NASDAQ:ATAT is showing good growth, while it is not too expensive.

Our stock screener has spotted ATOUR LIFESTYLE HOLDINGS-ADR (NASDAQ:ATAT) as a growth stock which is not overvalued. NASDAQ:ATAT is scoring great on several growth aspects while it also shows decent health and profitability. At the same time it remains remains attractively priced. We'll dive into each aspect below.

Understanding NASDAQ:ATAT's Growth

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NASDAQ:ATAT has earned a 8 for growth:

• ATAT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 583.46%, which is quite impressive.
• The Revenue has grown by 106.19% in the past year. This is a very strong growth!
• ATAT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 43.88% yearly.
• The Earnings Per Share is expected to grow by 27.24% on average over the next years. This is a very strong growth
• ATAT is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 32.36% yearly.

Valuation Insights: NASDAQ:ATAT

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NASDAQ:ATAT boasts a 6 out of 10:

• Based on the Price/Earnings ratio, ATAT is valued a bit cheaper than the industry average as 66.42% of the companies are valued more expensively.
• ATAT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ATAT is cheaper than 72.39% of the companies in the same industry.
• The average S&P500 Price/Forward Earnings ratio is at 23.40. ATAT is valued slightly cheaper when compared to this.
• Based on the Price/Free Cash Flow ratio, ATAT is valued cheaply inside the industry as 82.84% of the companies are valued more expensively.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• ATAT has an outstanding profitability rating, which may justify a higher PE ratio.
• ATAT's earnings are expected to grow with 27.24% in the coming years. This may justify a more expensive valuation.

Evaluating Health: NASDAQ:ATAT

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NASDAQ:ATAT has earned a 8 out of 10:

• ATAT has an Altman-Z score of 5.39. This indicates that ATAT is financially healthy and has little risk of bankruptcy at the moment.
• ATAT has a Altman-Z score of 5.39. This is amongst the best in the industry. ATAT outperforms 89.55% of its industry peers.
• ATAT has a debt to FCF ratio of 0.05. This is a very positive value and a sign of high solvency as it would only need 0.05 years to pay back of all of its debts.
• The Debt to FCF ratio of ATAT (0.05) is better than 96.27% of its industry peers.
• A Debt/Equity ratio of 0.03 indicates that ATAT is not too dependend on debt financing.
• ATAT has a Debt to Equity ratio of 0.03. This is amongst the best in the industry. ATAT outperforms 86.57% of its industry peers.
• ATAT's Current ratio of 1.99 is amongst the best of the industry. ATAT outperforms 84.33% of its industry peers.
• ATAT's Quick ratio of 1.92 is amongst the best of the industry. ATAT outperforms 84.33% of its industry peers.

Profitability Analysis for NASDAQ:ATAT

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NASDAQ:ATAT scores a 8 out of 10:

• The Return On Assets of ATAT (14.30%) is better than 94.03% of its industry peers.
• ATAT has a Return On Equity of 39.04%. This is amongst the best in the industry. ATAT outperforms 91.04% of its industry peers.
• The Return On Invested Capital of ATAT (16.88%) is better than 88.06% of its industry peers.
• The 3 year average ROIC (9.26%) for ATAT is below the current ROIC(16.88%), indicating increased profibility in the last year.
• Looking at the Profit Margin, with a value of 17.18%, ATAT belongs to the top of the industry, outperforming 92.54% of the companies in the same industry.
• With a decent Operating Margin value of 20.97%, ATAT is doing good in the industry, outperforming 79.85% of the companies in the same industry.
• In the last couple of years the Operating Margin of ATAT has grown nicely.
• Looking at the Gross Margin, with a value of 68.47%, ATAT belongs to the top of the industry, outperforming 81.34% of the companies in the same industry.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

Our latest full fundamental report of ATAT contains the most current fundamental analsysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.