Research · Sep 3, 2026
[IEX] IDEX Thesis 2026: Health and Science Technologies Orders Surge, Earnings Guidance Raised
IDEX Corporation FY25 revenue $3.46B (+6%); op income $720M (+3%); NI $483M (-4%); GAAP EPS $6.41. FCF $617M (+2%). Q4 segment performance — HST: organic orders +34% in Q4 2025; volumes increased in data center applications, semiconductor consumables, space + defense; adjusted EBITDA margin +60bp YoY. FMT: organic orders +4%, organic sales +1%; impacted by chemical end-market softness; adjusted EBITDA margin -20bp. FSDP: organic orders flat YoY; organic sales -5% second consecutive quarter; adjusted EBITDA margin +50bp YoY. New CFO Sean Gillen onboarded. Phase three of IDEX purposeful evolution using 8020 playbook (organic + M&A). Completed small acquisition of Microlam. Buyback $248M FY25 (newly resumed; $0 FY24); dividend $213M (+4% YoY). Total debt $1.82B (-8%). FY26 guide: organic growth +1-2%; adjusted EBITDA margin 26-27%; adjusted EPS $8.15-$8.35 (low to mid-single-digit growth YoY); Q1 seasonally soft; Q2 step-up in earnings on volumes + corporate expense normalization. Risks: chemical cycle (FMT), data center / AI capex cycle (HST), semi cycle, M&A pipeline, 8020 execution, industrial cyclical, FX, competitive landscape (Roper, Watts, Pentair, Xylem, Dover).