ATS CORP (ATS.CA) Stock Fundamental Analysis
Canada - TSX:ATS - CA00217Y1043 - Common Stock
38.46 CAD
+0.76 (+2.02%)
We assign a fundamental rating of 4 out of 10 to ATS. ATS was compared to 22 industry peers in the Machinery industry. ATS has only an average score on both its financial health and profitability. ATS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ATS had positive earnings in the past year.
ATS had a positive operating cash flow in the past year.
Of the past 5 years ATS 4 years were profitable.
ATS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ATS has a Return On Assets of -0.89%. This is comparable to the rest of the industry: ATS outperforms 59.09% of its industry peers.
ATS's Return On Equity of -2.30% is fine compared to the rest of the industry. ATS outperforms 77.27% of its industry peers.
ATS has a Return On Invested Capital (1.59%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ATS is in line with the industry average of 6.68%.
The 3 year average ROIC (6.08%) for ATS is well above the current ROIC(1.59%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.89% | ||
| ROE | -2.3% | ||
| ROIC | 1.59% |
ROA(3y)2.58%
ROA(5y)2.92%
ROE(3y)7.06%
ROE(5y)8.16%
ROIC(3y)6.08%
ROIC(5y)6.21%
1.3 Margins
ATS has a Operating Margin of 2.62%. This is comparable to the rest of the industry: ATS outperforms 54.55% of its industry peers.
ATS's Operating Margin has declined in the last couple of years.
ATS has a Gross Margin (25.92%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of ATS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.62% | ||
| PM (TTM) | N/A | ||
| GM | 25.92% |
OM growth 3Y-30.58%
OM growth 5Y-19.21%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.77%
GM growth 5Y0.22%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ATS is destroying value.
Compared to 1 year ago, ATS has less shares outstanding
The number of shares outstanding for ATS has been increased compared to 5 years ago.
ATS has a worse debt/assets ratio than last year.
2.2 Solvency
ATS has an Altman-Z score of 1.85. This is not the best score and indicates that ATS is in the grey zone with still only limited risk for bankruptcy at the moment.
ATS has a Altman-Z score (1.85) which is in line with its industry peers.
ATS has a debt to FCF ratio of 10.97. This is a negative value and a sign of low solvency as ATS would need 10.97 years to pay back of all of its debts.
ATS has a better Debt to FCF ratio (10.97) than 68.18% of its industry peers.
A Debt/Equity ratio of 0.87 indicates that ATS is somewhat dependend on debt financing.
ATS has a Debt to Equity ratio of 0.87. This is comparable to the rest of the industry: ATS outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 10.97 | ||
| Altman-Z | 1.85 |
ROIC/WACC0.18
WACC8.84%
2.3 Liquidity
ATS has a Current Ratio of 1.62. This is a normal value and indicates that ATS is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.62, ATS perfoms like the industry average, outperforming 45.45% of the companies in the same industry.
ATS has a Quick Ratio of 1.32. This is a normal value and indicates that ATS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of ATS (1.32) is better than 86.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The earnings per share for ATS have decreased strongly by -42.80% in the last year.
Measured over the past 5 years, ATS shows a small growth in Earnings Per Share. The EPS has been growing by 6.90% on average per year.
ATS shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -13.38%.
The Revenue has been growing by 12.12% on average over the past years. This is quite good.
EPS 1Y (TTM)-42.8%
EPS 3Y-11.98%
EPS 5Y6.9%
EPS Q2Q%-18%
Revenue 1Y (TTM)-13.38%
Revenue growth 3Y5.09%
Revenue growth 5Y12.12%
Sales Q2Q%6.11%
3.2 Future
ATS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.20% yearly.
ATS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.12% yearly.
EPS Next Y24.3%
EPS Next 2Y25.24%
EPS Next 3Y15.2%
EPS Next 5YN/A
Revenue Next Year11.9%
Revenue Next 2Y8.7%
Revenue Next 3Y8.12%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 27.67, ATS can be considered very expensive at the moment.
86.36% of the companies in the same industry are more expensive than ATS, based on the Price/Earnings ratio.
ATS's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.28.
A Price/Forward Earnings ratio of 16.57 indicates a correct valuation of ATS.
ATS's Price/Forward Earnings ratio is rather cheap when compared to the industry. ATS is cheaper than 81.82% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ATS to the average of the S&P500 Index (33.61), we can say ATS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.67 | ||
| Fwd PE | 16.57 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ATS.
81.82% of the companies in the same industry are more expensive than ATS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.16 | ||
| EV/EBITDA | 22.8 |
4.3 Compensation for Growth
ATS'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 ATS's earnings are expected to grow with 15.20% in the coming years.
PEG (NY)1.14
PEG (5Y)4.01
EPS Next 2Y25.24%
EPS Next 3Y15.2%
5. Dividend
5.1 Amount
No dividends for ATS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:ATS (11/10/2025, 7:00:00 PM)
38.46
+0.76 (+2.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners95.16%
Inst Owner ChangeN/A
Ins Owners0.86%
Ins Owner ChangeN/A
Market Cap3.76B
Revenue(TTM)2.58B
Net Income(TTM)-39.21M
Analysts76.36
Price Target47.36 (23.14%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.26%
Min EPS beat(2)-2.83%
Max EPS beat(2)9.34%
EPS beat(4)1
Avg EPS beat(4)-4.31%
Min EPS beat(4)-22.3%
Max EPS beat(4)9.34%
EPS beat(8)2
Avg EPS beat(8)-1.09%
EPS beat(12)4
Avg EPS beat(12)1.58%
EPS beat(16)8
Avg EPS beat(16)7.14%
Revenue beat(2)1
Avg Revenue beat(2)-7.46%
Min Revenue beat(2)-17.23%
Max Revenue beat(2)2.32%
Revenue beat(4)1
Avg Revenue beat(4)-5.29%
Min Revenue beat(4)-17.23%
Max Revenue beat(4)2.32%
Revenue beat(8)4
Avg Revenue beat(8)-1.39%
Revenue beat(12)7
Avg Revenue beat(12)0.01%
Revenue beat(16)10
Avg Revenue beat(16)1.04%
PT rev (1m)0%
PT rev (3m)-0.75%
EPS NQ rev (1m)3.4%
EPS NQ rev (3m)-1.79%
EPS NY rev (1m)-1.54%
EPS NY rev (3m)-12.25%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.88%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.67 | ||
| Fwd PE | 16.57 | ||
| P/S | 1.46 | ||
| P/FCF | 27.16 | ||
| P/OCF | 17.34 | ||
| P/B | 2.2 | ||
| P/tB | N/A | ||
| EV/EBITDA | 22.8 |
EPS(TTM)1.39
EY3.61%
EPS(NY)2.32
Fwd EY6.04%
FCF(TTM)1.42
FCFY3.68%
OCF(TTM)2.22
OCFY5.77%
SpS26.33
BVpS17.45
TBVpS-4.19
PEG (NY)1.14
PEG (5Y)4.01
Graham Number23.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.89% | ||
| ROE | -2.3% | ||
| ROCE | 2.02% | ||
| ROIC | 1.59% | ||
| ROICexc | 1.68% | ||
| ROICexgc | 5.11% | ||
| OM | 2.62% | ||
| PM (TTM) | N/A | ||
| GM | 25.92% | ||
| FCFM | 5.38% |
ROA(3y)2.58%
ROA(5y)2.92%
ROE(3y)7.06%
ROE(5y)8.16%
ROIC(3y)6.08%
ROIC(5y)6.21%
ROICexc(3y)6.47%
ROICexc(5y)6.7%
ROICexgc(3y)21.12%
ROICexgc(5y)23.22%
ROCE(3y)7.75%
ROCE(5y)7.9%
ROICexgc growth 3Y-44.72%
ROICexgc growth 5Y-24.75%
ROICexc growth 3Y-37.32%
ROICexc growth 5Y-25.02%
OM growth 3Y-30.58%
OM growth 5Y-19.21%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.77%
GM growth 5Y0.22%
F-Score3
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 10.97 | ||
| Debt/EBITDA | 6.75 | ||
| Cap/Depr | 51.43% | ||
| Cap/Sales | 3.05% | ||
| Interest Coverage | 0.73 | ||
| Cash Conversion | 98.59% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 1.85 |
F-Score3
WACC8.84%
ROIC/WACC0.18
Cap/Depr(3y)59.25%
Cap/Depr(5y)53.7%
Cap/Sales(3y)3.04%
Cap/Sales(5y)2.75%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-42.8%
EPS 3Y-11.98%
EPS 5Y6.9%
EPS Q2Q%-18%
EPS Next Y24.3%
EPS Next 2Y25.24%
EPS Next 3Y15.2%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.38%
Revenue growth 3Y5.09%
Revenue growth 5Y12.12%
Sales Q2Q%6.11%
Revenue Next Year11.9%
Revenue Next 2Y8.7%
Revenue Next 3Y8.12%
Revenue Next 5YN/A
EBIT growth 1Y-79.35%
EBIT growth 3Y-27.04%
EBIT growth 5Y-9.42%
EBIT Next Year46.56%
EBIT Next 3Y21.47%
EBIT Next 5YN/A
FCF growth 1Y452.72%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y319.6%
OCF growth 3Y-50.79%
OCF growth 5Y4.89%
ATS CORP / ATS.CA FAQ
What is the fundamental rating for ATS stock?
ChartMill assigns a fundamental rating of 4 / 10 to ATS.CA.
What is the valuation status of ATS CORP (ATS.CA) stock?
ChartMill assigns a valuation rating of 6 / 10 to ATS CORP (ATS.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for ATS CORP?
ATS CORP (ATS.CA) has a profitability rating of 4 / 10.
What is the valuation of ATS CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ATS CORP (ATS.CA) is 27.67 and the Price/Book (PB) ratio is 2.2.
How financially healthy is ATS CORP?
The financial health rating of ATS CORP (ATS.CA) is 4 / 10.