ATOUR LIFESTYLE HOLDINGS-ADR (NASDAQ:ATAT) is showing good growth, while it is not too expensive.

Uncover the potential of ATOUR LIFESTYLE HOLDINGS-ADR (NASDAQ:ATAT), a growth stock that our stock screener found to be reasonably priced. ATAT is excelling in growth aspects, maintaining a healthy financial position, and still offers an attractive valuation. We'll examine each aspect in detail.

Looking at the Growth

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. ATAT scores a 9 out of 10:

• The Earnings Per Share has grown by an impressive 72.75% over the past year.
• ATAT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 138.03% yearly.
• ATAT shows a strong growth in Revenue. In the last year, the Revenue has grown by 55.34%.
• The Revenue has been growing by 35.84% on average over the past years. This is a very strong growth!
• Based on estimates for the next years, ATAT will show a very strong growth in Earnings Per Share. The EPS will grow by 24.73% on average per year.
• Based on estimates for the next years, ATAT will show a very strong growth in Revenue. The Revenue will grow by 22.93% on average per year.

Analyzing Valuation Metrics

ChartMill assigns a Valuation Rating to every stock. This score ranges from 0 to 10 and evaluates the different valuation aspects and compares the price to earnings and cash flows, while taking into account profitability and growth. ATAT scores a 5 out of 10:

• Compared to the rest of the industry, the Price/Earnings ratio of ATAT indicates a somewhat cheap valuation: ATAT is cheaper than 69.85% of the companies listed in the same industry.
• ATAT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.31.
• Compared to the rest of the industry, the Price/Forward Earnings ratio of ATAT indicates a somewhat cheap valuation: ATAT is cheaper than 75.00% of the companies listed in the same industry.
• ATAT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.14.
• ATAT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• The excellent profitability rating of ATAT may justify a higher PE ratio.
• A more expensive valuation may be justified as ATAT's earnings are expected to grow with 24.73% in the coming years.

How do we evaluate the Health for ATAT?

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. ATAT scores a 7 out of 10:

• ATAT has an Altman-Z score of 5.21. This indicates that ATAT is financially healthy and has little risk of bankruptcy at the moment.
• With an excellent Altman-Z score value of 5.21, ATAT belongs to the best of the industry, outperforming 89.71% of the companies in the same industry.
• A Debt/Equity ratio of 0.02 indicates that ATAT is not too dependend on debt financing.
• ATAT's Debt to Equity ratio of 0.02 is amongst the best of the industry. ATAT outperforms 88.97% of its industry peers.
• A Current Ratio of 2.02 indicates that ATAT has no problem at all paying its short term obligations.
• With an excellent Current ratio value of 2.02, ATAT belongs to the best of the industry, outperforming 85.29% of the companies in the same industry.
• The Quick ratio of ATAT (1.96) is better than 86.03% of its industry peers.

What does the Profitability looks like for ATAT

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, ATAT has achieved a 8:

• ATAT's Return On Assets of 16.19% is amongst the best of the industry. ATAT outperforms 94.85% of its industry peers.
• ATAT has a Return On Equity of 43.14%. This is amongst the best in the industry. ATAT outperforms 91.18% of its industry peers.
• The Return On Invested Capital of ATAT (23.71%) is better than 94.85% of its industry peers.
• The 3 year average ROIC (14.78%) for ATAT is below the current ROIC(23.71%), indicating increased profibility in the last year.
• ATAT's Profit Margin of 17.60% is amongst the best of the industry. ATAT outperforms 91.18% of its industry peers.
• ATAT's Profit Margin has improved in the last couple of years.
• ATAT has a Operating Margin of 22.38%. This is amongst the best in the industry. ATAT outperforms 83.82% of its industry peers.
• ATAT's Operating Margin has improved in the last couple of years.
• ATAT has a Gross Margin of 85.05%. This is amongst the best in the industry. ATAT outperforms 97.06% of its industry peers.

More Affordable Growth stocks can be found in our Affordable Growth screener.

Check the latest full fundamental report of ATAT for a complete fundamental analysis.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.