ESE
TechnologyESCO Technologies Inc. · Hardware, Equipment & Parts · $8B
What is ESCO Technologies Inc.?
ESCO Technologies Inc. is a mid-cap industrial technology company headquartered in Saint Louis, Missouri. It engineers specialized products and systems for aerospace, defense, utility, and RF testing markets worldwide.
ESCO operates through three segments. Its Aerospace & Defense segment manufactures filtration products, fluid control devices, elastomeric signature reduction solutions, and precision-machined components for aircraft, naval vessels, and satellites. The Utility Solutions Group delivers diagnostic tools for high-voltage power grid operators and decision-support software for wind and solar energy. The RF Shielding and Test segment designs shielded rooms, acoustic enclosures, broadcast studios, and RF measurement systems for commercial and government clients.
ESCO Technologies was established in 1990 and is headquartered in Saint Louis, Missouri.
- Hydraulic filtration and fluid control systems for aerospace and defense
- High-voltage grid diagnostic and testing solutions
- RF shielded rooms and secure communication facilities
- Renewable energy decision-support software for wind and solar operators
- Precision-machined components for landing gear and flight control systems
Is ESE a Good Stock to Buy?
UQS Score rates ESE as Below Average overall, reflecting a mixed profile across its five quality pillars.
The Risk pillar stands out as the clearest positive, suggesting ESCO carries a manageable financial risk profile relative to many peers. Both the Quality and Moat pillars land at Neutral, indicating the business maintains baseline durability without a particularly wide competitive advantage.
Growth is the weakest pillar, pointing to limited near-term expansion momentum, while the Valuation pillar registers as Elevated — meaning the market may already be pricing in more than the fundamentals currently support.
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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.
Does ESE pay dividends?
Yes — ESCO Technologies Inc. pays a dividend.
ESCO Technologies pays a regular dividend, which is relatively uncommon among smaller industrial technology companies. This reflects a degree of financial discipline and cash generation consistency. Income-oriented investors may find the dividend noteworthy, though the payout should be weighed alongside the Elevated Valuation and Weak Growth signals visible in the UQS pillar profile.
When does ESE report earnings?
ESCO Technologies reports earnings on a quarterly cadence, consistent with standard practice for US-listed equities.
ESCO's recent results reflect the dynamics of its three operating segments — aerospace and defense demand, utility grid investment cycles, and RF testing contract timing. Revenue and margin trends can shift meaningfully depending on government program activity and utility capital spending. The Weak Growth pillar suggests recent top-line expansion has lagged sector peers.
For the most recent quarter's results and guidance, visit ESCO Technologies' investor relations page directly.
ESE Price History
+237.0% over 5Y
Monthly close, adjusted for stock splits and dividend reinvestment.
What if I invested in ESCO Technologies Inc.?
Based on ESCO Technologies Inc.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.
ESE Long-term Outlook
The fundamental outlook for ESCO is cautious. The Weak Growth pillar indicates the company has not demonstrated strong near-term revenue acceleration, and the Elevated Valuation pillar suggests limited margin of safety at current prices. The Good Risk pillar does provide some reassurance that the balance sheet and operational stability are not immediate concerns. Investors focused on quality compounding may want to monitor whether growth catalysts in defense spending or grid modernization translate into measurable improvement.
Growth drivers
- Increased defense and aerospace program spending driving filtration and component demand
- Utility grid modernization and renewable energy buildout supporting the Utility Solutions Group
- Growing demand for RF shielded facilities tied to 5G testing and secure communications
Key risks
- Elevated valuation leaves limited room for earnings disappointment
- Weak growth trajectory may persist if defense contract timing or utility capex slows
- Exposure to government budget cycles and procurement delays across multiple segments
ESE vs Peers
ESCO Technologies competes across several niches — from industrial sensing to contract electronics — and faces peers with distinct business models.
Cognex focuses on machine vision systems for factory automation, giving it a more software-intensive model compared to ESCO's hardware-driven engineering segments.
Sanmina is a large-scale electronics manufacturing services provider, operating at higher volume and lower margin than ESCO's specialized, engineered-product approach.
Littelfuse specializes in circuit protection components across automotive, industrial, and electronics markets — a broader component play versus ESCO's systems-level engineering focus.
Frequently Asked Questions
What does ESCO Technologies do?
ESCO Technologies engineers specialized products and systems across three segments: Aerospace & Defense (filtration, precision components, signature reduction), Utility Solutions Group (grid diagnostics, renewable energy software), and RF Shielding and Test (shielded rooms, acoustic enclosures, broadcast studios). Its customers include defense contractors, electric utilities, and commercial testing laboratories.
Does ESE pay dividends?
Yes, ESCO Technologies pays a regular dividend. This is relatively uncommon for a company of its size in the industrial technology space and reflects consistent cash generation. Investors should review the current dividend level and payout history on the company's investor relations page, as amounts can change.
When does ESE report earnings?
ESCO Technologies follows a standard quarterly earnings cadence for US-listed companies. The company does not pre-announce specific dates far in advance. For the most current earnings schedule and recent results, check ESCO Technologies' investor relations page or major financial data providers.
Is ESE a good stock to buy?
The UQS Score rates ESE as Below Average, driven primarily by a Weak Growth pillar and an Elevated Valuation. The Risk pillar is Good, suggesting financial stability, but the overall composite score reflects meaningful concerns. Whether ESE fits a portfolio depends on individual goals — the full pillar breakdown is available to UQS Pro members.
Is ESE overvalued?
The UQS Valuation pillar for ESE is rated Elevated, which indicates the stock may be priced above what its current fundamentals comfortably support. This does not guarantee a price decline, but it does suggest investors are paying a premium relative to the company's growth and quality profile.
How does ESE compare to its competitors?
ESCO Technologies occupies a specialized niche combining defense filtration, utility diagnostics, and RF shielding — a different profile from peers like Cognex (machine vision), Sanmina (contract electronics), or Littelfuse (circuit protection). Its diversification across end markets is a differentiator, though its growth rate currently trails several sector peers.
What is ESE's market cap bracket?
ESCO Technologies is classified as a mid-cap company. This places it in a range that typically offers more stability than small-cap peers while retaining some growth optionality — though the current UQS Growth pillar rating of Weak tempers that expectation for now.
Who founded ESCO Technologies?
ESCO Technologies was established in 1990 as a spin-off from Emerson Electric Co. Its founding context is widely documented in public corporate history records and the company's own investor materials.
Is ESE a long-term quality investment?
As a long-term quality indicator, the UQS Score currently rates ESE as Below Average. The Good Risk pillar and Neutral Quality and Moat scores suggest operational stability, but the Weak Growth and Elevated Valuation pillars are headwinds for long-term compounding. Monitoring whether growth catalysts materialize is key for long-horizon investors.
What is the main competitive advantage of ESCO Technologies?
ESCO's competitive positioning stems from its engineering specialization across three distinct but defensible niches — aerospace filtration, utility grid diagnostics, and RF shielding. These are technically complex, low-volume markets where switching costs and regulatory requirements create barriers. However, the UQS Moat pillar currently rates this advantage as only Neutral.
What sector does ESE belong to?
ESCO Technologies is classified within the Technology sector, though its business model is deeply rooted in industrial engineering. Its three segments serve aerospace and defense, electric utility infrastructure, and RF testing markets — making it a hybrid of industrial and technology characteristics.
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Pro Analysis
ESE — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| May 20, 2026 | 43.4 | 44.5 | 40.0 | 37.9 | 66.5 | 31.4 | +5.4 |
| May 9, 2026 | 38.0 | 47.1 | 40.0 | 12.8 | 66.5 | 24.6 | -4.0 |
| May 7, 2026 | 42.0 | 45.2 | 40.0 | 37.8 | 67.2 | 20.4 | -0.1 |
| May 3, 2026 | 42.1 | 45.2 | 40.0 | 37.8 | 67.2 | 21.5 | -0.2 |
| Apr 26, 2026 | 42.3 | 45.2 | 40.0 | 37.8 | 67.2 | 22.4 | -0.1 |
| Apr 19, 2026 | 42.4 | 45.3 | 40.0 | 37.8 | 67.2 | 23.0 | 0.0 |
| Apr 18, 2026 | 42.4 | 45.3 | 40.0 | 37.8 | 67.2 | 23.1 | -1.3 |
| Apr 17, 2026 | 43.7 | 45.5 | 40.0 | 37.8 | 67.2 | 31.5 | 0.0 |
| Apr 16, 2026 | 43.7 | 45.4 | 40.0 | 37.8 | 67.2 | 31.5 | 0.0 |
| Apr 14, 2026 | 43.7 | 45.2 | 40.0 | 37.8 | 67.2 | 31.5 | -0.1 |
ESE — Pillar Breakdown
Quality
— 44.5/100 (25%)ESCO Technologies Inc. has average quality metrics, with room for improvement in margins or capital efficiency.
How effectively capital is deployed to generate returns.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Asset productivity — how much gross profit each dollar of assets generates.
Free cash flow relative to market value.
Growth
— 37.9/100 (20%)ESCO Technologies Inc. shows steady but unspectacular growth, typical for mature companies.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 66.5/100 (15%)ESCO Technologies Inc. maintains a reasonable risk profile with manageable debt levels.
Debt levels relative to earnings capacity.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 31.4/100 (15%)ESCO Technologies Inc. appears expensively valued relative to its fundamentals and growth prospects.
Inverse of forward P/E — higher yield means cheaper stock.
How many years of FCF the market cap represents.
Enterprise value multiple relative to sector median.
Moat
— 40/100 (25%)ESCO Technologies Inc. possesses some competitive advantages but faces meaningful competition. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for ESE.
Score Composition
Financial Data
More Stock Analysis
How is the ESE UQS Score Calculated?
The UQS (Unified Quality Score) for ESCO Technologies Inc. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses ESCO Technologies Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether ESCO Technologies Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.