ALAMO GROUP INC (ALG) Stock Fundamental Analysis

NYSE:ALG • US0113111076

216.5 USD
+3.41 (+1.6%)
At close: Feb 26, 2026
216.5 USD
0 (0%)
After Hours: 2/26/2026, 4:15:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to ALG. ALG was compared to 130 industry peers in the Machinery industry. ALG has an excellent financial health rating, but there are some minor concerns on its profitability. ALG is valued correctly, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • ALG had positive earnings in the past year.
  • ALG had a positive operating cash flow in the past year.
  • Each year in the past 5 years ALG has been profitable.
  • Each year in the past 5 years ALG had a positive operating cash flow.
ALG Yearly Net Income VS EBIT VS OCF VS FCFALG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M 100M 150M 200M

1.2 Ratios

  • ALG has a better Return On Assets (7.30%) than 73.85% of its industry peers.
  • ALG has a Return On Equity of 10.27%. This is in the better half of the industry: ALG outperforms 60.77% of its industry peers.
  • ALG has a better Return On Invested Capital (9.24%) than 68.46% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for ALG is in line with the industry average of 10.27%.
Industry RankSector Rank
ROA 7.3%
ROE 10.27%
ROIC 9.24%
ROA(3y)8.48%
ROA(5y)7.45%
ROE(3y)12.99%
ROE(5y)11.88%
ROIC(3y)11.11%
ROIC(5y)9.98%
ALG Yearly ROA, ROE, ROICALG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10

1.3 Margins

  • The Profit Margin of ALG (7.20%) is comparable to the rest of the industry.
  • ALG's Profit Margin has improved in the last couple of years.
  • The Operating Margin of ALG (10.12%) is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of ALG has grown nicely.
  • ALG has a worse Gross Margin (25.05%) than 65.38% of its industry peers.
  • In the last couple of years the Gross Margin of ALG has remained more or less at the same level.
Industry RankSector Rank
OM 10.12%
PM (TTM) 7.2%
GM 25.05%
OM growth 3Y4.92%
OM growth 5Y3.6%
PM growth 3Y5.8%
PM growth 5Y4.77%
GM growth 3Y0.34%
GM growth 5Y0.72%
ALG Yearly Profit, Operating, Gross MarginsALG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20 25

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8

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ALG is creating some value.
  • ALG has more shares outstanding than it did 1 year ago.
  • The number of shares outstanding for ALG has been increased compared to 5 years ago.
  • The debt/assets ratio for ALG has been reduced compared to a year ago.
ALG Yearly Shares OutstandingALG Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2M 4M 6M 8M 10M
ALG Yearly Total Debt VS Total AssetsALG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B

2.2 Solvency

  • ALG has an Altman-Z score of 6.18. This indicates that ALG is financially healthy and has little risk of bankruptcy at the moment.
  • With an excellent Altman-Z score value of 6.18, ALG belongs to the best of the industry, outperforming 82.31% of the companies in the same industry.
  • ALG has a debt to FCF ratio of 1.40. This is a very positive value and a sign of high solvency as it would only need 1.40 years to pay back of all of its debts.
  • With an excellent Debt to FCF ratio value of 1.40, ALG belongs to the best of the industry, outperforming 85.38% of the companies in the same industry.
  • ALG has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
  • The Debt to Equity ratio of ALG (0.17) is better than 71.54% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.17
Debt/FCF 1.4
Altman-Z 6.18
ROIC/WACC0.99
WACC9.34%
ALG Yearly LT Debt VS Equity VS FCFALG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M 800M 1B

2.3 Liquidity

  • A Current Ratio of 4.43 indicates that ALG has no problem at all paying its short term obligations.
  • The Current ratio of ALG (4.43) is better than 89.23% of its industry peers.
  • ALG has a Quick Ratio of 2.72. This indicates that ALG is financially healthy and has no problem in meeting its short term obligations.
  • ALG has a Quick ratio of 2.72. This is amongst the best in the industry. ALG outperforms 86.15% of its industry peers.
Industry RankSector Rank
Current Ratio 4.43
Quick Ratio 2.72
ALG Yearly Current Assets VS Current LiabilitesALG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • The earnings per share for ALG have decreased by -2.92% in the last year.
  • The Earnings Per Share has been growing by 10.26% on average over the past years. This is quite good.
  • The Revenue has decreased by -2.73% in the past year.
  • Measured over the past years, ALG shows a small growth in Revenue. The Revenue has been growing by 7.79% on average per year.
EPS 1Y (TTM)-2.92%
EPS 3Y13.14%
EPS 5Y10.26%
EPS Q2Q%-7.89%
Revenue 1Y (TTM)-2.73%
Revenue growth 3Y6.87%
Revenue growth 5Y7.79%
Sales Q2Q%4.67%

3.2 Future

  • ALG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.64% yearly.
  • The Revenue is expected to grow by 2.26% on average over the next years.
EPS Next Y-1.64%
EPS Next 2Y9.94%
EPS Next 3Y11.64%
EPS Next 5YN/A
Revenue Next Year-0.42%
Revenue Next 2Y2.3%
Revenue Next 3Y2.26%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
ALG Yearly Revenue VS EstimatesALG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 500M 1B 1.5B
ALG Yearly EPS VS EstimatesALG Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2 4 6 8 10

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 22.46, which indicates a rather expensive current valuation of ALG.
  • 71.54% of the companies in the same industry are more expensive than ALG, based on the Price/Earnings ratio.
  • Compared to an average S&P500 Price/Earnings ratio of 27.05, ALG is valued at the same level.
  • The Price/Forward Earnings ratio is 18.60, which indicates a rather expensive current valuation of ALG.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of ALG indicates a somewhat cheap valuation: ALG is cheaper than 79.23% of the companies listed in the same industry.
  • When comparing the Price/Forward Earnings ratio of ALG to the average of the S&P500 Index (28.03), we can say ALG is valued slightly cheaper.
Industry RankSector Rank
PE 22.46
Fwd PE 18.6
ALG Price Earnings VS Forward Price EarningsALG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 76.15% of the companies in the same industry are more expensive than ALG, based on the Enterprise Value to EBITDA ratio.
  • Based on the Price/Free Cash Flow ratio, ALG is valued cheaper than 82.31% of the companies in the same industry.
Industry RankSector Rank
P/FCF 17.5
EV/EBITDA 11.67
ALG Per share dataALG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

  • ALG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.19
EPS Next 2Y9.94%
EPS Next 3Y11.64%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. Dividend

5.1 Amount

  • With a yearly dividend of 0.65%, ALG is not a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 1.18, ALG has a dividend in line with its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.80, ALG's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.65%

5.2 History

  • On average, the dividend of ALG grows each year by 16.84%, which is quite nice.
  • ALG has been paying a dividend for at least 10 years, so it has a reliable track record.
  • ALG has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)16.84%
Div Incr Years10
Div Non Decr Years24
ALG Yearly Dividends per shareALG Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8 1

5.3 Sustainability

  • 11.96% of the earnings are spent on dividend by ALG. This is a low number and sustainable payout ratio.
  • ALG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP11.96%
EPS Next 2Y9.94%
EPS Next 3Y11.64%
ALG Yearly Income VS Free CF VS DividendALG Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M 100M 150M
ALG Dividend Payout.ALG Dividend Payout, showing the Payout Ratio.ALG Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

ALAMO GROUP INC

NYSE:ALG (2/26/2026, 4:15:00 PM)

After market: 216.5 0 (0%)

216.5

+3.41 (+1.6%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)11-06
Earnings (Next)03-02
Inst Owners88.1%
Inst Owner Change0.54%
Ins Owners0.86%
Ins Owner Change-1.19%
Market Cap2.62B
Revenue(TTM)1.62B
Net Income(TTM)116.37M
Analysts80
Price Target217.01 (0.24%)
Short Float %5.22%
Short Ratio5.78
Dividend
Industry RankSector Rank
Dividend Yield 0.65%
Yearly Dividend1.04
Dividend Growth(5Y)16.84%
DP11.96%
Div Incr Years10
Div Non Decr Years24
Ex-Date01-16
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.43%
Min EPS beat(2)-21.2%
Max EPS beat(2)-5.67%
EPS beat(4)2
Avg EPS beat(4)-2.27%
Min EPS beat(4)-21.2%
Max EPS beat(4)15.36%
EPS beat(8)3
Avg EPS beat(8)-3.61%
EPS beat(12)6
Avg EPS beat(12)2.5%
EPS beat(16)8
Avg EPS beat(16)2.05%
Revenue beat(2)2
Avg Revenue beat(2)1.69%
Min Revenue beat(2)1.34%
Max Revenue beat(2)2.04%
Revenue beat(4)2
Avg Revenue beat(4)-0.38%
Min Revenue beat(4)-3.87%
Max Revenue beat(4)2.04%
Revenue beat(8)3
Avg Revenue beat(8)-0.73%
Revenue beat(12)7
Avg Revenue beat(12)0.6%
Revenue beat(16)10
Avg Revenue beat(16)0.82%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.7%
EPS NY rev (1m)0%
EPS NY rev (3m)-11.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.06%
Valuation
Industry RankSector Rank
PE 22.46
Fwd PE 18.6
P/S 1.62
P/FCF 17.5
P/OCF 14.45
P/B 2.32
P/tB 3.4
EV/EBITDA 11.67
EPS(TTM)9.64
EY4.45%
EPS(NY)11.64
Fwd EY5.38%
FCF(TTM)12.37
FCFY5.71%
OCF(TTM)14.98
OCFY6.92%
SpS133.28
BVpS93.45
TBVpS63.6
PEG (NY)N/A
PEG (5Y)2.19
Graham Number142.37
Profitability
Industry RankSector Rank
ROA 7.3%
ROE 10.27%
ROCE 11.9%
ROIC 9.24%
ROICexc 11.24%
ROICexgc 16.54%
OM 10.12%
PM (TTM) 7.2%
GM 25.05%
FCFM 9.28%
ROA(3y)8.48%
ROA(5y)7.45%
ROE(3y)12.99%
ROE(5y)11.88%
ROIC(3y)11.11%
ROIC(5y)9.98%
ROICexc(3y)12.08%
ROICexc(5y)10.73%
ROICexgc(3y)18.15%
ROICexgc(5y)16.79%
ROCE(3y)14.31%
ROCE(5y)12.86%
ROICexgc growth 3Y5.21%
ROICexgc growth 5Y8.14%
ROICexc growth 3Y8.81%
ROICexc growth 5Y10.49%
OM growth 3Y4.92%
OM growth 5Y3.6%
PM growth 3Y5.8%
PM growth 5Y4.77%
GM growth 3Y0.34%
GM growth 5Y0.72%
F-Score6
Asset Turnover1.01
Health
Industry RankSector Rank
Debt/Equity 0.17
Debt/FCF 1.4
Debt/EBITDA 0.89
Cap/Depr 57.71%
Cap/Sales 1.96%
Interest Coverage 11.53
Cash Conversion 83.15%
Profit Quality 128.83%
Current Ratio 4.43
Quick Ratio 2.72
Altman-Z 6.18
F-Score6
WACC9.34%
ROIC/WACC0.99
Cap/Depr(3y)64.41%
Cap/Depr(5y)58.21%
Cap/Sales(3y)1.95%
Cap/Sales(5y)1.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.92%
EPS 3Y13.14%
EPS 5Y10.26%
EPS Q2Q%-7.89%
EPS Next Y-1.64%
EPS Next 2Y9.94%
EPS Next 3Y11.64%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.73%
Revenue growth 3Y6.87%
Revenue growth 5Y7.79%
Sales Q2Q%4.67%
Revenue Next Year-0.42%
Revenue Next 2Y2.3%
Revenue Next 3Y2.26%
Revenue Next 5YN/A
EBIT growth 1Y-6.65%
EBIT growth 3Y12.13%
EBIT growth 5Y11.67%
EBIT Next Year32.75%
EBIT Next 3Y18.03%
EBIT Next 5YN/A
FCF growth 1Y92.7%
FCF growth 3Y96.3%
FCF growth 5Y26.31%
OCF growth 1Y61.1%
OCF growth 3Y61.61%
OCF growth 5Y18.76%

ALAMO GROUP INC / ALG FAQ

What is the ChartMill fundamental rating of ALAMO GROUP INC (ALG) stock?

ChartMill assigns a fundamental rating of 6 / 10 to ALG.


What is the valuation status for ALG stock?

ChartMill assigns a valuation rating of 5 / 10 to ALAMO GROUP INC (ALG). This can be considered as Fairly Valued.


Can you provide the profitability details for ALAMO GROUP INC?

ALAMO GROUP INC (ALG) has a profitability rating of 6 / 10.


What is the financial health of ALAMO GROUP INC (ALG) stock?

The financial health rating of ALAMO GROUP INC (ALG) is 8 / 10.


Can you provide the dividend sustainability for ALG stock?

The dividend rating of ALAMO GROUP INC (ALG) is 5 / 10 and the dividend payout ratio is 11.96%.