol for fiber optic and connector products; and the military and aerospace sectors, where the company supplies ruggedized connectors and assemblies. Amphenol also benefits from strategic partnerships and long-term contracts with major global players in these industries, which help stabilize and grow its earnings.

Amphenol Key Performance Indicators (KPIs)

Any
Any
Revenue by Sales Channel
Revenue by Sales Channel
Analyzes revenue from different sales channels, revealing the effectiveness of distribution strategies and potential areas for expanding market reach.
Chart InsightsAmphenol's revenue from both 'End Customers and Contract Manufacturers' and 'Distributors and Resellers' has shown significant growth, particularly in 2024 and early 2025. This aligns with the company's record sales and strong performance in IT datacom and defense markets, as highlighted in the earnings call. The strategic acquisitions of Andrew and LifeSync are expected to further enhance earnings. However, challenges in the commercial aerospace and automotive sectors, along with potential tariff impacts, could pose risks to sustaining this momentum.
Data provided by:Main Street Data

Amphenol Earnings Call Summary

Earnings Call Date:Jul 23, 2025
(Q2-2025)
|
% Change Since: 6.04%|
Next Earnings Date:Oct 22, 2025
Earnings Call Sentiment Positive
Amphenol's Q2 2025 earnings call highlighted record-breaking sales and robust growth across several segments, particularly in IT datacom and operating margin performance. The company's strategic acquisitions and strong cash flow generation further strengthened its position. However, there were some concerns, including a moderate book-to-bill ratio and potential margin normalization. Despite these challenges, the overall performance was strong.
Q2-2025 Updates
Positive Updates
Record-Breaking Revenue and Growth
Amphenol Corporation reported record sales of $5.650 billion in Q2 2025, with a 57% increase in U.S. dollars, 56% in local currencies, and 41% organically compared to Q2 2024. This growth exceeded the high end of guidance.
Impressive Operating Margins
The company's GAAP operating margin hit a record 25.1%, and the adjusted operating margin reached 25.6%, reflecting a 430 basis point increase from the prior year.
Strong Performance in IT Datacom
Sales in the IT datacom market grew by 133% in U.S. dollars, driven by demand for AI applications. This segment represented 36% of the company's sales.
Robust Cash Flow Generation
Amphenol generated record operating cash flow of $1.417 billion and free cash flow of $1.122 billion, both reflecting significant financial strength.
Notable Acquisition
The company completed the acquisition of Narda-MITEQ, a leading provider of active RF and microwave components, enhancing its defense market offerings.
Negative Updates
Moderate Book-to-Bill Ratio
The company reported a book-to-bill ratio of 0.98:1, indicating that orders slightly lagged behind sales, suggesting potential future sales moderation.
Challenges in Mobile Devices
Despite growth, the mobile devices market faced challenges, with sales growth driven by contingencies and execution rather than organic demand.
Potential for Normalization of Margins
Amphenol acknowledged that conversion margins might normalize as cost structures scale with higher sales volumes, potentially affecting future profitability.
Company Guidance
During the second quarter of 2025, Amphenol Corporation reported remarkable financial results, with record sales of $5.650 billion, reflecting a 57% increase in U.S. dollars and a 41% organic growth compared to the same quarter in the previous year. The company also achieved record GAAP and adjusted diluted earnings per share (EPS) of $0.86 and $0.81, respectively. Orders for the quarter were a record $5.523 billion, resulting in a book-to-bill ratio of 0.98:1. The GAAP operating income was $1.419 billion, with an operating margin of 25.1%, while the adjusted operating margin reached a record 25.6%. The company's robust performance was driven by strong organic growth across all end markets, particularly in the IT datacom market, where sales grew by 133% year-over-year, fueled by demand for artificial intelligence applications. Additionally, Amphenol generated record operating and free cash flow, amounting to $1.417 billion and $1.122 billion, respectively. For the third quarter of 2025, Amphenol anticipates sales between $5.4 billion and $5.5 billion, with adjusted diluted EPS expected to range from $0.77 to $0.79.

Amphenol Financial Statement Overview

Summary
Amphenol demonstrates a strong financial position across all verticals: income, balance sheet, and cash flow. The company has showcased impressive revenue growth and profitability coupled with a solid balance sheet and excellent cash flow metrics. While the balance sheet reflects a stable financial position, the high equity suggests potential for further financial optimization.
Income Statement
85
Very Positive
Amphenol's TTM (Trailing-Twelve-Months) data shows a robust financial performance with a Gross Profit Margin of 34.7% and a strong Net Profit Margin of 16.9%. The company has displayed consistent revenue growth, with a notable 23.6% increase in revenue from the previous year. EBIT and EBITDA margins are also impressive at 22.4% and 17.8% respectively, highlighting operational efficiency and profitability.
Balance Sheet
75
Positive
The balance sheet is strong, with a low Debt-to-Equity Ratio of 0.08, indicating prudent financial leverage. The Return on Equity (ROE) is high at 27.6%, showcasing effective use of equity to generate profits. The Equity Ratio is solid at 44.9%, reflecting a stable capital structure. However, the substantial increase in equity suggests potential dilution or heavy reliance on equity financing.
Cash Flow
90
Very Positive
Amphenol exhibits exceptional cash flow management with a Free Cash Flow Growth Rate of 31.1%. The Operating Cash Flow to Net Income Ratio is healthy at 1.17, illustrating strong cash earnings. The Free Cash Flow to Net Income Ratio is also robust at 0.89, indicating efficient conversion of earnings into cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue18.82B15.22B12.55B12.62B10.88B8.60B
Gross Profit6.53B5.14B4.08B4.03B3.40B2.66B
EBITDA3.35B3.80B3.00B2.99B2.50B1.95B
Net Income3.18B2.42B1.93B1.90B1.59B1.20B
Balance Sheet
Total Assets25.67B21.44B16.53B15.33B14.68B12.33B
Cash, Cash Equivalents and Short-Term Investments3.23B3.34B1.66B1.43B1.24B1.74B
Total Debt8.06B7.28B4.64B4.87B5.05B4.10B
Total Liabilities14.07B11.58B8.10B8.23B8.30B6.88B
Stockholders Equity11.52B9.79B8.35B7.02B6.30B5.38B
Cash Flow
Free Cash Flow2.82B2.15B2.16B1.79B1.18B1.32B
Operating Cash Flow3.73B2.81B2.53B2.17B1.54B1.59B
Investing Cash Flow-3.42B-2.65B-1.39B-731.10M-1.89B-333.50M
Financing Cash Flow1.60B1.73B-1.01B-1.20B-145.20M-516.60M

Amphenol Technical Analysis

Technical Analysis Sentiment
Positive
Last Price107.93
Price Trends
50DMA
98.32
Positive
100DMA
85.67
Positive
200DMA
77.64
Positive
Market Momentum
MACD
3.13
Negative
RSI
66.14
Neutral
STOCH
81.66
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APH, the sentiment is Positive. The current price of 107.93 is above the 20-day moving average (MA) of 104.14, above the 50-day MA of 98.32, and above the 200-day MA of 77.64, indicating a bullish trend. The MACD of 3.13 indicates Negative momentum. The RSI at 66.14 is Neutral, neither overbought nor oversold. The STOCH value of 81.66 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for APH.

Amphenol Risk Analysis

Amphenol disclosed 22 risk factors in its most recent earnings report. Amphenol reported the most risks in the "Macro & Political" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Amphenol Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$131.77B43.0631.02%0.61%40.51%49.81%
81
Outperform
$43.94B28.1620.73%1.38%19.65%13.58%
75
Outperform
$27.76B37.7614.30%-1.16%-7.04%
72
Outperform
$59.55B41.6111.63%1.33%4.86%-56.43%
71
Outperform
$54.11B66.887.55%1.75%14.63%86.61%
66
Neutral
$16.38B21.857.36%0.48%-0.12%-11.27%
60
Neutral
€6.84B14.183.81%2.08%2.45%-32.67%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
APH
Amphenol
108.55
46.75
75.65%
GLW
Corning
64.76
27.07
71.82%
GRMN
Garmin
228.96
64.44
39.17%
TEL
TE Connectivity
199.92
58.91
41.78%
KEYS
Keysight Technologies
161.25
38.13
30.97%
FTV
Fortive
47.45
-4.23
-8.18%

Amphenol Corporate Events

Private Placements and FinancingM&A Transactions
Amphenol Announces Acquisition of CommScope’s CCS Business
Positive
Aug 4, 2025

On August 4, 2025, Amphenol Corporation announced a definitive agreement to acquire CommScope’s Connectivity and Cable Solutions (CCS) business for $10.5 billion in cash. This acquisition is set to enhance Amphenol’s capabilities in the IT datacom and communications networks markets by adding significant fiber optic interconnect solutions, particularly for artificial intelligence and data center applications. The transaction, expected to close in the first half of 2026, is anticipated to be accretive to Amphenol’s earnings per share in its first full year post-closing and will be financed through cash on hand and debt. The acquisition is expected to generate approximately $3.6 billion in sales and 26% EBITDA margins in 2025, further diversifying Amphenol’s product offerings and strengthening its market position.

The most recent analyst rating on (APH) stock is a Buy with a $82.00 price target. To see the full list of analyst forecasts on Amphenol stock, see the APH Stock Forecast page.

Private Placements and FinancingBusiness Operations and Strategy
Amphenol Issues €600 Million in Senior Notes
Neutral
Jun 16, 2025

On June 16, 2025, Amphenol Corporation issued €600 million in 3.125% Senior Notes due 2032, following a public offering managed by several financial institutions. The proceeds from this issuance, along with those from a prior offering of $750 million in 4.375% Senior Notes due 2028, are intended to repay borrowings under Amphenol’s U.S. commercial paper program and for general corporate purposes, potentially impacting the company’s financial strategy and market positioning.

The most recent analyst rating on (APH) stock is a Buy with a $82.00 price target. To see the full list of analyst forecasts on Amphenol stock, see the APH Stock Forecast page.

Private Placements and FinancingBusiness Operations and Strategy
Amphenol Issues $750M Senior Notes in June 2025
Neutral
Jun 12, 2025

On June 12, 2025, Amphenol Corporation issued $750 million in 4.375% Senior Notes due 2028 through an underwritten public offering. The company also announced the pricing of €600 million in 3.125% Senior Notes due 2032, with the closing expected on June 16, 2025. The proceeds from these offerings will be used to repay borrowings under Amphenol’s U.S. commercial paper program and for general corporate purposes. The issuance of these notes is part of Amphenol’s strategy to manage its debt and financial operations efficiently.

The most recent analyst rating on (APH) stock is a Buy with a $82.00 price target. To see the full list of analyst forecasts on Amphenol stock, see the APH Stock Forecast page.

Private Placements and Financing
Amphenol Announces €600 Million Senior Notes Pricing
Neutral
Jun 12, 2025

On June 11, 2025, Amphenol Corporation announced the pricing of its €600 million senior notes due 2032, with an interest rate of 3.125% per annum. The closing of this Euro Notes offering is anticipated on June 16, 2025, and the proceeds will be used to repay borrowings and for general corporate purposes. Additionally, on June 9, 2025, Amphenol announced the pricing of $750 million senior notes due 2028, with a 4.375% interest rate, expected to close on June 12, 2025. These offerings are not contingent upon each other, highlighting Amphenol’s strategic financial maneuvers to strengthen its capital structure.

The most recent analyst rating on (APH) stock is a Buy with a $82.00 price target. To see the full list of analyst forecasts on Amphenol stock, see the APH Stock Forecast page.

Private Placements and FinancingBusiness Operations and Strategy
Amphenol Prices $750 Million Senior Notes Offering
Neutral
Jun 10, 2025

On June 9, 2025, Amphenol Corporation announced the pricing of its $750 million senior notes due 2028, with an interest rate of 4.375% per annum. The offering is expected to close on June 12, 2025, subject to customary conditions. The company plans to use the proceeds to repay borrowings under its U.S. commercial paper program and for general corporate purposes. Additionally, Amphenol may offer euro-denominated notes, although the completion of one offering is not contingent on the other. This strategic financial move aims to strengthen Amphenol’s financial flexibility and support its operations across various high-growth markets.

The most recent analyst rating on (APH) stock is a Buy with a $82.00 price target. To see the full list of analyst forecasts on Amphenol stock, see the APH Stock Forecast page.

Executive/Board ChangesShareholder Meetings
Amphenol Increases Authorized Shares to 5 Billion
Neutral
May 16, 2025

On May 15, 2025, Amphenol Corporation’s stockholders approved an amendment to increase the number of authorized shares of Class A Common Stock from 2 billion to 5 billion. This amendment became effective upon filing with the Secretary of State of Delaware on the same day. During the annual meeting, stockholders also elected directors, ratified Deloitte & Touche LLP as independent accountants, approved executive compensation, and rejected a proposal for special shareholder meeting improvements.

The most recent analyst rating on (APH) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Amphenol stock, see the APH Stock Forecast page.

Executive/Board Changes
Amphenol Appoints New Principal Accounting Officer
Neutral
May 14, 2025

On May 8, 2025, Amphenol Corporation appointed Michael R. Ivas as the principal accounting officer, succeeding Craig A. Lampo, who remains the Chief Financial Officer. Mr. Ivas, who has been with the company since 2001, brings extensive experience from his previous roles within Amphenol and his earlier career at PricewaterhouseCoopers, enhancing the company’s financial leadership.

The most recent analyst rating on (APH) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Amphenol stock, see the APH Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 04, 2025