Does ESCO TECHNOLOGIES INC. have an economic moat?

Based on its FY2025 SEC filings, the Moat Index scores ESCO TECHNOLOGIES INC. (ESE) 52.9 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 64, returns on capital 13, balance-sheet safety 70, capital discipline 79.

Is ESE stock trading below its intrinsic value?

Against a deliberately conservative owner-earnings model (9% discount rate, 4% assumed growth, capped at 4%), estimated intrinsic value is $83.99 per share versus a recent price of $318.52 — 279% above value. This is an educational estimate computed from primary SEC filings, not investment advice.

How has ESE's Moat Score changed over time?

The record logs 3 readings since Jul 17, 2026; the latest reads 52.9 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

The Moat Index

ESCO TECHNOLOGIES INC.

ESE · Technology · $8.2B mkt cap · FY2025 filings · Shallow moat ·

Doesn't clear the bar

Shallow moat

The four filters

Pricing power64

Median gross margin 38.7% over 10y, very stable.

Returns on capital13

Median ROIC 8.0%, above the 9% hurdle in 0% of years.

Balance-sheet safety70

Net debt/EBITDA 0.3x, interest coverage 10x.

Capital discipline79

Owner earnings +22.2%/yr, share count flat.

Margin of safety

Above valueOn sale

279% above value

Owner earnings (normalized): $120.6M
Est. intrinsic value / share: $83.99
Recent price: $318.52
Discount to value: 279% above value

Conservative model: 9% discount rate, 4% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

19 years of fundamentals

The business, in plain English

ESCO TECHNOLOGIES INC. booked $1.1B of revenue in FY2025 in the Technology sector and kept 42.1% of it as gross profit — a solid-margin business by that measure. After every other cost, 27.3% of each revenue dollar reached the bottom line.

Across the filed record, revenue grew from $613.6M (FY2008) to $1.1B (FY2025) — about 3.5% a year compounded over 17 years.

It earned 8.0% on invested capital in FY2025, with a median of 8.0% across 3 filed years. The Returns on Capital filter above scores it 13/100.

The balance sheet carried $186.0M of total debt in FY2025 against $337.9M of owner earnings — roughly 0.6 years of owner earnings to retire it all. Balance-Sheet Safety scores it 70/100.

The share count has held roughly flat between FY2010 and FY2025. Capital Discipline scores it 79/100.

Put together: Capital Discipline is the strongest of the four filters (79/100) and Returns on Capital the weakest (13/100), which is how ESE lands at 53/100 — a Shallow moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

RevenueSales, as filed$1.1B FY2025

Gross marginRevenue kept after cost of goods42.1% FY2025

Return on invested capitalOperating profit on the capital employed8.0% FY2025

Owner earningsCash an owner could take out$337.9M FY2025

Gaps in a line mean that item isn’t in ESE’s filings for that year — the series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Moat Score history

Moat Score over timeLast scored reading of each day, on the 0–100 scale52.9 / 100

Score history begins Jul 17, 2026 — the record builds from here and can’t be backfilled.

Tier changesSame-methodology crossings of the Wide / Narrow / Shallow bars

None yet — ESE has read Shallow moat for every logged capture since Jul 17, 2026.

Scores are logged append-only and never overwritten — this record can’t be backfilled, which is exactly why it’s worth keeping.

Technology context

#183 of 532 scored Technology companies, ranked by Moat Score.

Nearest peers by Moat Score

#181NCMI NATIONAL CINEMEDIA, INC.54.0 out of 100, Shallow moatShallow moat
#182NEON Neonode Inc.53.5 out of 100, Shallow moatShallow moat
#184AWRE AWARE, INC.52.5 out of 100, Shallow moatShallow moat
#185VYX NCR VOYIX CORPORATION52.1 out of 100, Shallow moatShallow moat

Compare ESE with its nearest peers →All Technology companies on the Index →

Common questions about ESE

Does ESCO TECHNOLOGIES INC. have an economic moat?: Based on its FY2025 SEC filings, the Moat Index scores ESCO TECHNOLOGIES INC. (ESE) 52.9 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 64, returns on capital 13, balance-sheet safety 70, capital discipline 79.
Is ESE stock trading below its intrinsic value?: Against a deliberately conservative owner-earnings model (9% discount rate, 4% assumed growth, capped at 4%), estimated intrinsic value is $83.99 per share versus a recent price of $318.52 — 279% above value. This is an educational estimate computed from primary SEC filings, not investment advice.
How has ESE's Moat Score changed over time?: The record logs 3 readings since Jul 17, 2026; the latest reads 52.9 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell ESE. See the disclaimer.