Ampco-Pittsburgh (AP) AI Stock Analysis

• Market Cap: $58.27M
• Dividend Yield: N/A
• Average Volume (3M): 77.98K
• Price to Earnings (P/E): 13.6
• Beta (1Y): 1.30
• Revenue Growth: -3.60%
• EPS Growth: N/A
• Country: US
• Employees: 1,634
• Sector: Industrials
• Sector Strength: 89
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.06
• Shares Outstanding: 20,094,618
• 10 Day Avg. Volume: 48,455
• 30 Day Avg. Volume: 77,978
• PEG Ratio: -0.11
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.10
• Enterprise Value/Market Cap: 2.55
• Enterprise Value/Revenue: 0.09
• Enterprise Value/Gross Profit: 1.94
• Enterprise Value/Ebitda: 2.93
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 67 Neutral
• Price Target: $3.00 ▲(3.45%Upside)

Ampco-Pittsburgh's overall stock score is driven by its mixed financial performance and reasonable valuation. Key strengths include improved profitability and strategic initiatives highlighted in the earnings call. However, high leverage and liquidity concerns remain significant risks. The positive impact of the new credit facility agreement provides some financial stability.

Ampco-Pittsburgh Business Overview & Revenue Model

Company Description

Ampco-Pittsburgh Corporation is a diversified industrial company headquartered in the United States, primarily engaged in the production and sale of custom-engineered equipment and consumable specialty materials. The company operates through two main segments: the Forged and Cast Engineered Products segment, which provides products such as forged hardened steel rolls for cold rolling mills and cast rolls for hot strip mills, and the Air and Liquid Processing segment, offering air handling systems and centrifugal pumps.

How the Company Makes Money

Ampco-Pittsburgh Corporation generates revenue through the manufacture and sale of its engineered products and materials. The Forged and Cast Engineered Products segment contributes significantly to the company's income by supplying essential components to the steel and aluminum industries, where their products are critical for hot and cold rolling processes. The Air and Liquid Processing segment adds to the revenue through sales of air handling and filtration systems, primarily serving the HVAC market, and centrifugal pumps used in various industries. The company's earnings are bolstered by strategic partnerships and long-term contracts with key industry players, ensuring a steady demand for its specialized products.

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.

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	412.36M	418.31M	422.34M	390.19M	344.92M	328.54M
Gross Profit	76.83M	81.50M	74.56M	62.19M	57.28M	71.03M
EBITDA	38.87M	35.25M	-12.23M	28.43M	20.51M	31.42M
Net Income	4.30M	438.00K	-39.93M	3.42M	-12.13M	7.97M
Balance Sheet
Total Assets	536.19M	530.90M	565.65M	502.77M	485.63M	463.21M
Cash, Cash Equivalents and Short-Term Investments	7.13M	15.43M	7.29M	8.73M	10.34M	16.84M
Total Debt	132.29M	133.17M	133.42M	108.99M	64.97M	41.59M
Total Liabilities	458.52M	459.81M	494.08M	389.38M	393.83M	378.21M
Stockholders Equity	64.64M	58.88M	60.94M	104.33M	82.57M	76.56M
Cash Flow
Free Cash Flow	-3.34M	5.83M	-24.13M	-43.90M	-31.10M	25.17M
Operating Cash Flow	8.21M	18.03M	-3.69M	-27.21M	-15.87M	33.63M
Investing Cash Flow	-7.11M	-8.24M	-19.68M	-16.31M	-14.73M	-7.93M
Financing Cash Flow	-5.11M	-1.35M	21.69M	42.59M	24.40M	-17.22M

Ampco-Pittsburgh Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.90
• 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 AP, the sentiment is Positive. The current price of 2.9 is below the 20-day moving average (MA) of 3.00, above the 50-day MA of 2.85, and above the 200-day MA of 2.25, indicating a bullish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 52.72 is Neutral, neither overbought nor oversold. The STOCH value of 47.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AP.

Ampco-Pittsburgh Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AZZ	75 Outperform	$2.96B	55.31	13.01%	0.69%	2.61%	-53.74%
MEC	73 Outperform	$332.08M	15.01	9.40%	―	-8.42%	164.82%
GIFI	72 Outperform	$111.46M	9.50	13.54%	―	18.83%	―
NWPX	72 Outperform	$414.19M	12.90	9.13%	―	8.06%	38.46%
AP	67 Neutral	$58.27M	13.58	7.11%	―	-3.60%	―
TG	58 Neutral	$315.69M	41.40	-1.05%	―	0.24%	―
Sector *	58 Neutral	HK$13.95B	4.43	-3.01%	7.31%	3.67%	-54.16%

Ampco-Pittsburgh Corporate Events

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.

Ampco-Pittsburgh Board Members Resign Ahead of May 15

On May 8, 2025, Frederick D. DiSanto and Stephen E. Paul announced their resignation from the Ampco-Pittsburgh Corporation’s Board of Directors, effective May 15, 2025, leading to a reduction in the Board’s size from ten to eight members. Additionally, on March 6, 2025, the Board approved an amendment to the 2016 Omnibus Incentive Plan, increasing the shares available for equity-based awards by 500,000, which was subsequently approved by shareholders on May 8, 2025. This move is expected to enhance the company’s ability to offer competitive compensation packages.