ATS CORP (ATS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ATS - CA00217Y1043 - Common Stock
27.87 USD
+0.22 (+0.8%)
23.9 USD
-3.97 (-14.24%)
Taking everything into account, ATS scores 3 out of 10 in our fundamental rating. ATS was compared to 132 industry peers in the Machinery industry. Both the profitability and financial health of ATS have multiple concerns. ATS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
ATS had positive earnings in the past year.
In the past year ATS had a positive cash flow from operations.
Of the past 5 years ATS 4 years were profitable.
In the past 5 years ATS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.10%, ATS is doing worse than 68.18% of the companies in the same industry.
ATS has a worse Return On Equity (-0.26%) than 66.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.30%, ATS is doing worse than 66.67% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ATS is below the industry average of 10.27%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.1% | ||
| ROE | -0.26% | ||
| ROIC | 2.3% |
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 worse Operating Margin (3.70%) than 65.91% of its industry peers.
ATS's Operating Margin has declined in the last couple of years.
ATS has a Gross Margin of 26.18%. This is in the lower half of the industry: ATS underperforms 61.36% of its industry peers.
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 | 3.7% | ||
| PM (TTM) | N/A | ||
| GM | 26.18% |
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
ATS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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.
The debt/assets ratio for ATS is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.90 indicates that ATS is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.90, ATS is doing worse than 66.67% of the companies in the same industry.
The Debt to FCF ratio of ATS is 7.30, which is on the high side as it means it would take ATS, 7.30 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 7.30, ATS perfoms like the industry average, outperforming 46.21% of the companies in the same industry.
A Debt/Equity ratio of 0.85 indicates that ATS is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.85, ATS is doing worse than 74.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 7.3 | ||
| Altman-Z | 1.9 |
ROIC/WACC0.26
WACC8.73%
2.3 Liquidity
A Current Ratio of 1.63 indicates that ATS should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.63, ATS is doing worse than 68.18% of the companies in the same industry.
ATS has a Quick Ratio of 1.34. This is a normal value and indicates that ATS is financially healthy and should not expect problems in meeting its short term obligations.
ATS has a Quick ratio of 1.34. This is comparable to the rest of the industry: ATS outperforms 57.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
The earnings per share for ATS have decreased strongly by -22.44% 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 decrease in Revenue. In the last year, the revenue decreased by -5.58%.
Measured over the past years, ATS shows a quite strong growth in Revenue. The Revenue has been growing by 12.12% on average per year.
EPS 1Y (TTM)-22.44%
EPS 3Y-11.98%
EPS 5Y6.9%
EPS Q2Q%80%
Revenue 1Y (TTM)-5.58%
Revenue growth 3Y5.09%
Revenue growth 5Y12.12%
Sales Q2Q%18.88%
3.2 Future
The Earnings Per Share is expected to grow by 15.37% on average over the next years. This is quite good.
The Revenue is expected to grow by 7.15% on average over the next years.
EPS Next Y19.43%
EPS Next 2Y22.14%
EPS Next 3Y15.37%
EPS Next 5YN/A
Revenue Next Year11.04%
Revenue Next 2Y8.04%
Revenue Next 3Y7.15%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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
With a Price/Earnings ratio of 24.23, ATS is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of ATS is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.39, ATS is valued at the same level.
With a Price/Forward Earnings ratio of 17.41, ATS is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ATS indicates a somewhat cheap valuation: ATS is cheaper than 68.18% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.84. ATS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.23 | ||
| Fwd PE | 17.41 |
4.2 Price Multiples
63.64% of the companies in the same industry are cheaper than ATS, based on the Enterprise Value to EBITDA ratio.
75.00% 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 | 17.93 | ||
| EV/EBITDA | 20.21 |
4.3 Compensation for Growth
The 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 15.37% in the coming years.
PEG (NY)1.25
PEG (5Y)3.51
EPS Next 2Y22.14%
EPS Next 3Y15.37%
5. Dividend
5.1 Amount
No dividends for ATS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
27.87
+0.22 (+0.8%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners92.31%
Inst Owner ChangeN/A
Ins Owners0.86%
Ins Owner ChangeN/A
Market Cap2.73B
Revenue(TTM)2.69B
Net Income(TTM)-4.65M
Analysts78.18
Price Target33.99 (21.96%)
Short Float %2.82%
Short Ratio28.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)-0.12%
Min EPS beat(2)-2.83%
Max EPS beat(2)2.59%
EPS beat(4)2
Avg EPS beat(4)1.92%
Min EPS beat(4)-2.83%
Max EPS beat(4)9.34%
EPS beat(8)3
Avg EPS beat(8)-0.45%
EPS beat(12)5
Avg EPS beat(12)2.38%
EPS beat(16)8
Avg EPS beat(16)5.14%
Revenue beat(2)1
Avg Revenue beat(2)0.94%
Min Revenue beat(2)-0.44%
Max Revenue beat(2)2.32%
Revenue beat(4)1
Avg Revenue beat(4)-3.94%
Min Revenue beat(4)-17.23%
Max Revenue beat(4)2.32%
Revenue beat(8)3
Avg Revenue beat(8)-1.62%
Revenue beat(12)7
Avg Revenue beat(12)0.25%
Revenue beat(16)9
Avg Revenue beat(16)0.78%
PT rev (1m)0.84%
PT rev (3m)-0.6%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.33%
EPS NY rev (1m)-3.92%
EPS NY rev (3m)-4.99%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.04%
Revenue NY rev (1m)-0.77%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.23 | ||
| Fwd PE | 17.41 | ||
| P/S | 1.4 | ||
| P/FCF | 17.93 | ||
| P/OCF | 12.99 | ||
| P/B | 2.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.21 |
EPS(TTM)1.15
EY4.13%
EPS(NY)1.6
Fwd EY5.74%
FCF(TTM)1.55
FCFY5.58%
OCF(TTM)2.15
OCFY7.7%
SpS19.9
BVpS13.08
TBVpS-2.78
PEG (NY)1.25
PEG (5Y)3.51
Graham Number18.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.1% | ||
| ROE | -0.26% | ||
| ROCE | 2.93% | ||
| ROIC | 2.3% | ||
| ROICexc | 2.44% | ||
| ROICexgc | 7.35% | ||
| OM | 3.7% | ||
| PM (TTM) | N/A | ||
| GM | 26.18% | ||
| FCFM | 7.81% |
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-Score4
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 7.3 | ||
| Debt/EBITDA | 5.95 | ||
| Cap/Depr | 52.39% | ||
| Cap/Sales | 2.97% | ||
| Interest Coverage | 0.95 | ||
| Cash Conversion | 115.01% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 1.9 |
F-Score4
WACC8.73%
ROIC/WACC0.26
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)-22.44%
EPS 3Y-11.98%
EPS 5Y6.9%
EPS Q2Q%80%
EPS Next Y19.43%
EPS Next 2Y22.14%
EPS Next 3Y15.37%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.58%
Revenue growth 3Y5.09%
Revenue growth 5Y12.12%
Sales Q2Q%18.88%
Revenue Next Year11.04%
Revenue Next 2Y8.04%
Revenue Next 3Y7.15%
Revenue Next 5YN/A
EBIT growth 1Y-64.84%
EBIT growth 3Y-27.04%
EBIT growth 5Y-9.42%
EBIT Next Year46.39%
EBIT Next 3Y20.67%
EBIT Next 5YN/A
FCF growth 1Y4012.19%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y195.31%
OCF growth 3Y-50.79%
OCF growth 5Y4.89%
ATS CORP / ATS FAQ
What is the fundamental rating for ATS stock?
ChartMill assigns a fundamental rating of 3 / 10 to ATS.
What is the valuation status of ATS CORP (ATS) stock?
ChartMill assigns a valuation rating of 4 / 10 to ATS CORP (ATS). This can be considered as Fairly Valued.
Can you provide the profitability details for ATS CORP?
ATS CORP (ATS) has a profitability rating of 2 / 10.
What is the valuation of ATS CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ATS CORP (ATS) is 24.23 and the Price/Book (PB) ratio is 2.13.
How financially healthy is ATS CORP?
The financial health rating of ATS CORP (ATS) is 3 / 10.