Astec (ASTE) AI Stock Analysis

• Market Cap: $1.03B
• Dividend Yield: 1.16%
• Average Volume (3M): 160.54K
• Price to Earnings (P/E): 21.6
• Beta (1Y): 1.50
• Revenue Growth: 6.66%
• EPS Growth: N/A
• Country: US
• Employees: 4,148
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): 0.47
• Shares Outstanding: 22,875,841
• 10 Day Avg. Volume: 186,104
• 30 Day Avg. Volume: 160,537
• PEG Ratio: -2.05
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 0.59
• P/FCF Ratio: 306.42
• Enterprise Value/Market Cap: 1.34
• Enterprise Value/Revenue: 1.01
• Enterprise Value/Gross Profit: 3.76
• Enterprise Value/Ebitda: 13.78
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: $49.00 ▲(2.25% Upside)

Astec's overall stock score reflects a solid financial performance and positive earnings call highlights, including strong sales growth and improved margins. However, technical analysis indicates potential short-term weakness, and valuation metrics suggest the stock may be overvalued. Cash flow challenges and external uncertainties, such as tariffs, also weigh on the score.

Positive Factors

Revenue Growth

Astec's strong revenue growth indicates robust demand for its products, enhancing its market position and supporting long-term expansion.

Successful Acquisition Integration

The successful integration of TerraSource boosts Astec's product offerings and operational efficiency, strengthening its competitive edge.

Infrastructure Solutions Segment Growth

Growth in the Infrastructure Solutions segment reflects strong demand for core products, supporting sustained profitability and market leadership.

Negative Factors

Cash Flow Challenges

Declining free cash flow may hinder Astec's ability to invest in growth opportunities and manage financial obligations effectively.

Soft Demand in Certain Segments

Weak demand in specific segments could limit revenue growth and profitability, affecting overall business performance.

Tariff Uncertainty

Tariff uncertainties can disrupt supply chains and increase costs, impacting Astec's operational efficiency and profit margins.

Astec Business Overview & Revenue Model

Company Description

Astec Industries, Inc. (ASTE) is a leading manufacturer of specialized equipment for the infrastructure and construction industries. The company operates in various sectors, including asphalt, concrete, and aggregate production. Astec's core products encompass a wide range of machinery, such as asphalt plants, concrete plants, and crushing equipment, which are designed to enhance productivity and efficiency in construction-related activities.

How the Company Makes Money

Astec generates revenue primarily through the sale of its machinery and equipment to contractors and construction companies engaged in road building, site development, and other infrastructure projects. The company's revenue model is supported by several key streams: direct sales of equipment, aftermarket parts and services, and equipment rentals. Additionally, Astec benefits from significant partnerships with distributors and dealers, which help expand its market reach. The company also sees revenue from international markets, tapping into the growing demand for infrastructure development worldwide.

Astec Financial Statement Overview

Summary

Astec demonstrates solid financial performance with consistent revenue growth and improved profitability margins. The balance sheet remains strong with manageable leverage and a robust equity base. However, cash flow challenges, particularly in free cash flow generation, highlight areas for improvement.

Income Statement

Astec's income statement shows a solid performance with a consistent revenue growth trend, particularly in the TTM period, where revenue grew by 4.48%. The gross profit margin improved to 26.87% in the TTM, indicating effective cost management. However, the net profit margin remains relatively low at 3.50%, suggesting room for improvement in profitability. The EBIT and EBITDA margins have shown positive trends, reflecting operational efficiency gains.

Balance Sheet

The balance sheet reflects a stable financial position with a moderate debt-to-equity ratio of 0.48 in the TTM, indicating manageable leverage. The return on equity has improved to 7.07%, showcasing enhanced shareholder returns. The equity ratio of 49.60% suggests a strong equity base, providing financial stability. However, the increase in total debt warrants monitoring.

Cash Flow

Astec's cash flow statement reveals challenges with free cash flow, which declined by 29.57% in the TTM. The operating cash flow to net income ratio is relatively low at 0.19, indicating potential issues in converting earnings into cash. However, the free cash flow to net income ratio of 0.93 in the TTM suggests that the company is generating cash relative to its net income, albeit with some volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.37B	1.31B	1.34B	1.27B	1.10B	1.02B
Gross Profit	367.80M	327.90M	330.80M	264.10M	249.50M	237.60M
EBITDA	100.30M	51.40M	77.30M	34.80M	45.10M	72.10M
Net Income	47.90M	4.30M	33.50M	-100.00K	15.80M	46.00M
Balance Sheet
Total Assets	1.35B	1.04B	1.06B	1.01B	905.80M	848.20M
Cash, Cash Equivalents and Short-Term Investments	71.80M	91.30M	68.90M	66.70M	142.70M	162.90M
Total Debt	352.00M	118.30M	83.10M	87.70M	2.90M	2.00M
Total Liabilities	680.00M	406.00M	405.60M	387.50M	254.50M	205.20M
Stockholders Equity	668.90M	637.80M	653.40M	626.90M	650.80M	642.50M
Cash Flow
Free Cash Flow	57.40M	2.50M	-6.30M	-114.60M	-12.70M	126.10M
Operating Cash Flow	61.90M	23.00M	27.80M	-73.90M	7.40M	141.50M
Investing Cash Flow	-264.40M	-18.00M	-12.90M	-53.20M	-18.40M	-20.90M
Financing Cash Flow	188.10M	24.40M	-18.30M	60.10M	-12.10M	-10.40M

Astec Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 47.92
• 50DMA: Negative
• 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 ASTE, the sentiment is Neutral. The current price of 47.92 is above the 20-day moving average (MA) of 46.84, above the 50-day MA of 47.09, and above the 200-day MA of 40.20, indicating a neutral trend. The MACD of -0.35 indicates Positive momentum. The RSI at 39.98 is Neutral, neither overbought nor oversold. The STOCH value of 48.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ASTE.

Astec Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CMCO	70 Neutral	$436.38M	111.53	0.44%	1.79%	-2.36%	-73.77%
ASTE	66 Neutral	$1.03B	21.59	7.37%	1.16%	6.66%	―
LNN	64 Neutral	$1.20B	16.35	14.61%	1.27%	11.41%	13.05%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
TWI	60 Neutral	$500.30M	―	-1.05%	―	-2.75%	22.20%
WNC	49 Neutral	$313.60M	1.27	84.07%	4.13%	-22.95%	―
HY	48 Neutral	$604.20M	231.30	0.51%	4.17%	-8.30%	-98.18%

Astec Corporate Events

Astec Industries Reports Strong Q3 2025 Results

Astec Industries, Inc. is a manufacturer specializing in equipment for asphalt road building, aggregate processing, and concrete production, operating primarily in the infrastructure and materials solutions sectors. The company recently reported its third-quarter 2025 financial results, showcasing a robust performance with significant growth in net sales and adjusted EBITDA. The acquisition of TerraSource Holdings, LLC has contributed positively to the company’s financial outcomes.

Astec Industries Reports Strong Earnings Amid Challenges

Astec Industries’ recent earnings call revealed a generally positive sentiment, underscored by robust financial performance metrics. The company reported significant increases in net sales, EBITDA, and earnings per share, reflecting a strong quarter. The successful integration of TerraSource and growth in the Infrastructure Solutions segment were notable highlights, although challenges such as soft demand in certain segments and ongoing tariff uncertainties were acknowledged.

Astec Industries’ Earnings Call Highlights Growth and Challenges

Astec Industries, Inc. recently held its earnings call, showcasing a positive sentiment overall. The company reported strong financial performance, successful acquisitions, and significant improvements in operational efficiency. Despite some challenges in backlog and market conditions, Astec’s proactive measures and strategic growth initiatives position it well for future success.

Astec Industries Reports Strong Q2 2025 Results

Astec Industries, Inc. is a manufacturer specializing in equipment for asphalt road building, aggregate processing, and concrete production, with operations divided into Infrastructure Solutions and Materials Solutions segments.