NCR Atleos, LLC (NATL) AI Stock Analysis

• Market Cap: $2.03B
• Dividend Yield: N/A
• Average Volume (3M): 466.06K
• Price to Earnings (P/E): 17.8
• Beta (1Y): 0.78
• Revenue Growth: -0.19%
• EPS Growth: N/A
• Country: US
• Employees: 20,000
• Sector: Technology
• Sector Strength: 76
• Industry: Software - Application
• EPS (TTM): 0.64
• Shares Outstanding: 73,454,346
• 10 Day Avg. Volume: 454,013
• 30 Day Avg. Volume: 466,056
• PEG Ratio: 1.85
• Price to Book (P/B): 7.46
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.58
• Enterprise Value/Market Cap: 2.26
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 4.56
• Enterprise Value/Ebitda: 1.69
• 1Y Price Target: $40.33
• Price Target Upside: 45.60% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

The overall stock score of 66 reflects a company with moderate financial health and growth prospects, supported by strategic initiatives in ATM-as-a-Service and network expansion. While profitability and cash flow are stable, high leverage poses a risk. Technical indicators show mixed signals, and the valuation is reasonable given the industry context. The optimistic earnings call guidance further strengthens the outlook.

Positive Factors

Cash Flow Growth

NATL is charting their own destiny of significant FCF growth that is undervalued by the market and miss-modeled by the street.

Market Positioning

NATL's market positioning is arguably the strongest of peers and best positioned to capture a demand shift for managed and ATMaaS products.

Revenue Growth

The company expects a significant increase in Average Revenue Per User (ARPU), positioning it as a strong organic revenue driver.

Negative Factors

Valuation Concerns

NATL trades at a 10% MC/FCF discount to its closest peers and is expected to trade at a premium given FCF growth and profitability improvement.

NCR Atleos, LLC Business Overview & Revenue Model

Company Description

NCR Atleos, LLC (NATL) is a company operating in the technology and financial services sectors. It provides a range of solutions including ATMs, point-of-sale (POS) systems, and other self-service technologies that cater to retail, hospitality, and banking industries. The company focuses on enhancing customer experiences through innovation and integration of its technologies into existing business processes.

How the Company Makes Money

NCR Atleos, LLC generates revenue primarily through the sale and leasing of its self-service technology products such as ATMs and POS systems. Additionally, the company earns income from providing support and maintenance services for its products. NCR Atleos may also engage in partnerships with financial institutions and retail businesses to offer customized solutions, further contributing to its revenue streams. The company leverages recurring revenue models through long-term service contracts and software licensing agreements to maintain steady cash flow.

NCR Atleos, LLC Financial Statement Overview

Summary

NCR Atleos, LLC shows a positive trend with improved profitability, transitioning from a loss to profit and a significant increase in free cash flow. The balance sheet reflects zero debt, but the high reliance on equity financing could limit growth opportunities. Overall, financial performance is on a positive trajectory, but challenges remain in achieving sustainable revenue growth.

Income Statement

NCR Atleos, LLC shows a slight revenue growth of 3% from 2023 to 2024, with a significant improvement in net income from a loss of $134 million to a profit of $91 million. Gross profit margin increased marginally from 22.3% to 23.9%, and EBIT margin saw considerable improvement, rising from 6.5% to 10.4%. EBITDA margin remained stable. The shift from net loss to net income is a positive sign, indicating improved profitability, though continued growth in revenue is needed.

Balance Sheet

The balance sheet reflects a drastic reduction in total assets and liabilities in 2024, primarily due to a decrease in total debt to zero, potentially through debt restructuring or repayment. The equity ratio is significantly improved at 241.7% due to the reduction in liabilities. However, the debt-to-equity ratio is zero, which could indicate a high reliance on equity financing, potentially limiting growth opportunities.

Cash Flow

Free cash flow growth is strong, rising from $223 million to $344 million, a 54.2% increase. Operating cash flow is also healthy and stable, supporting net income and showing efficient cash management. The free cash flow to net income ratio is favorable, indicating that the company generates sufficient cash relative to its profitability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement		Total Revenue
4.32B	4.19B	4.36B	3.55B
	Gross Profit
1.03B	933.00M	918.00M	892.00M
	EBIT
449.00M	271.00M	257.00M	248.00M
	EBITDA
449.00M	451.00M	447.00M	459.00M
	Net Income Common Stockholders
91.00M	-134.00M	-284.00M	186.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
419.00M	339.00M	293.00M	238.00M
	Total Assets
5.55B	5.74B	5.77B	5.58B
	Total Debt
3.05B	3.12B	884.00M	1.46B
	Net Debt
2.63B	2.78B	591.00M	1.22B
	Total Liabilities
5.29B	5.45B	2.51B	3.24B
	Stockholders Equity
260.00M	284.00M	3.26B	2.33B
Cash Flow		Free Cash Flow
205.00M	223.00M	177.00M	338.00M
	Operating Cash Flow
344.00M	355.00M	274.00M	449.00M
	Investing Cash Flow
-135.00M	-316.00M	-417.00M	-2.49B
	Financing Cash Flow
-134.00M	31.00M	183.00M	2.35B

NCR Atleos, LLC Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 27.70
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NATL, the sentiment is Negative. The current price of 27.7 is above the 20-day moving average (MA) of 27.56, above the 50-day MA of 26.55, and below the 200-day MA of 29.04, indicating a neutral trend. The MACD of 0.31 indicates Positive momentum. The RSI at 50.97 is Neutral, neither overbought nor oversold. The STOCH value of 43.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NATL.

NCR Atleos, LLC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AGYS	68 Neutral	$2.40B	108.76	9.25%	―	15.53%	-75.45%
CALX	67 Neutral	$2.94B	―	-4.59%	―	-18.75%	-256.14%
NATL	66 Neutral	$2.03B	17.81	41.58%	―	-0.19%	―
PAR	63 Neutral	$2.83B	―	-13.65%	―	-8.82%	90.01%
PLUS	61 Neutral	$1.79B	17.13	11.39%	―	-2.22%	-17.25%
Sector *	60 Neutral	$11.59B	10.39	-7.23%	2.94%	7.46%	-10.76%
DBD	55 Neutral	$1.84B	0.78	-1.02%	―	-2.66%	-100.56%

NCR Atleos, LLC Corporate Events

NCR Atleos Reports Strong Q1 2025 Financial Results

On May 7, 2025, NCR Atleos Corporation announced its financial results for the first quarter of 2025, reporting strong performance with profits and earnings meeting or exceeding guidance ranges. The company experienced a 40% increase in unique ATM as a Service customers and a 24% rise in revenue year-over-year. Despite macroeconomic disruptions, Atleos maintained a positive outlook for the year, reaffirming its full-year guidance and highlighting its strategic focus on operational improvements and product innovation.

Spark’s Take on NATL Stock

According to Spark, TipRanks’ AI Analyst, NATL is a Neutral.

The overall stock score reflects NCR Atleos’ significant profitability improvements and positive cash flow management. While technical indicators show mixed signals, the company’s strategic initiatives and recent corporate developments support future growth. Valuation appears fair, but challenges in investor engagement and international markets remain. The company is on a positive trajectory, but sustainable revenue growth and strategic capital management are crucial for maintaining momentum.

To see Spark’s full report on NATL stock, click here.

NCR Atleos Appoints New Chief Accounting Officer

NCR Atleos Corporation announced the appointment of Traci Hornfeck as Senior Vice President and Chief Accounting Officer, effective March 31, 2025. Ms. Hornfeck, who previously served as Chief Accounting Officer at Rollins, Inc., brings nearly 25 years of experience in accounting leadership roles, including positions at Equifax Inc. and PricewaterhouseCoopers, LLP. This strategic appointment is expected to enhance Atleos’ financial reporting and accounting transformation capabilities, supporting its growth as an independent public company.

NCR Atleos Reports Strong 2024 Financial Performance

NCR Atleos Corporation, a company specializing in ATM solutions, reported strong financial performance for the fourth quarter and full year 2024, with significant growth in revenue and earnings per share. The company achieved a 3% increase in full-year revenue to $4.3 billion and a 168% rise in net income, driven by enhanced customer service and operational efficiency. The positive results reflect Atleos’s successful execution of its growth strategy and improved profitability, positioning it optimistically for 2025.

NCR Atleos Adopts New Stock Incentive Agreements

On February 20, 2025, NCR Atleos, LLC’s Compensation & Human Resource Committee adopted a performance-based restricted stock unit award agreement as part of its 2023 Stock Incentive Plan. The agreement aims to grant equity awards to the executive leadership team, contingent on the company’s stockholder return compared to peers over a three-year period. Additionally, the committee introduced a time-based restricted stock unit award agreement, which vests annually in equal parts, with both agreements including provisions for accelerated vesting under certain conditions.