Advanced Energy Industries (NASDAQ:AEIS) Posts Quarterly Earnings Results, Beats Expectations By $0.18 EPS

Advanced Energy Industries (NASDAQ:AEIS) announced its earnings results on Tuesday. The electronics maker reported $1.94 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.76 by $0.18, FiscalAI reports. The firm had revenue of $489.40 million during the quarter, compared to analysts’ expectations of $473.12 million. Advanced Energy Industries had a return on equity of 14.27% and a net margin of 8.41%.The business’s revenue was up 17.8% on a year-over-year basis. During the same period in the prior year, the firm earned $1.30 EPS. Advanced Energy Industries updated its Q1 2026 guidance to 1.690-2.190 EPS.

Here are the key takeaways from Advanced Energy Industries’ conference call:

• The company reported a strong 2025 with $1.8 billion in revenue (up 21%), Q4 revenue at guidance highs, record operating cash flow of $235M, and non-GAAP EPS up 73% to $6.41, underscoring improved profitability and cash generation.
• Data center was a major growth driver (revenue up 107% to $587M), with sequential record quarters, broad design wins (including 800V initiatives), and management now guiding >30% revenue growth for 2026 while expanding capacity in the Philippines, Mexico and Thailand.
• Semiconductor momentum is building—2025 semi revenue reached $840M (up 6%), new technologies eVerest, eVoS, and NavX are converting design wins into early production, and management expects a stronger second half of 2026 as customer forecasts improve.
• Industrial & medical declined 11% in 2025 but showed sequential recovery late in the year; management cites inventory normalization, distributor improvements and a growing design-win pipeline that should support share gains, though macro uncertainty remains.
• Management increased manufacturing capacity (Thailand fit-up adds >$1B potential capacity) and improved gross margin to ~39.7% (240 bps Y/Y), targeting >40% in 2026 and a long-term 43% goal despite tariff headwinds, while maintaining a strong balance sheet (cash $791M).

Advanced Energy Industries Stock Up 0.2%

Advanced Energy Industries stock opened at $279.81 on Wednesday. The stock’s 50 day moving average price is $235.73 and its 200 day moving average price is $196.91. Advanced Energy Industries has a 1-year low of $75.01 and a 1-year high of $283.72. The company has a market cap of $10.56 billion, a PE ratio of 73.44, a price-to-earnings-growth ratio of 1.34 and a beta of 1.41. The company has a debt-to-equity ratio of 0.43, a current ratio of 4.10 and a quick ratio of 3.01.

Advanced Energy Industries Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 6th. Investors of record on Monday, February 23rd will be paid a $0.10 dividend. The ex-dividend date is Monday, February 23rd. This represents a $0.40 dividend on an annualized basis and a dividend yield of 0.1%. Advanced Energy Industries’s payout ratio is 10.50%.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on AEIS shares. Citigroup raised their target price on shares of Advanced Energy Industries from $167.00 to $255.00 and gave the stock a “buy” rating in a research report on Wednesday, November 12th. Robert W. Baird set a $190.00 price objective on shares of Advanced Energy Industries in a research report on Monday, October 27th. TD Cowen restated a “hold” rating on shares of Advanced Energy Industries in a research note on Wednesday, November 5th. KeyCorp set a $290.00 target price on shares of Advanced Energy Industries in a research note on Thursday, January 22nd. Finally, Susquehanna raised Advanced Energy Industries from a “hold” rating to a “strong-buy” rating in a report on Monday, January 12th. One analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, Advanced Energy Industries presently has a consensus rating of “Moderate Buy” and a consensus price target of $259.50.

Insider Buying and Selling at Advanced Energy Industries

In other Advanced Energy Industries news, EVP Paul R. Oldham sold 8,174 shares of the company’s stock in a transaction dated Wednesday, November 19th. The shares were sold at an average price of $203.11, for a total transaction of $1,660,221.14. Following the transaction, the executive vice president directly owned 24,792 shares in the company, valued at approximately $5,035,503.12. This represents a 24.80% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Tina Donikowski sold 2,257 shares of the business’s stock in a transaction that occurred on Thursday, December 4th. The stock was sold at an average price of $210.33, for a total value of $474,714.81. Following the sale, the director directly owned 8,248 shares in the company, valued at $1,734,801.84. This trade represents a 21.49% decrease in their position. The SEC filing for this sale provides additional information. 1.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Advanced Energy Industries

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Danske Bank A S acquired a new stake in Advanced Energy Industries in the third quarter valued at $34,000. Measured Wealth Private Client Group LLC acquired a new position in shares of Advanced Energy Industries during the 3rd quarter worth $36,000. EverSource Wealth Advisors LLC boosted its position in shares of Advanced Energy Industries by 67.7% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 312 shares of the electronics maker’s stock worth $41,000 after buying an additional 126 shares in the last quarter. Advisors Asset Management Inc. grew its stake in Advanced Energy Industries by 47.7% in the 1st quarter. Advisors Asset Management Inc. now owns 539 shares of the electronics maker’s stock valued at $51,000 after acquiring an additional 174 shares during the last quarter. Finally, State of Wyoming purchased a new position in Advanced Energy Industries during the 4th quarter valued at about $55,000. 99.67% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Advanced Energy Industries

Here are the key news stories impacting Advanced Energy Industries this week:

• Positive Sentiment: Q4 results beat expectations — AEIS reported $1.94 EPS (vs. ~ $1.76 consensus) and revenue of $489.4M (above estimates), with revenue up ~17.8% year-over-year, showing healthy demand and margin improvement. MarketBeat Q4 report and materials
• Positive Sentiment: Upbeat Q1 2026 guidance — Management guided to EPS of $1.69–$2.19 (well above consensus ~$1.49) and revenue of $480–$520M (above the ~$468M consensus), signaling continued top-line strength and margin confidence. (Company guidance released with earnings.)
• Positive Sentiment: Analyst support — Stifel raised its price target to $310 and maintained a buy rating, adding third‑party validation to the upside case. The Fly: Stifel price-target raise
• Neutral Sentiment: Short-interest data reported odd/zero values for the period (likely a reporting quirk) — no clear bearish pressure indicated by the provided short-interest figures.

About Advanced Energy Industries

Advanced Energy Industries, Inc is a global technology company specializing in precision power conversion, measurement, and control solutions. The company designs and manufactures a broad portfolio of products including high-voltage power supplies, RF and microwave generators, digital power controllers, reactive gas control systems, and thin film measurement instruments. These solutions enable advanced processes in semiconductor fabrication, flat panel display manufacturing, industrial coating, data storage, telecommunications and medical device production.

Founded in 1981 and headquartered in Fort Collins, Colorado, Advanced Energy has grown through strategic product development and international expansion.