GTES
Gates Industrial Corporation Ltd.

Gates Industrial Corporation Ltd.GTES

Industrials · Specialty Industrial Machinery
26.36USD
+3.58%
Sep 24, 2026
GTES overview ready
Supplier of engineered belts and pumps for AI data center cooling systems
Gates is a component supplier to data-center thermal-management and mechanical-drive systems, supplying pumps and engineered power-transmission belts used in cooling infrastructure rather than supplying the core electrical power train or IT equipment.
Strong narrative exposure
Exposed to the AI Compute Infrastructure Buildout narrative through AI Data Center Power and Thermal Systems — component supplier.
No clear price read
Longer-term context reads near trend floor, with a near-term setup of daily advance.
Fair valuation
The price broadly reflects the cash the business actually produces, with upside and risk reasonably balanced.
Solid fundamentals
Free cash flow yield is strong.
Primary risk
Cyclical demand fluctuations.
Market Sep 23Filing Jun 27Price action Sep 23Research Jul 24

Conviction Level

NarrativeHeat9.5ThemeHeat9.3PriceAction7.4Valuation5.6CompanyPosition7.3
Price
Loading price history…

Price Action

No clear price read
Longer-term context reads near trend floor, with a near-term setup of daily advance.
EntryReset + recovery

The stock remains extended from its long-term weekly base, but the recent reset toward the daily SMA200 aligned with support at the weekly EMA21. Daily structure is recovering above the fast averages, improving the current entry location.

Key Financials

Market Cap
$6.7B
Avg Volume (60D)
1.9M
60 sessions
Revenue Growth YoY
+1.0%
FY2025 vs FY2024
Gross Margin
+39.7%
Trailing twelve months
Operating Margin
+13.3%
Trailing twelve months
Free Cash Flow Yield
+6.1%
Distance from 200DMA
+4.7%
Next Earnings
2026-10-28
P/E
18.4x
EV / EBITDA
11.8x
EV / Sales
2.3x
Market metrics as of Sep 23, 2026
Financial results for the period ended Jun 27, 2026
Filed balance-sheet data as of Jun 27, 2026

Fundamentals & Valuation

Both valuation perspectives agree this company is fair.
Gates Industrial Corporation Ltd. has a Fair valuation stance because the price broadly reflects the cash the business actually produces, with upside and risk reasonably balanced.

Company Research

Thesis
Gates is a component supplier to data-center thermal-management and mechanical-drive systems, supplying pumps and engineered power-transmission belts used in cooling infrastructure rather than supplying the core electrical power train or IT equipment.
Opportunity
Moderate opportunity
Construction and retrofit of high-density AI data centers with materially higher rack power requirements and increasingly demanding liquid- and air-cooling systems.
Key risk
Cyclical demand fluctuations.

Narrative & Theme

AI Compute Infrastructure Buildout
Part of AI Data Center Power and Thermal Systems, with moderate fit.
GTES is a genuine, but second-order, participant in the AI data-center infrastructure buildout.
Narrative HeatHot9.5 / 10
Theme HeatHot9.3 / 10
This reading is no longer current (last measured 2026-07-22). It is kept until the next scheduled measurement replaces it.

Business & Markets

Industrials · Specialty Industrial Machinery
What they do

Gates Industrial Corporation Ltd. manufactures and sells engineered power transmission and fluid power solutions globally through its two segments: Power Transmission and Fluid Power.

How it earns

The company generates revenue primarily through transactional sales of engineered industrial products.

Products & services
Elastomer drive belts
Asynchronous and synchronous belts
Fluid power solutions
Customers & end markets
Industrial machinery manufacturers
Mobile and stationary drive system users
Market position

Gates Industrial is a recognized player in specialty industrial machinery with a broad global footprint.

Demand drivers
Medium cyclicality

The company’s end markets in industrial machinery and mobile drives are sensitive to economic cycles and capital expenditure trends.