Atlas Corporation (ATCO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ATCO - MHY0436Q1098 - Common Stock
15.48 USD
0 (0%)
15.49 USD
+0.01 (+0.06%)
Taking everything into account, ATCO scores 4 out of 10 in our fundamental rating. ATCO was compared to 6 industry peers in the Transportation Infrastructure industry. ATCO has a medium profitability rating, but doesn't score so well on its financial health evaluation. ATCO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- ATCO had positive earnings in the past year.
- ATCO had a positive operating cash flow in the past year.
1.2 Ratios
- The Return On Assets of ATCO (4.97%) is comparable to the rest of the industry.
- ATCO has a Return On Equity (12.69%) which is comparable to the rest of the industry.
- ATCO has a Return On Invested Capital of 5.65%. This is comparable to the rest of the industry: ATCO outperforms 50.00% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ATCO is significantly below the industry average of 17.92%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.97% | ||
| ROE | 12.69% | ||
| ROIC | 5.65% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.96%
ROIC(5y)N/A
1.3 Margins
- With a decent Profit Margin value of 33.08%, ATCO is doing good in the industry, outperforming 62.50% of the companies in the same industry.
- In the last couple of years the Profit Margin of ATCO has grown nicely.
- ATCO's Operating Margin of 43.23% is fine compared to the rest of the industry. ATCO outperforms 62.50% of its industry peers.
- ATCO's Operating Margin has improved in the last couple of years.
- ATCO's Gross Margin of 79.18% is amongst the best of the industry. ATCO outperforms 87.50% of its industry peers.
- In the last couple of years the Gross Margin of ATCO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.23% | ||
| PM (TTM) | 33.08% | ||
| GM | 79.18% |
OM growth 3Y-10.7%
OM growth 5Y4.35%
PM growth 3Y0.57%
PM growth 5Y19.94%
GM growth 3Y-7.41%
GM growth 5Y0.37%
2. Health
2.1 Basic Checks
- ATCO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for ATCO has been increased compared to 1 year ago.
- ATCO has about the same debt/assets ratio as last year.
2.2 Solvency
- Based on the Altman-Z score of 0.75, we must say that ATCO is in the distress zone and has some risk of bankruptcy.
- ATCO has a Altman-Z score of 0.75. This is in the lower half of the industry: ATCO underperforms 75.00% of its industry peers.
- ATCO has a Debt/Equity ratio of 1.22. This is a high value indicating a heavy dependency on external financing.
- ATCO's Debt to Equity ratio of 1.22 is fine compared to the rest of the industry. ATCO outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.75 |
ROIC/WACC0.89
WACC6.37%
2.3 Liquidity
- ATCO has a Current Ratio of 0.57. This is a bad value and indicates that ATCO is not financially healthy enough and could expect problems in meeting its short term obligations.
- ATCO's Current ratio of 0.57 is on the low side compared to the rest of the industry. ATCO is outperformed by 75.00% of its industry peers.
- A Quick Ratio of 0.52 indicates that ATCO may have some problems paying its short term obligations.
- ATCO's Quick ratio of 0.52 is on the low side compared to the rest of the industry. ATCO is outperformed by 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
- The earnings per share for ATCO have decreased strongly by -10.12% in the last year.
- The Earnings Per Share has been growing by 18.00% on average over the past years. This is quite good.
- ATCO shows a small growth in Revenue. In the last year, the Revenue has grown by 3.09%.
- ATCO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.35% yearly.
EPS 1Y (TTM)-10.12%
EPS 3Y26.27%
EPS 5Y18%
EPS Q2Q%-9.52%
Revenue 1Y (TTM)3.09%
Revenue growth 3Y14.47%
Revenue growth 5Y15.35%
Sales Q2Q%1.91%
3.2 Future
- Based on estimates for the next years, ATCO will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.36% on average per year.
- Based on estimates for the next years, ATCO will show a quite strong growth in Revenue. The Revenue will grow by 8.54% on average per year.
EPS Next Y6.73%
EPS Next 2Y9.5%
EPS Next 3Y12.36%
EPS Next 5YN/A
Revenue Next Year12.3%
Revenue Next 2Y13.43%
Revenue Next 3Y12.32%
Revenue Next 5Y8.54%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 10.25, which indicates a very decent valuation of ATCO.
- Based on the Price/Earnings ratio, ATCO is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
- ATCO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.38.
- With a Price/Forward Earnings ratio of 9.61, the valuation of ATCO can be described as very reasonable.
- Based on the Price/Forward Earnings ratio, ATCO is valued cheaper than 100.00% of the companies in the same industry.
- ATCO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.25 | ||
| Fwd PE | 9.61 |
4.2 Price Multiples
- 75.00% of the companies in the same industry are more expensive than ATCO, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.02 |
4.3 Compensation for Growth
- ATCO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- A more expensive valuation may be justified as ATCO's earnings are expected to grow with 12.36% in the coming years.
PEG (NY)1.52
PEG (5Y)0.57
EPS Next 2Y9.5%
EPS Next 3Y12.36%
5. Dividend
5.1 Amount
- ATCO has a Yearly Dividend Yield of 1.26%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.99, ATCO pays a better dividend. On top of this ATCO pays more dividend than 87.50% of the companies listed in the same industry.
- Compared to the average S&P500 Dividend Yield of 1.85, ATCO is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
5.2 History
- ATCO has been paying a dividend for less than 5 years, so it still needs to build a track record.
- ATCO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
- ATCO pays out 32.07% of its income as dividend. This is a sustainable payout ratio.
DP32.07%
EPS Next 2Y9.5%
EPS Next 3Y12.36%
15.48
0 (0%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryTransportation Infrastructure
Earnings (Last)02-15 2023-02-15/amc
Earnings (Next)05-09 2023-05-09/amc
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.36B
Revenue(TTM)1.70B
Net Income(TTM)561.50M
Analysts78
Price Target17.21 (11.18%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
Yearly Dividend0.3
Dividend Growth(5Y)N/A
DP32.07%
Div Incr Years0
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.71%
Min EPS beat(2)-17.82%
Max EPS beat(2)-3.61%
EPS beat(4)0
Avg EPS beat(4)-9.08%
Min EPS beat(4)-17.82%
Max EPS beat(4)-3.61%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.03%
Min Revenue beat(2)-2.16%
Max Revenue beat(2)0.11%
Revenue beat(4)1
Avg Revenue beat(4)-2.03%
Min Revenue beat(4)-3.82%
Max Revenue beat(4)0.11%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)5.47%
PT rev (3m)5.47%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-25.49%
EPS NY rev (1m)0%
EPS NY rev (3m)-13.66%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.25 | ||
| Fwd PE | 9.61 | ||
| P/S | 2.57 | ||
| P/FCF | N/A | ||
| P/OCF | 5.09 | ||
| P/B | 0.98 | ||
| P/tB | 1.02 | ||
| EV/EBITDA | 9.02 |
EPS(TTM)1.51
EY9.75%
EPS(NY)1.61
Fwd EY10.41%
FCF(TTM)-1.36
FCFYN/A
OCF(TTM)3.04
OCFY19.65%
SpS6.03
BVpS15.72
TBVpS15.18
PEG (NY)1.52
PEG (5Y)0.57
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.97% | ||
| ROE | 12.69% | ||
| ROCE | N/A | ||
| ROIC | 5.65% | ||
| ROICexc | 5.82% | ||
| ROICexgc | 5.91% | ||
| OM | 43.23% | ||
| PM (TTM) | 33.08% | ||
| GM | 79.18% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.96%
ROIC(5y)N/A
ROICexc(3y)5.85%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-9.77%
ROICexgc growth 5Y5.36%
ROICexc growth 3Y-9.48%
ROICexc growth 5Y5.46%
OM growth 3Y-10.7%
OM growth 5Y4.35%
PM growth 3Y0.57%
PM growth 5Y19.94%
GM growth 3Y-7.41%
GM growth 5Y0.37%
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.39 | ||
| Cap/Depr | 327.01% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 0.75 |
F-Score5
WACC6.37%
ROIC/WACC0.89
Cap/Depr(3y)326.15%
Cap/Depr(5y)247.7%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.12%
EPS 3Y26.27%
EPS 5Y18%
EPS Q2Q%-9.52%
EPS Next Y6.73%
EPS Next 2Y9.5%
EPS Next 3Y12.36%
EPS Next 5YN/A
Revenue 1Y (TTM)3.09%
Revenue growth 3Y14.47%
Revenue growth 5Y15.35%
Sales Q2Q%1.91%
Revenue Next Year12.3%
Revenue Next 2Y13.43%
Revenue Next 3Y12.32%
Revenue Next 5Y8.54%
EBIT growth 1Y4.32%
EBIT growth 3Y2.22%
EBIT growth 5Y20.36%
EBIT Next Year69.04%
EBIT Next 3Y31.68%
EBIT Next 5Y22.33%
FCF growth 1Y39.43%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-9.29%
OCF growth 3Y3.03%
OCF growth 5Y17%
Atlas Corporation / ATCO FAQ
What is the fundamental rating for ATCO stock?
ChartMill assigns a fundamental rating of 3 / 10 to ATCO.
What is the valuation status of Atlas Corporation (ATCO) stock?
ChartMill assigns a valuation rating of 7 / 10 to Atlas Corporation (ATCO). This can be considered as Undervalued.
What is the profitability of ATCO stock?
Atlas Corporation (ATCO) has a profitability rating of 1 / 10.
How financially healthy is Atlas Corporation?
The financial health rating of Atlas Corporation (ATCO) is 1 / 10.
Can you provide the expected EPS growth for ATCO stock?
The Earnings per Share (EPS) of Atlas Corporation (ATCO) is expected to grow by 6.73% in the next year.