ATI (ATI) AI Stock Analysis

• Market Cap: $11.99B
• Dividend Yield: N/A
• Average Volume (3M): 1.91M
• Price to Earnings (P/E): 30.7
• Beta (1Y): 1.62
• Revenue Growth: 6.82%
• EPS Growth: 3.49%
• Country: US
• Employees: 7,800
• Sector: Industrials
• Sector Strength: 87
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.72
• Shares Outstanding: 141,067,580
• 10 Day Avg. Volume: 1,986,420
• 30 Day Avg. Volume: 1,905,877
• PEG Ratio: -0.03
• Price to Book (P/B): 3.64
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 40.50
• Enterprise Value/Market Cap: 0.41
• Enterprise Value/Revenue: 0.25
• Enterprise Value/Gross Profit: 5.31
• Enterprise Value/Ebitda: 1.91
• 1Y Price Target: $77.67
• Price Target Upside: -8.59% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 78 Outperform
• Price Target: $94.00 ▲(10.63%Upside)

ATI's overall stock score is driven by robust financial performance and positive earnings call sentiment, offset by high valuation concerns and potential technical pullback risks due to overbought conditions.

Positive Factors

Contract Wins

ATI signed a 5-year, $1B Airbus contract that will double ATI's C26 Airbus sales compared to C25.

Market Expansion

ATI has expanded its titanium melt capacity by 80%, benefiting from customer diversification away from Russia and preparing for increased demand in commercial aerospace.

Sales Growth

ATI picked up $4 billion in new sales commitments in the nickel alloy sector, highlighting strong growth and a solid foundation for the company.

Negative Factors

Demand Pressure

ATI's IGT business has come under demand pressure, given its skew to Chinese customers.

Labor Agreement Challenges

ATI announced that its Specialty Rolled Products employees in Western PA and Lockport, NY, and the United Steelworkers failed to ratify a labor agreement.

Supply Chain Concerns

Much of the supply chain, including ATI, has discounted Boeing's supplier master schedule and avoided delivering in quantities that might put them at risk.

ATI Business Overview & Revenue Model

Company Description

ATI Inc. manufactures and sells specialty materials and components worldwide. The company operates in two segments: High Performance Materials & Components (HPMC) and Advanced Alloys & Solutions (AA&S). The HPMC segment produces various materials, including titanium and titanium-based alloys, nickel- and cobalt-based alloys and superalloys, advanced powder alloys and other specialty materials, in long product forms, such as ingot, billet, bar, rod, wire, shapes and rectangles, and seamless tubes, as well as precision forgings, components, and machined parts. The segment serves aerospace and defense, medical, and energy markets. The AA&S segment produces zirconium and related alloys, including hafnium and niobium, nickel-based alloys, titanium and titanium-based alloys, and specialty alloys in a variety of forms, such as plate, sheet, and precision rolled strip products. It also provides hot-rolling conversion services, including carbon steel products, and titanium products. This segment offers its solutions to the energy, aerospace and defense, automotive, and electronics markets. The company was formerly known as Allegheny Technologies Incorporated. ATI Inc. was founded in 1960 and is headquartered in Dallas, Texas.

How the Company Makes Money

ATI generates revenue primarily through the sale of its advanced materials and components. The company's key revenue streams include direct sales to industries such as aerospace and defense, where there is a high demand for high-performance materials. ATI also engages in long-term contracts and partnerships with major industrial players, contributing to a stable revenue base. Additionally, the company invests in research and development to continually enhance its product offerings, which can lead to premium pricing and increased market share. ATI's involvement in strategic sectors such as defense and medical also provides opportunities for government contracts and specialized projects, further bolstering its income.

ATI Financial Statement Overview

Summary

ATI demonstrates solid financial health across income, balance sheet, and cash flow statements. Strong revenue growth, improved profitability margins, moderate leverage, and robust cash flow generation highlight a stable financial position.

Income Statement

ATI has shown a strong increase in revenue over the years, with the latest TTM revenue up by 2.3% compared to the previous year, indicating robust growth. Gross Profit Margin has been stable around 21%, and the Net Profit Margin has improved significantly to 8.9% in TTM, reflecting enhanced profitability. The EBIT and EBITDA Margins have also shown positive trends, highlighting efficient operations.

Balance Sheet

ATI maintains a healthy balance sheet with a Debt-to-Equity Ratio of approximately 1.01, reflecting moderate leverage. The Return on Equity (ROE) has improved substantially to 21.3% in TTM, indicating effective use of equity to generate profits. The Equity Ratio is stable at around 36%, showing a balanced capital structure.

Cash Flow

Free Cash Flow has seen a remarkable growth of 97.9% from the previous year, underscoring strong cash generation capabilities. Operating Cash Flow to Net Income Ratio is at 1.27, indicating robust cash flow generation relative to net income. The Free Cash Flow to Net Income Ratio of 0.83 further emphasizes strong cash flow performance.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
4.46B	4.36B	4.17B	3.84B	2.80B	2.98B
	Gross Profit
936.60M	898.20M	802.60M	714.20M	333.20M	292.80M
	EBIT
636.50M	608.90M	466.40M	287.30M	161.70M	28.50M
	EBITDA
740.30M	608.90M	547.10M	599.30M	260.80M	-1.30B
	Net Income Common Stockholders
398.70M	367.80M	410.80M	130.90M	-16.20M	-1.56B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
475.80M	721.20M	743.90M	584.00M	687.70M	645.90M
	Total Assets
5.18B	5.23B	4.99B	4.45B	4.29B	4.03B
	Total Debt
1.89B	1.90B	2.18B	1.75B	1.84B	1.57B
	Net Debt
1.42B	1.17B	1.44B	1.16B	1.16B	921.90M
	Total Liabilities
3.20B	3.28B	3.50B	3.29B	3.45B	3.39B
	Stockholders Equity
1.87B	1.85B	1.37B	1.05B	685.60M	521.10M
Cash Flow		Free Cash Flow
332.70M	168.10M	-114.80M	94.00M	-136.50M	30.40M
	Operating Cash Flow
506.00M	407.20M	85.90M	224.90M	16.10M	166.90M
	Investing Cash Flow
-146.40M	-159.60M	-193.20M	-126.70M	-77.30M	-128.70M
	Financing Cash Flow
-73.50M	-260.40M	267.20M	-201.90M	103.00M	116.90M

ATI Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 84.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATI, the sentiment is Positive. The current price of 84.97 is above the 20-day moving average (MA) of 80.32, above the 50-day MA of 65.86, and above the 200-day MA of 60.44, indicating a bullish trend. The MACD of 4.82 indicates Positive momentum. The RSI at 79.00 is Negative, neither overbought nor oversold. The STOCH value of 78.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ATI.

ATI Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AZZ	78 Outperform	$2.73B	50.14	13.01%	0.74%	2.61%	-53.74%
ATI	78 Outperform	$11.99B	30.74	25.42%	―	6.82%	3.49%
ESAB	77 Outperform	$7.59B	27.88	16.64%	0.26%	-1.85%	16.06%
CRS	77 Outperform	$12.37B	35.24	21.78%	0.32%	7.40%	168.67%
MLI	75 Outperform	$8.22B	13.53	24.51%	1.35%	18.81%	10.05%
WOR	71 Outperform	$2.98B	49.92	6.56%	1.14%	-69.82%	-78.10%
Sector *	66 Neutral	$4.47B	12.22	5.40%	3.65%	4.14%	-12.00%

ATI Corporate Events

ATI Updates Bylaws Following SEC Rule Alignment

On May 15, 2025, ATI Inc.’s Board of Directors approved an amendment and restatement of the company’s bylaws to align with the SEC’s Rule 14a-19 and make related technical changes. The following day, at the 2025 Annual Meeting of Stockholders, ATI Inc. held elections for three directors, conducted an advisory vote on executive compensation for 2024, and ratified Ernst & Young LLP as the company’s independent auditors for the 2025 fiscal year.

The most recent analyst rating on (ATI) stock is a Buy with a $55.00 price target. To see the full list of analyst forecasts on ATI stock, see the ATI Stock Forecast page.