Alta Equipment Group (ALTG) AI Stock Analysis

• Market Cap: $214.57M
• Dividend Yield: 4.88%
• Average Volume (3M): 207.81K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.07
• Revenue Growth: -3.95%
• EPS Growth: -47.70%
• Country: US
• Employees: 2,900
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): -0.39
• Shares Outstanding: 32,266,582
• 10 Day Avg. Volume: 168,489
• 30 Day Avg. Volume: 207,812
• PEG Ratio: -0.06
• Price to Book (P/B): -17.10
• Price to Sales (P/S): 0.08
• P/FCF Ratio: 4.02
• Enterprise Value/Market Cap: 6.36
• Enterprise Value/Revenue: 0.74
• Enterprise Value/Gross Profit: 2.88
• Enterprise Value/Ebitda: 11.08
• 1Y Price Target: $11.17
• Price Target Upside: 67.97% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): -1.23
• Revenue Forecast (FY): $1.88B

• Rating: 54 Neutral
• Price Target: $8.00 ▲(20.30% Upside)
• Action: Reiterated Date: 03/03/26
• Date: Action: Reiterated 03/03/26

The score is held back primarily by weak/volatile profitability and significant balance-sheet risk (high leverage and negative equity), despite improving cash generation. Technicals are supportive with bullish moving-average alignment and positive momentum, while valuation is mixed due to losses (negative P/E) partly offset by a ~3% yield. Management’s 2026 EBITDA improvement guidance and deleveraging plan provide incremental support but do not fully offset the financial risk profile.

Positive Factors

High‑margin product support (aftermarket)

Aftermarket parts and service generated stable revenue with a large 46.1% margin in Q4. High product‑support margins and recurring service demand create durable, annuity‑like cash flows tied to an installed base, improving long‑term EBITDA resilience and supporting deleveraging.

Improving cash generation and liquidity

2025 produced material free cash flow and maintained ~$249M liquidity while cutting net debt. Consistent positive FCF and usable liquidity provide the structural capacity to fund fleet optimization, capex, and scheduled debt maturities, making the company less dependent on external financing.

Scalable equipment sales & distribution platforms

Strong equipment sales and growing platform businesses (Master Distribution, Ecoverse) show scalable revenue streams beyond single transactions. Platform expansion increases cross‑sell potential, OEM leverage and service attach rates, supporting structurally higher recurring revenue over multiple years.

Negative Factors

High leverage and negative equity

Negative equity and elevated leverage materially reduce financial flexibility and raise refinancing and covenant risk. Even with active deleveraging guidance, high net leverage increases cost of capital and limits ability to invest, return capital, or absorb prolonged demand shocks.

Weak, volatile profitability

Although gross margins stayed mid‑20s, operating profitability swung to losses and EBITDA turned negative. Persistent margin pressure from tariffs, discounting, and cost volatility undermines earnings predictability and makes sustainable free cash flow generation more uncertain.

Material‑handling softness and rental headwinds

Deliberate rental fleet reductions and weak material‑handling margins reduce recurring rental income and shrink episodic resale gains. Shrinking fleet and multi‑quarter EBITDA declines indicate cyclical end‑market sensitivity that could slow recovery and constrain return on invested capital.

Alta Equipment Group Business Overview & Revenue Model

Company Description

Alta Equipment Group Inc. owns and operates integrated equipment dealership platforms in the United States. It operates in two segments, Material Handling and Construction Equipment. The company operates a branch network that sells, rents, and provides parts and service support for various categories of specialized equipment, including lift trucks and aerial work platforms, earthmoving equipment, cranes, paving and asphalt equipment, and other material handling and construction equipment. It also offers repair and maintenance services for its equipment. In addition, the company designs and builds warehouses; and provides automated equipment installation and system integration solutions. It serves diversified manufacturing, food and beverage, wholesale/retail, construction, automotive, municipal/government, and medical sectors. Alta Equipment Group Inc. was founded in 1984 and is headquartered in Livonia, Michigan.

How the Company Makes Money

Alta Equipment Group generates revenue through multiple key streams. The primary source comes from the sale and rental of heavy equipment and machinery, where the company offers both new and used equipment to meet customer needs. Additionally, Alta earns significant income from providing parts and maintenance services for the equipment it sells and rents. The company has established partnerships with major manufacturers, which not only enhances its product offerings but also strengthens its market position. Furthermore, Alta benefits from long-term rental agreements and service contracts, providing a steady cash flow. Overall, the combination of equipment sales, rentals, parts sales, and service contracts forms the backbone of Alta's revenue model.

Alta Equipment Group Financial Statement Overview

Summary

Strong multi-year revenue growth, but profitability deteriorated into 2024–2025 with net losses and negative EBITDA. Balance sheet risk is high with elevated leverage and equity turning negative in 2025, partly offset by improved 2025 free cash flow and positive operating cash flow.

Income Statement

Revenue scaled meaningfully from 2020 to 2025 (annual revenue growth was strong in most years, including ~60% in 2025), indicating continued top-line expansion. However, profitability is weak and volatile: net income swung from modest profits in 2022–2023 to sizable losses in 2024–2025, and net margins are negative in the last two years (about -3% to -4%). Gross margin has been fairly steady in the mid‑20% range, but operating profitability deteriorated into 2025, with EBITDA turning negative—suggesting cost pressure and/or heavy operating expenses are overwhelming the gross profit base.

Balance Sheet

Leverage is elevated and balance-sheet resilience has weakened. Total debt remains substantial, and the debt burden is very high relative to equity in recent years (debt-to-equity was already extremely high in 2024 and equity turned negative in 2025). The move to negative equity is a key risk signal, reducing financial flexibility and increasing refinancing sensitivity. Asset base is sizable, but the capital structure (high debt and thin/negative equity) is the primary concern.

Cash Flow

Cash generation is mixed but shows some improvement versus earlier periods. Operating cash flow is positive in 2021–2025 (after being negative in 2020), and free cash flow turned positive in 2025 after several years of negative free cash flow. That said, free cash flow has been volatile (negative in 2021–2024, then positive in 2025 with a sharp growth swing), and operating cash flow remains relatively small compared with the company’s debt load (coverage is low in all shown periods). Overall, cash flow is improving but not yet consistently strong.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Mar 2022
Income Statement
Total Revenue	1.84B	1.88B	1.88B	1.57B	1.21B
Gross Profit	474.60M	493.70M	507.20M	419.60M	314.40M
EBITDA	-19.20M	159.50M	192.10M	154.40M	102.60M
Net Income	-80.30M	-62.10M	8.90M	9.30M	-20.80M
Balance Sheet
Total Assets	1.34B	1.48B	1.57B	1.29B	982.60M
Cash, Cash Equivalents and Short-Term Investments	18.60M	13.40M	31.00M	2.70M	2.30M
Total Debt	1.17B	1.20B	1.18B	921.80M	679.40M
Total Liabilities	1.35B	1.40B	1.42B	1.15B	847.90M
Stockholders Equity	-8.80M	77.60M	149.70M	139.80M	134.70M
Cash Flow
Free Cash Flow	37.40M	-13.50M	-16.20M	-58.20M	-19.70M
Operating Cash Flow	33.00M	57.00M	58.40M	18.50M	30.70M
Investing Cash Flow	-22.70M	-56.20M	-117.40M	-155.10M	-113.40M
Financing Cash Flow	-5.30M	-17.90M	87.30M	136.90M	83.80M

Alta Equipment Group Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6.65
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALTG, the sentiment is Neutral. The current price of 6.65 is below the 20-day moving average (MA) of 6.92, above the 50-day MA of 6.38, and above the 200-day MA of 6.49, indicating a neutral trend. The MACD of 0.11 indicates Positive momentum. The RSI at 47.72 is Neutral, neither overbought nor oversold. The STOCH value of 35.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ALTG.

Alta Equipment Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MGRC	70 Outperform	$2.59B	12.96	13.21%	1.79%	4.77%	-35.44%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
AL	63 Neutral	$7.26B	9.92	13.23%	1.37%	9.67%	96.43%
R	61 Neutral	$7.96B	16.03	16.36%	1.75%	1.68%	9.91%
HRI	58 Neutral	$4.04B	4,644.29	0.06%	1.79%	19.40%	-120.47%
ALTG	54 Neutral	$214.57M	-3.18	-160.65%	4.88%	-3.95%	-47.70%
CTOS	46 Neutral	$1.45B	-63.17	-3.00%	―	7.39%	34.57%

Alta Equipment Group Corporate Events

Alta Equipment Group Reassigns Brubaker to COO Role

On December 31, 2025, Alta Equipment Group Inc. appointed Craig Brubaker as Chief Operating Officer of its Material Handling segment, with the change effective immediately and ending his status as an executive officer and Section 16 officer of the company. Under the new agreement, Brubaker will receive a base salary, eligibility for a bonus, and certain severance benefits contingent on his compliance with the terms, signaling a shift in his role toward segment-level operational leadership rather than corporate executive governance, with implications for the company’s management structure and reporting obligations.

The most recent analyst rating on (ALTG) stock is a Hold with a $5.00 price target. To see the full list of analyst forecasts on Alta Equipment Group stock, see the ALTG Stock Forecast page.

Alta Equipment Group Declares Quarterly Preferred Stock Dividend

On January 5, 2026, Alta Equipment Group Inc. announced that its board of directors approved a quarterly dividend of $625 per share on its 10% Series A Cumulative Perpetual Preferred Stock, equivalent to $0.625 per outstanding depositary share representing a 1/1000th interest in a preferred share. The dividend will be paid on January 30, 2026, to shareholders of record as of January 15, 2026, underscoring the company’s ongoing commitment to returning capital to holders of its preferred securities and potentially reinforcing investor confidence in the stability of its cash flows from its extensive equipment dealership operations.

The most recent analyst rating on (ALTG) stock is a Hold with a $5.00 price target. To see the full list of analyst forecasts on Alta Equipment Group stock, see the ALTG Stock Forecast page.