Atlas Engineered Products Ltd (AEP) AI Stock Analysis

• Market Cap: C$49.97M
• Dividend Yield: N/A
• Average Volume (3M): 90.28K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.42
• Revenue Growth: 6.65%
• EPS Growth: -185.11%
• Country: CA
• Employees: N/A
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -0.01
• Shares Outstanding: 66,629,250
• 10 Day Avg. Volume: 64,490
• 30 Day Avg. Volume: 90,285
• PEG Ratio: 3.85
• Price to Book (P/B): 1.78
• Price to Sales (P/S): 1.55
• P/FCF Ratio: -46.72
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$1.33
• Price Target Upside: 79.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 48 Neutral
• Price Target: C$1.00 ▲(35.14% Upside)

Atlas Engineered Products Ltd faces significant financial challenges, with declining revenue and profitability being the most critical issues. Technical indicators suggest a bearish trend, and valuation metrics are unattractive due to negative earnings. However, strategic growth initiatives and acquisitions provide some optimism for future improvement.

Atlas Engineered Products Ltd Business Overview & Revenue Model

Company Description

Atlas Engineered Products Ltd (AEP) is a leading provider in the engineered wood products industry, focusing on the design, manufacturing, and supply of roof trusses, floor trusses, wall panels, and engineered beams. The company operates in the construction sector, serving residential, commercial, and industrial markets across Canada. AEP is known for its commitment to high-quality, innovative building solutions that meet the specific needs of its clients.

How the Company Makes Money

Atlas Engineered Products Ltd generates revenue primarily through the sale of its engineered wood products, which are tailored to meet the requirements of various construction projects. The company sells directly to builders, contractors, and developers, catering to both large-scale commercial projects and individual residential constructions. Key revenue streams include custom-designed truss systems, prefabricated wall panels, and engineered flooring solutions. Additionally, AEP enhances its earnings through strategic acquisitions of local businesses in the engineered wood sector, which expands its market reach and customer base. The company also benefits from strong partnerships with construction firms and a focus on delivering superior service and customized solutions that drive repeat business and long-term contracts.

Atlas Engineered Products Ltd Financial Statement Overview

Summary

Atlas Engineered Products Ltd shows mixed financial performance. Revenue growth over the years is positive, but recent profitability challenges and negative free cash flow in 2024 are concerning. Improved debt management is a positive aspect, but sustaining profitability and cash flow generation are critical for future stability.

Income Statement

Atlas Engineered Products Ltd has shown a mixed performance in its income statement. Despite a slight decline in revenue in 2024 compared to 2023, there is a notable improvement in revenue from 2020 to 2023, indicating growth. However, the company reported a negative net income in 2024, impacting the net profit margin adversely. Gross profit margins have been relatively stable, but the declining EBIT and EBITDA margins in 2024 suggest challenges in operational efficiency.

Balance Sheet

The balance sheet reflects a stable equity position with a healthy equity ratio. The debt-to-equity ratio has improved significantly from previous years, indicating better leverage management. However, the company's return on equity has fluctuated, with recent years showing a decreasing trend due to negative net income in 2024. Overall, the balance sheet is stable with manageable debt levels.

Cash Flow

The cash flow statement indicates challenges with free cash flow, which turned negative in 2024. Operating cash flow has been positive but declined significantly from 2023. The company needs to improve its cash generation and manage its capital expenditures effectively to sustain operations without relying heavily on financing activities.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	55.83M	49.41M	61.90M	55.00M	35.73M
Gross Profit	13.55M	13.56M	19.85M	16.15M	7.30M
EBITDA	7.13M	9.52M	15.62M	12.37M	3.75M
Net Income	-212.00K	3.15M	8.83M	6.95M	228.99K
Balance Sheet
Total Assets	80.71M	79.44M	50.49M	35.78M	27.09M
Cash, Cash Equivalents and Short-Term Investments	13.13M	14.75M	16.12M	8.95M	1.82M
Total Debt	24.55M	38.27M	15.25M	9.39M	9.23M
Total Liabilities	32.10M	45.01M	21.62M	15.97M	14.16M
Stockholders Equity	48.61M	34.43M	28.87M	19.81M	12.93M
Cash Flow
Free Cash Flow	-1.85M	3.86M	7.65M	8.26M	224.80K
Operating Cash Flow	2.48M	4.48M	11.30M	9.58M	567.64K
Investing Cash Flow	-4.32M	-24.91M	-9.59M	-1.21M	-735.23K
Financing Cash Flow	217.72K	19.05M	5.46M	-1.24M	227.17K

Atlas Engineered Products Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.74
• 50DMA: Negative
• 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 TSE:AEP, the sentiment is Negative. The current price of 0.74 is below the 20-day moving average (MA) of 0.75, below the 50-day MA of 0.76, and below the 200-day MA of 0.87, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.70 is Neutral, neither overbought nor oversold. The STOCH value of 40.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:AEP.

Atlas Engineered Products Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BLM	―	C$57.71M	―	-3.01%	―	63.49%	-133.70%
ENW	―	C$40.29M	―	-21.72%	―	87.28%	72.44%
AEP	―	C$49.97M	-33.63	-3.10%	―	6.65%	-185.11%
BYT	―	C$945.59K	―	-11.83%	―	-36.03%	34.86%
MSP	―	C$4.26M	3.89	―	―	―	―

Atlas Engineered Products Ltd Corporate Events

Avanti Helium Secures $1.17 Million in Private Placement

Avanti Helium Corp. has successfully closed the first tranche of its non-brokered private placement, raising $1,168,750 through the issuance of 4,675,000 units. This move, which includes participation from CEO Chris Bakker, aims to fund ongoing projects and general working capital. The transaction highlights Avanti’s strategic efforts to strengthen its financial position and advance its helium exploration initiatives, potentially enhancing its market presence and stakeholder value.

The most recent analyst rating on (TSE:AEP) stock is a Hold with a C$1.00 price target. To see the full list of analyst forecasts on Atlas Engineered Products Ltd stock, see the TSE:AEP Stock Forecast page.

Avanti Helium Upsizes Private Placement to Boost Financial Resources

Avanti Helium Corp. has announced an increase in its non-brokered private placement financing, raising the offering from 4,000,000 to 6,000,000 units, potentially generating up to $1,500,000 in gross proceeds. The funds will be used for ongoing project costs and general working capital, with the offering subject to TSX Venture Exchange approval. This move reflects Avanti’s strategic efforts to bolster its financial resources to support its helium exploration and production initiatives.

Avanti Helium Corp. Launches $1 Million Private Placement to Boost Helium Projects

Avanti Helium Corp. has announced a private placement financing of $1,000,000 through the sale of 4,000,000 units at $0.25 per unit. The proceeds will be used for ongoing project costs and general working capital. This move underscores Avanti’s commitment to advancing its helium exploration and production efforts, which are crucial in addressing the increasing demand for helium in various high-tech industries.

The most recent analyst rating on (TSE:AEP) stock is a Buy with a C$1.30 price target. To see the full list of analyst forecasts on Atlas Engineered Products Ltd stock, see the TSE:AEP Stock Forecast page.

Avanti Helium Partners to Fast-Track Sweetgrass Plant and Expand Sales

Avanti Helium Corp. has signed a non-binding term sheet with a U.S.-based partner to fund, construct, own, and operate the Sweetgrass Helium Recovery Plant in Montana. This strategic partnership will enable Avanti to fast-track its helium production and sales, with the partner purchasing all uncontracted helium for five years. The agreement marks a significant milestone for Avanti, providing a clear path to production and revenue generation by 2026, and positioning the company as a key supplier in the strengthening helium market.

Atlas Engineered Products’ Earnings Call: Growth Amid Challenges

Atlas Engineered Products’ Earnings Call: A Mixed Bag of Growth and Challenges

Atlas Engineered Products Reports Revenue Growth Amid Market Challenges

Atlas Engineered Products Ltd reported a 2% increase in revenue for the first half of 2025, reaching $24.7 million, despite facing challenges from political and tariff uncertainties. The acquisition of Truss-Worthy Construction Systems Inc. is part of their strategy to expand their geographical footprint and market share. However, the competitive market has led to a decrease in gross profit and margins, resulting in a net loss of $1.55 million for the period. The company remains optimistic about future revenue growth, with record-level quotation activity providing strong visibility into 2026.

The most recent analyst rating on (TSE:AEP) stock is a Hold with a C$1.00 price target. To see the full list of analyst forecasts on Atlas Engineered Products Ltd stock, see the TSE:AEP Stock Forecast page.

Atlas Engineered Products to Announce Q2 2025 Financial Results

Atlas Engineered Products Ltd. announced it will release its financial results for the second quarter of 2025 on August 29, 2025, followed by a conference call hosted by CEO Hadi Abassi and CFO Melissa MacRae. This announcement highlights AEP’s ongoing communication with stakeholders and its commitment to transparency in its financial performance, which is crucial for maintaining investor confidence and supporting its growth strategy.

The most recent analyst rating on (TSE:AEP) stock is a Hold with a C$1.00 price target. To see the full list of analyst forecasts on Atlas Engineered Products Ltd stock, see the TSE:AEP Stock Forecast page.

Avanti Helium Secures Key Offtake Agreement, Strengthening Market Position

Avanti Helium Corp. has signed a significant multi-year helium offtake agreement with a leading industrial gas supplier, marking a major step toward production at its Sweetgrass Helium Recovery Unit in Montana. This agreement, which secures a substantial revenue stream and positions Avanti as a key player in the North American helium market, highlights the growing demand for helium and the company’s strategic focus on US assets. The company is also in discussions for additional offtake agreements and has granted stock options to employees and consultants.

The most recent analyst rating on (TSE:AEP) stock is a Buy with a C$1.50 price target. To see the full list of analyst forecasts on Atlas Engineered Products Ltd stock, see the TSE:AEP Stock Forecast page.