Ampco-Pittsburgh (AP) AI Stock Analysis

• Market Cap: $57.50M
• Dividend Yield: N/A
• Average Volume (3M): 66.44K
• Price to Earnings (P/E): 15.8
• Beta (1Y): 1.35
• Revenue Growth: -3.95%
• EPS Growth: 88.17%
• Country: US
• Employees: 1,634
• Sector: Industrials
• Sector Strength: 79
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): -0.36
• Shares Outstanding: 20,317,030
• 10 Day Avg. Volume: 55,221
• 30 Day Avg. Volume: 66,440
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 3.53
• Enterprise Value/Revenue: 0.49
• Enterprise Value/Gross Profit: 2.60
• Enterprise Value/Ebitda: 6.80
• 1Y Price Target: $2.50
• Price Target Upside: -12.89% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1

• Rating: 40 Underperform
• Price Target: $2.50 ▼(-12.89% Downside)

Ampco-Pittsburgh's overall stock score reflects significant financial and operational challenges, with high leverage and negative profitability being the most impactful factors. Technical indicators and valuation metrics further highlight bearish sentiment. The new credit facility offers some positive outlook, but the overall risks remain substantial.

Ampco-Pittsburgh Business Overview & Revenue Model

Company Description

Ampco-Pittsburgh Corporation, together with its subsidiaries, engages in manufacture and sale of specialty metal products and customized equipment to commercial and industrial users worldwide. It operates in two segments, Forged and Cast Engineered Products (FCEG); and Air and Liquid Processing. The FCEG segment produces forged hardened steel rolls that are used in cold rolling mills by producers of steel, aluminum, and other metals; cast rolls for hot and cold strip, medium/heavy section, hot strip finishing, roughing, and plate mills in various iron and steel qualities; and forged engineered products for use in the steel distribution, oil and gas, and aluminum and plastic extrusion industries. This segment also offers forged rolls for cluster and Z-Hi mills; work rolls for narrow and wide strip and aluminum mills; back-up rolls for narrow strip mills; leveling rolls and shafts; and distributes tool steels, alloys, and carbon round bars. The Air and Liquid Processing segment produces custom-engineered finned tube heat exchange coils and related heat transfer products for various industries, including OEM/commercial, nuclear power generation, and industrial manufacturing; and custom-designed air handling systems for institutional, pharmaceutical, and general industrial building markets. This segment also provides centrifugal pumps the fossil-fueled power generation, marine defense, and industrial refrigeration industries. The company was incorporated in 1929 and is headquartered in Carnegie, Pennsylvania.

How the Company Makes Money

Ampco-Pittsburgh generates revenue through the sale of its engineered products and solutions across its two primary business segments. The Forged and Cast Products segment contributes significantly to the company's earnings by providing custom solutions for heavy industries, with strong demand for durable components in sectors like energy and manufacturing. The Air and Liquid Processing segment focuses on producing specialized equipment for fluid management, including pumps and heat exchangers, catering to markets such as oil and gas, power generation, and chemical processing. Additionally, Ampco-Pittsburgh benefits from long-term customer relationships and contracts, which provide stable revenue streams. The company may also engage in strategic partnerships and collaborations that enhance its market position and facilitate entry into new markets, thereby contributing to its overall profitability.

Ampco-Pittsburgh Financial Statement Overview

Summary

Ampco-Pittsburgh's financial statements reveal a mixed performance with steady profitability and cash generation capabilities, countered by challenges in revenue growth and high leverage. The income statement shows improved margins, but declining revenue is concerning. The balance sheet reflects high leverage, although ROE improvements suggest better returns to shareholders. Cash flow analysis highlights strong operating cash flows but negative free cash flow, indicating liquidity management issues. Overall, while the company demonstrates certain strengths, particularly in profitability and operational efficiency, high debt levels and cash flow concerns warrant caution.

Income Statement

The company's gross profit margin for TTM stands at 18.63%, indicating a reasonable ability to cover costs. The net profit margin improved to 1.04% from a prior year's 0.10%, showing enhanced profitability, albeit remaining low. Revenue decreased by 1.42% in the TTM compared to the previous year, suggesting a slight contraction. The EBIT and EBITDA margins are 3.87% and 9.43% respectively, reflecting stable operational efficiency. Overall, the income statement indicates modest profitability and stable margins, but revenue contraction is a concern.

Balance Sheet

The company's debt-to-equity ratio is 2.05, indicating high leverage, which could pose a risk in volatile market conditions. Return on equity (ROE) improved to 6.65% in the TTM, showing better returns to equity holders compared to negative returns in previous years. The equity ratio is 12.06%, suggesting a limited equity buffer to absorb potential shocks. While improvements in ROE are positive, high leverage remains a critical concern for financial stability.

Cash Flow

The operating cash flow to net income ratio is 1.91, demonstrating strong cash generation relative to net income. However, free cash flow has turned negative in the TTM, indicating challenges in generating cash after capital expenditures. The free cash flow to net income ratio is -0.78, highlighting the inability to convert earnings into free cash flow. While operating cash flows are robust, the negative free cash flow trajectory indicates potential liquidity pressures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	414.47M	418.31M	422.34M	390.19M	344.92M	328.54M
Gross Profit	78.10M	81.50M	74.56M	62.19M	66.11M	71.03M
EBITDA	29.86M	35.28M	-12.26M	28.40M	20.48M	31.39M
Net Income	-5.05M	438.00K	-39.93M	3.42M	-3.86M	7.97M
Balance Sheet
Total Assets	537.15M	530.90M	565.65M	502.77M	485.63M	463.21M
Cash, Cash Equivalents and Short-Term Investments	9.95M	15.43M	7.29M	8.73M	10.34M	16.84M
Total Debt	139.58M	133.17M	133.42M	108.99M	64.97M	41.59M
Total Liabilities	460.66M	459.81M	494.08M	389.38M	393.83M	378.21M
Stockholders Equity	62.68M	58.88M	60.94M	104.33M	82.57M	76.56M
Cash Flow
Free Cash Flow	849.00K	5.83M	-24.13M	-43.90M	-31.10M	25.17M
Operating Cash Flow	11.19M	18.03M	-3.69M	-27.21M	-15.87M	33.63M
Investing Cash Flow	-6.89M	-8.24M	-19.68M	-16.31M	-14.73M	-7.93M
Financing Cash Flow	-2.90M	-1.35M	21.69M	42.59M	24.40M	-17.22M

Ampco-Pittsburgh Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.87
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AP, the sentiment is Negative. The current price of 2.87 is below the 20-day moving average (MA) of 3.28, below the 50-day MA of 3.18, and above the 200-day MA of 2.45, indicating a neutral trend. The MACD of -0.09 indicates Positive momentum. The RSI at 37.30 is Neutral, neither overbought nor oversold. The STOCH value of 13.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AP.

Ampco-Pittsburgh Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AZZ	80 Outperform	$3.40B	13.14	23.85%	0.63%	1.70%	684.20%
NWPX	72 Outperform	$498.43M	15.38	9.14%	―	5.83%	33.50%
GIFI	66 Neutral	$109.52M	11.52	11.00%	―	14.32%	―
MEC	61 Neutral	$291.97M	16.66	7.37%	―	-16.95%	66.04%
Sector *	58 Neutral	HK$13.91B	4.82	-3.70%	5.62%	2.15%	-62.33%
TG	41 Neutral	$262.39M	666.67	-4.96%	―	-3.07%	―
AP	40 Underperform	$57.50M	15.81	-8.37%	―	-3.95%	88.17%

Ampco-Pittsburgh Corporate Events

Ampco-Pittsburgh Series A Warrants Expire August 1

On July 18, 2025, Ampco-Pittsburgh Corporation reminded warrant holders that its Series A warrants will expire on August 1, 2025, and will not be exercisable after this date. The NYSE has announced the suspension of trading in these warrants on July 31, 2025, to ensure trades settle in time for final exercises, impacting stakeholders by providing a deadline for action.

Ampco-Pittsburgh Secures New Credit Facility Agreement

On June 27, 2025, Ampco-Pittsburgh Corporation announced the closing of an amended and restated revolving credit, term loan, and security agreement. This Credit Facility includes a $100 million asset-backed revolving line of credit and a $13.5 million term loan, with the term loan proceeds used to reduce borrowings on the revolving credit. The agreement aims to provide increased lending capacity and flexibility to support the company’s global working capital requirements. The facility is structured to offer greater financial support for Ampco-Pittsburgh’s operations, potentially impacting its liquidity and operational capabilities positively.