ATI INC (ATI) Stock Fundamental Analysis
NYSE:ATI - New York Stock Exchange, Inc. - US01741R1023 - Common Stock - Currency: USD
Taking everything into account, ATI scores 6 out of 10 in our fundamental rating. ATI was compared to 154 industry peers in the Metals & Mining industry. While ATI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ATI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ATI was profitable.
ATI had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ATI reported negative net income in multiple years.
Each year in the past 5 years ATI had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ATI (7.69%) is better than 83.77% of its industry peers.
With an excellent Return On Equity value of 21.29%, ATI belongs to the best of the industry, outperforming 91.56% of the companies in the same industry.
ATI has a better Return On Invested Capital (11.58%) than 88.96% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ATI is in line with the industry average of 11.67%.
The last Return On Invested Capital (11.58%) for ATI is above the 3 year average (10.03%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.69% | ||
| ROE | 21.29% | ||
| ROIC | 11.58% |
ROA(3y)6.07%
ROA(5y)-4.33%
ROE(3y)20.77%
ROE(5y)-49.01%
ROIC(3y)10.03%
ROIC(5y)6.93%
1.3 Margins
ATI has a Profit Margin of 8.93%. This is in the better half of the industry: ATI outperforms 78.57% of its industry peers.
ATI's Profit Margin has improved in the last couple of years.
The Operating Margin of ATI (13.34%) is better than 68.83% of its industry peers.
In the last couple of years the Operating Margin of ATI has grown nicely.
ATI has a Gross Margin of 21.07%. This is in the better half of the industry: ATI outperforms 60.39% of its industry peers.
In the last couple of years the Gross Margin of ATI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.34% | ||
| PM (TTM) | 8.93% | ||
| GM | 21.07% |
OM growth 3Y49.73%
OM growth 5Y7.23%
PM growth 3YN/A
PM growth 5Y6.18%
GM growth 3Y20.05%
GM growth 5Y5.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ATI is creating some value.
ATI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ATI has more shares outstanding
Compared to 1 year ago, ATI has an improved debt to assets ratio.
2.2 Solvency
ATI has an Altman-Z score of 3.89. This indicates that ATI is financially healthy and has little risk of bankruptcy at the moment.
ATI's Altman-Z score of 3.89 is fine compared to the rest of the industry. ATI outperforms 68.18% of its industry peers.
ATI has a debt to FCF ratio of 10.26. This is a negative value and a sign of low solvency as ATI would need 10.26 years to pay back of all of its debts.
ATI has a Debt to FCF ratio of 10.26. This is in the better half of the industry: ATI outperforms 64.29% of its industry peers.
A Debt/Equity ratio of 0.91 indicates that ATI is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.91, ATI is doing worse than 86.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | 10.26 | ||
| Altman-Z | 3.89 |
ROIC/WACC1.3
WACC8.89%
2.3 Liquidity
A Current Ratio of 2.53 indicates that ATI has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.53, ATI is in line with its industry, outperforming 57.14% of the companies in the same industry.
ATI has a Quick Ratio of 1.30. This is a normal value and indicates that ATI is financially healthy and should not expect problems in meeting its short term obligations.
ATI has a Quick ratio of 1.30. This is comparable to the rest of the industry: ATI outperforms 45.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.53 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
ATI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.91%, which is quite good.
Measured over the past years, ATI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.34% on average per year.
ATI shows a small growth in Revenue. In the last year, the Revenue has grown by 6.82%.
The Revenue has been growing slightly by 1.14% on average over the past years.
EPS 1Y (TTM)19.91%
EPS 3Y174.06%
EPS 5Y15.34%
EPS Q2Q%50%
Revenue 1Y (TTM)6.82%
Revenue growth 3Y15.93%
Revenue growth 5Y1.14%
Sales Q2Q%9.73%
3.2 Future
The Earnings Per Share is expected to grow by 18.85% on average over the next years. This is quite good.
The Revenue is expected to grow by 7.45% on average over the next years.
EPS Next Y22.25%
EPS Next 2Y23.48%
EPS Next 3Y23.17%
EPS Next 5Y18.85%
Revenue Next Year8.04%
Revenue Next 2Y7.55%
Revenue Next 3Y7.67%
Revenue Next 5Y7.45%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 31.01, which means the current valuation is very expensive for ATI.
Based on the Price/Earnings ratio, ATI is valued a bit cheaper than 62.99% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.15. ATI is around the same levels.
Based on the Price/Forward Earnings ratio of 22.31, the valuation of ATI can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ATI is on the same level as its industry peers.
ATI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.60, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.01 | ||
| Fwd PE | 22.31 |
4.2 Price Multiples
ATI's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, ATI is valued a bit cheaper than the industry average as 62.34% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.22 | ||
| EV/EBITDA | 18.09 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ATI has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ATI's earnings are expected to grow with 23.17% in the coming years.
PEG (NY)1.39
PEG (5Y)2.02
EPS Next 2Y23.48%
EPS Next 3Y23.17%
5. Dividend
5.1 Amount
No dividends for ATI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:ATI (7/1/2025, 3:23:03 PM)
84.04
-2.3 (-2.66%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners96.23%
Inst Owner Change-1.19%
Ins Owners0.99%
Ins Owner Change0.82%
Market Cap11.86B
Analysts80
Price Target84.51 (0.56%)
Short Float %3.07%
Short Ratio2.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)23.9%
Min EPS beat(2)20.32%
Max EPS beat(2)27.48%
EPS beat(4)3
Avg EPS beat(4)10.04%
Min EPS beat(4)-9.85%
Max EPS beat(4)27.48%
EPS beat(8)7
Avg EPS beat(8)8.36%
EPS beat(12)11
Avg EPS beat(12)9.36%
EPS beat(16)15
Avg EPS beat(16)47.45%
Revenue beat(2)2
Avg Revenue beat(2)5.18%
Min Revenue beat(2)3.94%
Max Revenue beat(2)6.42%
Revenue beat(4)2
Avg Revenue beat(4)0.15%
Min Revenue beat(4)-7.38%
Max Revenue beat(4)6.42%
Revenue beat(8)4
Avg Revenue beat(8)-0.42%
Revenue beat(12)7
Avg Revenue beat(12)1.52%
Revenue beat(16)10
Avg Revenue beat(16)2.31%
PT rev (1m)9.93%
PT rev (3m)11.3%
EPS NQ rev (1m)-0.18%
EPS NQ rev (3m)1.15%
EPS NY rev (1m)0.72%
EPS NY rev (3m)2.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.43%
Revenue NY rev (1m)-0.47%
Revenue NY rev (3m)0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.01 | ||
| Fwd PE | 22.31 | ||
| P/S | 2.66 | ||
| P/FCF | 64.22 | ||
| P/OCF | 28.83 | ||
| P/B | 6.33 | ||
| P/tB | 7.2 | ||
| EV/EBITDA | 18.09 |
EPS(TTM)2.71
EY3.22%
EPS(NY)3.77
Fwd EY4.48%
FCF(TTM)1.31
FCFY1.56%
OCF(TTM)2.91
OCFY3.47%
SpS31.64
BVpS13.28
TBVpS11.67
PEG (NY)1.39
PEG (5Y)2.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.69% | ||
| ROE | 21.29% | ||
| ROCE | 14.71% | ||
| ROIC | 11.58% | ||
| ROICexc | 13.12% | ||
| ROICexgc | 14.02% | ||
| OM | 13.34% | ||
| PM (TTM) | 8.93% | ||
| GM | 21.07% | ||
| FCFM | 4.14% |
ROA(3y)6.07%
ROA(5y)-4.33%
ROE(3y)20.77%
ROE(5y)-49.01%
ROIC(3y)10.03%
ROIC(5y)6.93%
ROICexc(3y)12.78%
ROICexc(5y)9.01%
ROICexgc(3y)14.09%
ROICexgc(5y)10%
ROCE(3y)12.74%
ROCE(5y)8.81%
ROICexcg growth 3Y44.81%
ROICexcg growth 5Y12.7%
ROICexc growth 3Y48.17%
ROICexc growth 5Y14.31%
OM growth 3Y49.73%
OM growth 5Y7.23%
PM growth 3YN/A
PM growth 5Y6.18%
GM growth 3Y20.05%
GM growth 5Y5.88%
F-Score6
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | 10.26 | ||
| Debt/EBITDA | 2.28 | ||
| Cap/Depr | 144.98% | ||
| Cap/Sales | 5.08% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 54.71% | ||
| Profit Quality | 46.3% | ||
| Current Ratio | 2.53 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 3.89 |
F-Score6
WACC8.89%
ROIC/WACC1.3
Cap/Depr(3y)128.93%
Cap/Depr(5y)117.62%
Cap/Sales(3y)4.57%
Cap/Sales(5y)4.75%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.91%
EPS 3Y174.06%
EPS 5Y15.34%
EPS Q2Q%50%
EPS Next Y22.25%
EPS Next 2Y23.48%
EPS Next 3Y23.17%
EPS Next 5Y18.85%
Revenue 1Y (TTM)6.82%
Revenue growth 3Y15.93%
Revenue growth 5Y1.14%
Sales Q2Q%9.73%
Revenue Next Year8.04%
Revenue Next 2Y7.55%
Revenue Next 3Y7.67%
Revenue Next 5Y7.45%
EBIT growth 1Y23.97%
EBIT growth 3Y73.58%
EBIT growth 5Y8.45%
EBIT Next Year46.76%
EBIT Next 3Y24.82%
EBIT Next 5Y18.24%
FCF growth 1Y2297.62%
FCF growth 3YN/A
FCF growth 5Y21.86%
OCF growth 1Y162.08%
OCF growth 3Y192.98%
OCF growth 5Y11.97%