Atlantic International (ATLN) AI Stock Analysis

• Market Cap: $159.95M
• Dividend Yield: N/A
• Average Volume (3M): 24.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.25
• Revenue Growth: 323.42%
• EPS Growth: 83.83%
• Country: US
• Employees: 300
• Sector: Industrials
• Sector Strength: 72
• Industry: Medical - Diagnostics & Research
• EPS (TTM): -0.20
• Shares Outstanding: 58,375,490
• 10 Day Avg. Volume: 14,467
• 30 Day Avg. Volume: 24,066
• PEG Ratio: >-0.01
• Price to Book (P/B): -14.94
• Price to Sales (P/S): 0.41
• P/FCF Ratio: -29.63
• Enterprise Value/Market Cap: 1.18
• Enterprise Value/Revenue: 0.42
• Enterprise Value/Gross Profit: 3.94
• Enterprise Value/Ebitda: -3.08
• 1Y Price Target: $6.00
• Price Target Upside: 144.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): -18.4
• Revenue Forecast (FY): $7.43M

• Rating: 41 Neutral
• Price Target: $2.50 ▲(2.04% Upside)

The overall stock score is heavily influenced by the company's poor financial performance, characterized by negative profitability and cash flow issues. Technical analysis also indicates bearish trends, while valuation metrics are unattractive due to negative earnings. These factors collectively suggest a high-risk investment.

Atlantic International Business Overview & Revenue Model

Company Description

As of June 18, 2024, Atlantic International Corp. was acquired by Lyneer Investments, LLC, in a reverse merger transaction. Atlantic International Corp. operates as a life sciences instrumentation and research services company. It focuses on development of scientific assets and novel intellectual property across multiple omics fields. The company's True Single Molecule Sequencing technology (tSMS) platform offers a single molecule solution for DNA and RNA sequencing through detection of nucleic acids to researchers for analyzing many billions of single molecules in a single experiment and generate accurate and reproducible data. It provides solutions for various applications, such as biomarker discovery and diagnostic assay developments, including laboratories associated with universities, scientific research centers, government institutions, and biotechnology and pharmaceutical companies. In addition, the company has research and development agreement with U.S. Department of Justice's Federal Bureau of Investigation to evaluate and determine the forensic capabilities of direct RNA sequencing using tSMS platform; and Weizmann Institute of Science for developed and applied innovative single-molecule technologies. The company was formerly known as SeqLL Inc. and changed its name to Atlantic International Corp. in June 2024. The company was founded in 2013 and is headquartered in Billerica, Massachusetts.

How the Company Makes Money

Atlantic International generates revenue primarily through its logistics and transportation services. The company's key revenue streams include freight forwarding fees, port handling charges, and consultancy services for maritime operations. Additionally, ATLN may engage in strategic partnerships with shipping lines and port authorities to enhance its service offerings and expand its market reach. By leveraging technology for tracking and optimizing supply chains, the company improves operational efficiency and customer satisfaction, which in turn drives revenue growth.

Atlantic International Financial Statement Overview

Summary

Atlantic International is facing significant financial challenges, including negative profitability, high leverage, and negative cash flows. Despite revenue growth, these issues suggest a need for strategic restructuring to improve financial stability.

Income Statement

Atlantic International has experienced significant revenue growth, with a 10.28% increase from 2023 to 2024. However, the company is facing profitability challenges, as evidenced by negative EBIT and EBITDA margins, and a net loss in the latest period. The gross profit margin is relatively low at 10.66%, indicating potential issues with cost management or pricing strategy.

Balance Sheet

The balance sheet reveals a concerning financial structure with negative stockholders' equity and a high debt-to-equity ratio due to negative equity. This indicates potential solvency issues and high financial risk. The equity ratio is also negative, reflecting the company's reliance on debt financing.

Cash Flow

The company is struggling with negative operating and free cash flows, which raises concerns about its ability to sustain operations without external financing. The operating cash flow to net income ratio is negative, indicating inefficiencies in converting income into cash. The free cash flow growth rate is also negative, highlighting ongoing cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	443.06M	442.61M	401.37M	441.54M	425.03M	329.50K
Gross Profit	47.83M	47.18M	46.88M	54.21M	54.41M	158.69K
EBITDA	-61.14M	-113.10M	1.44M	11.94M	12.18M	-649.39K
Net Income	-97.16M	-135.48M	-15.25M	-3.22M	-40.80M	-1.05M
Balance Sheet
Total Assets	106.76M	122.75M	126.67M	8.41M	10.74M	694.04K
Cash, Cash Equivalents and Short-Term Investments	374.75K	678.68K	1.35M	6.22M	9.95M	0.00
Total Debt	77.88M	82.72M	142.62M	2.93M	1.38M	3.56M
Total Liabilities	125.23M	134.77M	166.02M	4.05M	2.56M	4.55M
Stockholders Equity	-18.46M	-12.02M	-39.35M	4.37M	8.18M	-3.85M
Cash Flow
Free Cash Flow	3.20M	-6.06M	-9.16M	-3.70M	-2.00M	-757.91K
Operating Cash Flow	3.27M	-5.99M	-9.08M	-3.66M	-1.99M	-757.91K
Investing Cash Flow	-68.22K	-73.46K	-73.71K	1.83M	-5.99M	0.00
Financing Cash Flow	-3.27M	5.38M	8.79M	0.00	12.00M	752.05K

Atlantic International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.45
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATLN, the sentiment is Negative. The current price of 2.45 is below the 20-day moving average (MA) of 2.81, below the 50-day MA of 3.28, and below the 200-day MA of 3.19, indicating a bearish trend. The MACD of -0.20 indicates Positive momentum. The RSI at 37.63 is Neutral, neither overbought nor oversold. The STOCH value of 15.30 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ATLN.

Atlantic International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
MDXH	50 Neutral	$235.61M	-5.44	―	―	22.56%	41.62%
ACRS	48 Neutral	$255.66M	-1.72	-113.23%	―	-41.87%	-165.76%
PRE	45 Neutral	$179.43M	―	-27.01%	―	123.15%	8.21%
STIM	43 Neutral	$187.65M	―	-239.53%	―	78.62%	32.39%
XGN	41 Neutral	$234.11M	―	-122.81%	―	14.08%	1.34%
ATLN	41 Neutral	$159.95M	―	-4295.48%	―	323.42%	83.83%