AptarGroup (ATR) AI Stock Analysis

• Market Cap: $8.06B
• Dividend Yield: 1.49%
• Average Volume (3M): 580.43K
• Price to Earnings (P/E): 19.7
• Beta (1Y): 0.55
• Revenue Growth: 2.50%
• EPS Growth: 25.05%
• Country: US
• Employees: 13,000
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 1.62
• Shares Outstanding: 65,619,156
• 10 Day Avg. Volume: 593,919
• 30 Day Avg. Volume: 580,435
• PEG Ratio: 0.92
• Price to Book (P/B): 4.22
• Price to Sales (P/S): 2.91
• P/FCF Ratio: 29.84
• Enterprise Value/Market Cap: 1.23
• Enterprise Value/Revenue: 2.71
• Enterprise Value/Gross Profit: 7.94
• Enterprise Value/Ebitda: 11.81
• 1Y Price Target: $152.00
• Price Target Upside: 22.95% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 5.72
• Revenue Forecast (FY): $3.69B

• Rating: 60 Neutral
• Price Target: $131.00 ▲(5.96% Upside)

AptarGroup's overall stock score reflects a balance of strengths and weaknesses. Financial performance is mixed with high leverage and cash flow concerns. Technical indicators suggest bearish momentum, while valuation is fair. The earnings call provided a mixed outlook with growth in some segments but challenges in others.

Positive Factors

Pharma Segment Growth

The growth in the Pharma segment, particularly in central nervous system applications and injectables, indicates a strong market position and potential for sustained revenue growth.

Strategic Acquisition

The acquisition of Sommaplast is expected to strengthen Aptar's market presence in Brazil, enhancing its growth prospects in the oral dosing market.

Innovations and Approvals

FDA clearance for HeroTracker Sense technology enhances Aptar's product portfolio, supporting long-term growth in the drug delivery market.

Negative Factors

High Leverage

High leverage indicates significant financial risk, potentially limiting Aptar's ability to invest in growth opportunities and affecting financial stability.

Cash Flow Decline

A decline in free cash flow growth suggests potential issues in cash generation, which could impact Aptar's ability to fund operations and strategic initiatives.

Leadership Change

The departure of a key legal executive could disrupt Aptar's legal and compliance functions, potentially affecting strategic decision-making and regulatory compliance.

AptarGroup Business Overview & Revenue Model

Company Description

AptarGroup, Inc. provides a range of dispensing, sealing, and material science solutions primarily for the beauty, personal care, home care, prescription drug, consumer health care, injectable, and food and beverage markets. The company operates through three segments: Pharma, Beauty + Home, and Food + Beverage. The Pharma segment provides pumps for nasal allergy treatments; and metered dose inhaler valves for respiratory ailments, such as asthma and chronic obstructive pulmonary diseases in pharmaceutical market; elastomer for injectable primary packaging components; and active material science solutions. The Beauty + Home segment primarily sells pumps, closures, aerosol valves, accessories, and sealing solutions to the personal care and home care markets; and pumps and decorative components to the beauty market. The Food + Beverage segment offers dispensing and non-dispensing closures, elastomeric flow control components, spray pumps, and aerosol valves to the food and beverage markets. It sells its products through own sales force, as well as independent representatives and distributors in Asia, Europe, Latin America, and North America. The company has a strategic partnership with PureCycle Technologies LLC to develop ultra-pure recycled polypropylene into dispensing applications; and a collaboration with Sonmol for developing a digital therapies and services platform targeting respiratory and other diseases. AptarGroup, Inc. was incorporated in 1992 and is headquartered in Crystal Lake, Illinois.

How the Company Makes Money

AptarGroup generates revenue primarily through the sale of its dispensing systems and packaging solutions across its three business segments. The company earns money by selling products to various industries, including pharmaceuticals, beauty, and food and beverage, with key revenue streams derived from both established products and new innovations. The pharmaceutical segment is particularly significant, driven by the growing demand for drug delivery systems. Additionally, AptarGroup benefits from long-term partnerships with major consumer brands and pharmaceutical companies, which provide a steady stream of income. The company's focus on innovation allows it to adapt to market trends and customer needs, further enhancing its revenue potential.

AptarGroup Financial Statement Overview

Summary

AptarGroup's financial performance is mixed. Improved net profit margin and return on equity are positive, but high leverage and declining cash flow generation are concerning. The company faces cost pressures and needs to manage debt levels better.

Income Statement

AptarGroup's income statement shows a mixed performance. The TTM gross profit margin is significantly lower than previous years, indicating increased cost pressures. However, the net profit margin has improved to 11.45% in TTM, suggesting better cost management or pricing strategies. Revenue growth is modest at 1.44% in TTM, which is a slowdown compared to previous years. The EBIT and EBITDA margins have decreased, reflecting potential operational challenges.

Balance Sheet

The balance sheet reveals high leverage with a TTM debt-to-equity ratio of 35.96, indicating significant financial risk. This is a sharp increase from previous years, suggesting increased borrowing or reduced equity. The return on equity has improved to 21.69% in TTM, which is a positive sign of profitability relative to shareholder investment. However, the equity ratio is low, highlighting potential solvency concerns.

Cash Flow

Cash flow analysis shows a concerning decline in free cash flow growth by 50.24% in TTM, indicating potential cash generation issues. The operating cash flow to net income ratio is low at 0.27, suggesting limited cash conversion efficiency. The free cash flow to net income ratio is 0.42, reflecting moderate cash flow relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.66B	3.58B	3.49B	3.32B	3.23B	2.93B
Gross Profit	1.25B	1.36B	1.26B	1.16B	1.16B	1.09B
EBITDA	841.27M	777.45M	663.84M	609.41M	586.79M	556.17M
Net Income	419.25M	374.54M	284.49M	239.29M	244.10M	214.04M
Balance Sheet
Total Assets	5.10B	4.43B	4.45B	4.20B	4.14B	3.99B
Cash, Cash Equivalents and Short-Term Investments	264.81M	226.18M	223.64M	141.73M	123.67M	300.38M
Total Debt	931.72M	1.08B	1.18B	1.22B	1.24B	1.23B
Total Liabilities	2.29B	1.95B	2.13B	2.14B	2.16B	2.14B
Stockholders Equity	2.80B	2.47B	2.31B	2.05B	1.97B	1.85B
Cash Flow
Free Cash Flow	306.41M	349.22M	256.84M	163.00M	55.51M	318.11M
Operating Cash Flow	564.54M	643.41M	575.24M	478.62M	363.44M	570.15M
Investing Cash Flow	-385.48M	-396.72M	-324.46M	-295.64M	-457.24M	-451.98M
Financing Cash Flow	-242.62M	-225.34M	-171.55M	-162.10M	-81.52M	-73.72M

AptarGroup Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 123.63
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATR, the sentiment is Neutral. The current price of 123.63 is above the 20-day moving average (MA) of 121.18, above the 50-day MA of 122.71, and below the 200-day MA of 140.42, indicating a neutral trend. The MACD of -0.17 indicates Negative momentum. The RSI at 56.49 is Neutral, neither overbought nor oversold. The STOCH value of 84.91 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ATR.

AptarGroup Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COO	76 Outperform	$15.88B	44.02	4.59%	―	5.06%	-4.47%
RGEN	68 Neutral	$8.90B	6,105.84	0.08%	―	11.74%	―
WST	68 Neutral	$19.17B	39.46	16.94%	0.32%	4.90%	-0.26%
STVN	67 Neutral	$5.70B	36.72	9.81%	0.29%	9.19%	23.06%
ATR	60 Neutral	$8.06B	19.68	15.80%	1.49%	2.50%	25.05%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
BAX	45 Neutral	$9.79B	―	-4.70%	2.73%	-21.20%	-325.40%

AptarGroup Corporate Events

AptarGroup Completes $600M Senior Notes Offering

On November 20, 2025, AptarGroup, Inc. completed a public offering of $600 million in 4.750% Senior Notes due 2031. This issuance is part of the company’s strategy to manage its financial obligations and potentially enhance its market position. The notes are unsecured and rank equally with the company’s other senior unsecured debts, offering flexibility in redemption options before and after February 28, 2031. The issuance includes covenants limiting certain financial activities and provides for events of default, which could impact the company’s financial stability if triggered.