Astronics Corp. (ATRO)
NASDAQ:ATRO
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Astronics
(NASDAQ:ATRO)
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Rating:63Neutral
Price Target:
$69.00
▲(6.51% Upside)
Action:ReiteratedDate:02/25/26
ATRO scores as moderately attractive: strong technical trend and a constructive earnings outlook/backlog support near-term momentum, while the operating turnaround is tempered by materially higher leverage and mixed cash conversion. Valuation contributes little support due to a negative P/E and no dividend yield provided.
Positive Factors
Backlog and Revenue Visibility
A record backlog of $674.5M and mid‑2026 revenue guidance implying ~12.5% growth provide multi‑quarter revenue visibility. This durable book‑to‑bill support means near‑term demand conversion is likely, smoothing top‑line volatility and underpinning production planning and investment decisions.
Negative Factors
Elevated Leverage
Leverage jumped materially in 2025 driven by refinancing and convertible repurchases, raising debt/equity to ~2.7x. Higher indebtedness reduces financial flexibility, increases sensitivity to earnings volatility and interest costs, and limits maneuverability during aerospace cycle downturns or program delays.
Read all positive and negative factors
Positive Factors
Negative Factors
Backlog and Revenue Visibility
A record backlog of $674.5M and mid‑2026 revenue guidance implying ~12.5% growth provide multi‑quarter revenue visibility. This durable book‑to‑bill support means near‑term demand conversion is likely, smoothing top‑line volatility and underpinning production planning and investment decisions.
Read all positive factors
Astronics (ATRO) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$2.31B
Dividend YieldN/A
Average Volume (3M)668.59K
Price to Earnings (P/E)71.1
Beta (1Y)0.93
Revenue Growth6.19%
EPS Growth52.10%
CountryUS
Employees2,500
SectorIndustrials
Sector Strength72
IndustryAerospace & Defense
Share Statistics
EPS (TTM)0.75
Shares Outstanding31,868,534
10 Day Avg. Volume638,050
30 Day Avg. Volume668,586
Financial Highlights & Ratios
PEG Ratio-0.26
Price to Book (P/B)14.90
Price to Sales (P/S)2.42
P/FCF Ratio48.40
Enterprise Value/Market Cap1.15
Enterprise Value/Revenue3.10
Enterprise Value/Gross Profit10.35
Enterprise Value/Ebitda40.39
Forecast
1Y Price Target
$96.00Price Target Upside48.19% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
EPS Forecast (FY)2.52
Revenue Forecast (FY)$975.15M
Astronics Business Overview & Revenue Model
Company Description
Astronics Corporation, through its subsidiaries, designs and manufactures products for the aerospace, defense, and electronics industries in the United States, rest of North America, Asia, Europe, South America, and internationally. It operates in...
How the Company Makes Money
Astronics makes money mainly by selling engineered aerospace and defense products and test solutions to aircraft manufacturers, defense contractors, and other aerospace industry customers. A key revenue stream comes from delivering proprietary har...
Astronics Key Performance Indicators (KPIs)
Any
Revenue by Segment
Breaks down income from various business units, providing insight into which segments drive growth and how diversified the company’s revenue sources are.
Breaks down income from various business units, providing insight into which segments drive growth and how diversified the company’s revenue sources are.
Data provided by:
The Fly
The FlyAstronics Earnings Call Summary
Earnings Call Date:Feb 24, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 30, 2026
Earnings Call Sentiment Positive
The call presented a strongly positive operational and financial quarter with record revenue, significant margin expansion, robust cash generation, record backlog and constructive 2026 guidance. Key near-term challenges include a large increase in net debt from refinancing and convertible bond repurchases, tariff uncertainty (potential ~$8M exposure), elevated planned capital and ERP spending that will pressure cash flow in 2026, and dependency on timing of the Army test-program ramp for Test Systems profitability. Overall, the positives — record sales, broad-based margin improvement, strong bookings/backlog and clear progress on pricing and cost initiatives — outweigh the headwinds, which appear manageable and largely one-time or timing-related.Positive Updates
Record Quarterly Revenue
Q4 revenue of $240,000,000 set a new company record, beating the prior 2018 record by almost 13%; sales were up 15.1% year-over-year and up 13.5% sequentially.
Negative Updates
Significant Increase in Net Debt
Net debt rose to $324,800,000 at year end from $156,600,000 at the end of 2024, driven largely by refinancing actions including the repurchase of 80% of the 5.5% convertible bonds (repurchase cost ~$285,800,000) and other financing moves.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Quarterly Revenue
Q4 revenue of $240,000,000 set a new company record, beating the prior 2018 record by almost 13%; sales were up 15.1% year-over-year and up 13.5% sequentially.
Read all positive updates
Company Guidance
The company issued preliminary 2026 revenue guidance of $950M–$990M (midpoint $970M, ~12.5% growth; high end ≈15%), with Q1 sales expected at $220M–$230M and a cadence that rises thereafter so second‑half quarterly sales should exceed $250M; management did not give bottom‑line guidance but expects continued margin improvement and is targeting sustainable high‑teens operating margins over time. Capital plans include 2026 CapEx of $40M–$50M plus an ERP program with $14M–$18M of cash‑flow spending (outside CapEx) and a ~5‑year staged rollout (heaviest cost in 2026). Guidance is supported by a record backlog of $674.5M, Q4 bookings of $257M (book‑to‑bill 1.07), available liquidity of $231M, and management’s expectation that Test Systems profitability will improve as the U.S. Army 4549T radio test program ramps (they’re planning for a turn‑on in or shortly after Q2 2026).Astronics Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
38
Negative
Cash Flow
56
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 862.13M | 795.43M | 689.21M | 534.89M | 444.91M |
| Gross Profit | 258.16M | 168.34M | 120.80M | 71.54M | 65.36M |
| EBITDA | 66.34M | 50.93M | 19.43M | -2.27M | -4.68M |
| Net Income | 29.36M | -16.21M | -26.42M | -35.75M | -25.58M |
Balance Sheet | |||||
| Total Assets | 706.68M | 648.76M | 649.00M | 615.03M | 609.14M |
| Cash, Cash Equivalents and Short-Term Investments | 18.18M | 9.29M | 11.31M | 13.78M | 29.76M |
| Total Debt | 378.35M | 193.87M | 197.88M | 178.41M | 181.80M |
| Total Liabilities | 566.60M | 392.67M | 399.48M | 375.11M | 352.53M |
| Stockholders Equity | 140.07M | 256.10M | 249.52M | 239.92M | 256.60M |
Cash Flow | |||||
| Free Cash Flow | 43.12M | 22.14M | -31.59M | -35.99M | -11.56M |
| Operating Cash Flow | 74.80M | 30.57M | -23.95M | -28.31M | -5.53M |
| Investing Cash Flow | -53.75M | -8.43M | -4.11M | 14.39M | 3.18M |
| Financing Cash Flow | -22.39M | -14.53M | 25.43M | -1.41M | -7.50M |
Astronics Technical Analysis
Negative
64.78
Price Trends
74.36
Negative
64.03
Positive
51.44
Positive
Market Momentum
-2.48
Positive
39.25
Neutral
40.14
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATRO, the sentiment is Negative. The current price of 64.78 is below the 20-day moving average (MA) of 70.65, below the 50-day MA of 74.36, and above the 200-day MA of 51.44, indicating a neutral trend. The MACD of -2.48 indicates Positive momentum. The RSI at 39.25 is Neutral, neither overbought nor oversold. The STOCH value of 40.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ATRO.
Astronics Risk Analysis
Astronics disclosed 42 risk factors in its most recent earnings report. Astronics reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Astronics Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | $4.26B | 16.28 | 12.07% | ― | 17.59% | -56.15% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
63 Neutral | $2.31B | 71.09 | 14.92% | ― | 6.19% | 52.10% | |
59 Neutral | $1.81B | -41.88 | -5.01% | ― | 3.16% | -213.56% | |
58 Neutral | $6.02B | 53.70 | 7.41% | 0.89% | -0.37% | -34.97% | |
55 Neutral | $4.29B | -73.03 | -2.08% | ― | 8.63% | 72.72% |
* Industrials Sector Average
ATRO
Astronics
64.78
40.61
168.02%
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107.25
51.26
91.55%
DCO
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120.78
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108.13%
HXL
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79.38
25.21
46.53%
MRCY
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71.40
28.31
65.70%
Astronics Corporate Events
Business Operations and StrategyFinancial Disclosures
Astronics Signals Post-Pandemic Recovery and New Growth Phase
Positive
Jan 14, 2026
Astronics Corporation told investors at conferences held on January 13 and 14, 2026 that its recovery from the pandemic downturn is largely complete and that it is entering a new growth phase, supported by preliminary 2025 revenue, bookings and ba...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.