Arcadium Lithium plc (ALTM) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:ALTM • JE00BM9HZ112

5.84 USD
0 (0%)
At close: Mar 5, 2025
5.84 USD
0 (0%)
After Hours: 3/5/2025, 8:04:00 PM
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to ALTM. ALTM was compared to 83 industry peers in the Chemicals industry. While ALTM is still in line with the averages on profitability rating, there are concerns on its financial health. ALTM is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • ALTM had positive earnings in the past year.
  • In the past year ALTM has reported a negative cash flow from operations.
  • ALTM had positive earnings in 4 of the past 5 years.
  • ALTM had a positive operating cash flow in 4 of the past 5 years.
ALTM Yearly Net Income VS EBIT VS OCF VS FCFALTM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -500M -1B

1.2 Ratios

  • ALTM has a Return On Assets (1.01%) which is comparable to the rest of the industry.
  • ALTM has a Return On Equity of 1.65%. This is comparable to the rest of the industry: ALTM outperforms 45.88% of its industry peers.
  • ALTM has a Return On Invested Capital of 2.86%. This is in the lower half of the industry: ALTM underperforms 63.53% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for ALTM is above the industry average of 6.09%.
  • The 3 year average ROIC (8.50%) for ALTM is well above the current ROIC(2.86%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 1.01%
ROE 1.65%
ROIC 2.86%
ROA(3y)8.14%
ROA(5y)4.55%
ROE(3y)13.03%
ROE(5y)7.26%
ROIC(3y)8.5%
ROIC(5y)N/A
ALTM Yearly ROA, ROE, ROICALTM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 10 15 20 25

1.3 Margins

  • With an excellent Profit Margin value of 10.24%, ALTM belongs to the best of the industry, outperforming 88.24% of the companies in the same industry.
  • In the last couple of years the Profit Margin of ALTM has declined.
  • ALTM has a better Operating Margin (36.16%) than 96.47% of its industry peers.
  • In the last couple of years the Operating Margin of ALTM has grown nicely.
  • The Gross Margin of ALTM (49.37%) is better than 92.94% of its industry peers.
  • In the last couple of years the Gross Margin of ALTM has grown nicely.
Industry RankSector Rank
OM 36.16%
PM (TTM) 10.24%
GM 49.37%
OM growth 3Y339.85%
OM growth 5Y12.09%
PM growth 3Y315.53%
PM growth 5Y-4.55%
GM growth 3Y27%
GM growth 5Y9.04%
ALTM Yearly Profit, Operating, Gross MarginsALTM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 20 30 40 50

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2

2. Health

2.1 Basic Checks

  • ALTM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • The number of shares outstanding for ALTM has been increased compared to 1 year ago.
  • ALTM has more shares outstanding than it did 5 years ago.
  • ALTM has a worse debt/assets ratio than last year.
ALTM Yearly Shares OutstandingALTM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B
ALTM Yearly Total Debt VS Total AssetsALTM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

  • Based on the Altman-Z score of 1.29, we must say that ALTM is in the distress zone and has some risk of bankruptcy.
  • ALTM has a Altman-Z score of 1.29. This is in the lower half of the industry: ALTM underperforms 68.24% of its industry peers.
  • ALTM has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
  • ALTM's Debt to Equity ratio of 0.11 is amongst the best of the industry. ALTM outperforms 83.53% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.11
Debt/FCF N/A
Altman-Z 1.29
ROIC/WACC0.4
WACC7.06%
ALTM Yearly LT Debt VS Equity VS FCFALTM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 1.09 indicates that ALTM should not have too much problems paying its short term obligations.
  • The Current ratio of ALTM (1.09) is worse than 83.53% of its industry peers.
  • ALTM has a Quick Ratio of 1.09. This is a bad value and indicates that ALTM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • ALTM has a worse Quick ratio (0.56) than 83.53% of its industry peers.
Industry RankSector Rank
Current Ratio 1.09
Quick Ratio 0.56
ALTM Yearly Current Assets VS Current LiabilitesALTM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

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6

3. Growth

3.1 Past

  • ALTM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -94.56%.
  • ALTM shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -77.97% yearly.
  • Looking at the last year, ALTM shows a quite strong growth in Revenue. The Revenue has grown by 14.20% in the last year.
  • The Revenue has been growing by 21.01% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-94.56%
EPS 3YN/A
EPS 5Y-77.97%
EPS Q2Q%-97.06%
Revenue 1Y (TTM)14.2%
Revenue growth 3Y33.84%
Revenue growth 5Y21.01%
Sales Q2Q%58.97%

3.2 Future

  • Based on estimates for the next years, ALTM will show a very strong growth in Earnings Per Share. The EPS will grow by 53.89% on average per year.
  • ALTM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.62% yearly.
EPS Next Y11.36%
EPS Next 2Y51.71%
EPS Next 3Y62.79%
EPS Next 5Y53.89%
Revenue Next Year15.71%
Revenue Next 2Y16.95%
Revenue Next 3Y27.33%
Revenue Next 5Y16.62%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
ALTM Yearly Revenue VS EstimatesALTM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 1B 2B 3B
ALTM Yearly EPS VS EstimatesALTM Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 50 100 150 200 250

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1

4. Valuation

4.1 Price/Earnings Ratio

  • ALTM is valuated quite expensively with a Price/Earnings ratio of 44.92.
  • Compared to the rest of the industry, the Price/Earnings ratio of ALTM indicates a slightly more expensive valuation: ALTM is more expensive than 65.88% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of ALTM to the average of the S&P500 Index (28.18), we can say ALTM is valued expensively.
  • The Price/Forward Earnings ratio is 40.34, which means the current valuation is very expensive for ALTM.
  • ALTM's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. ALTM is more expensive than 68.24% of the companies in the same industry.
  • ALTM is valuated expensively when we compare the Price/Forward Earnings ratio to 25.51, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 44.92
Fwd PE 40.34
ALTM Price Earnings VS Forward Price EarningsALTM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • ALTM's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ALTM is more expensive than 62.35% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 14.62
ALTM Per share dataALTM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 4

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The decent profitability rating of ALTM may justify a higher PE ratio.
  • A more expensive valuation may be justified as ALTM's earnings are expected to grow with 62.79% in the coming years.
PEG (NY)3.95
PEG (5Y)N/A
EPS Next 2Y51.71%
EPS Next 3Y62.79%

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0

5. Dividend

5.1 Amount

  • No dividends for ALTM!.
Industry RankSector Rank
Dividend Yield N/A

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Arcadium Lithium plc

NYSE:ALTM (3/5/2025, 8:04:00 PM)

After market: 5.84 0 (0%)

5.84

0 (0%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)02-27
Earnings (Next)05-05
Inst Owners71.08%
Inst Owner Change2.63%
Ins Owners0.22%
Ins Owner Change0%
Market Cap6.27B
Revenue(TTM)1.01B
Net Income(TTM)103.20M
Analysts70
Price Target6.03 (3.25%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-39.28%
Min EPS beat(2)-74.86%
Max EPS beat(2)-3.69%
EPS beat(4)1
Avg EPS beat(4)-11.38%
Min EPS beat(4)-74.86%
Max EPS beat(4)34.36%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-10.28%
Min Revenue beat(2)-25.87%
Max Revenue beat(2)5.31%
Revenue beat(4)2
Avg Revenue beat(4)-7.56%
Min Revenue beat(4)-25.87%
Max Revenue beat(4)5.31%
Revenue beat(8)5
Avg Revenue beat(8)295.85%
Revenue beat(12)9
Avg Revenue beat(12)401.08%
Revenue beat(16)13
Avg Revenue beat(16)354.95%
PT rev (1m)0%
PT rev (3m)-3.17%
EPS NQ rev (1m)0%
EPS NQ rev (3m)119.38%
EPS NY rev (1m)0%
EPS NY rev (3m)1.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.96%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)-5.29%
Valuation
Industry RankSector Rank
PE 44.92
Fwd PE 40.34
P/S 6.22
P/FCF N/A
P/OCF N/A
P/B 1
P/tB 1.3
EV/EBITDA 14.62
EPS(TTM)0.13
EY2.23%
EPS(NY)0.14
Fwd EY2.48%
FCF(TTM)-1.14
FCFYN/A
OCF(TTM)-0.16
OCFYN/A
SpS0.94
BVpS5.83
TBVpS4.5
PEG (NY)3.95
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 1.01%
ROE 1.65%
ROCE 3.88%
ROIC 2.86%
ROICexc 2.89%
ROICexgc 3.41%
OM 36.16%
PM (TTM) 10.24%
GM 49.37%
FCFM N/A
ROA(3y)8.14%
ROA(5y)4.55%
ROE(3y)13.03%
ROE(5y)7.26%
ROIC(3y)8.5%
ROIC(5y)N/A
ROICexc(3y)10.83%
ROICexc(5y)N/A
ROICexgc(3y)11.51%
ROICexgc(5y)N/A
ROCE(3y)11.53%
ROCE(5y)N/A
ROICexgc growth 3Y191.49%
ROICexgc growth 5Y-15.97%
ROICexc growth 3Y175.9%
ROICexc growth 5Y-18.7%
OM growth 3Y339.85%
OM growth 5Y12.09%
PM growth 3Y315.53%
PM growth 5Y-4.55%
GM growth 3Y27%
GM growth 5Y9.04%
F-Score2
Asset Turnover0.1
Health
Industry RankSector Rank
Debt/Equity 0.11
Debt/FCF N/A
Debt/EBITDA 1.38
Cap/Depr 841.13%
Cap/Sales 103.49%
Interest Coverage 12.57
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.09
Quick Ratio 0.56
Altman-Z 1.29
F-Score2
WACC7.06%
ROIC/WACC0.4
Cap/Depr(3y)1054.15%
Cap/Depr(5y)836.79%
Cap/Sales(3y)60.66%
Cap/Sales(5y)51.28%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-94.56%
EPS 3YN/A
EPS 5Y-77.97%
EPS Q2Q%-97.06%
EPS Next Y11.36%
EPS Next 2Y51.71%
EPS Next 3Y62.79%
EPS Next 5Y53.89%
Revenue 1Y (TTM)14.2%
Revenue growth 3Y33.84%
Revenue growth 5Y21.01%
Sales Q2Q%58.97%
Revenue Next Year15.71%
Revenue Next 2Y16.95%
Revenue Next 3Y27.33%
Revenue Next 5Y16.62%
EBIT growth 1Y-8.97%
EBIT growth 3Y488.68%
EBIT growth 5Y35.64%
EBIT Next Year99.7%
EBIT Next 3Y72.01%
EBIT Next 5Y51.11%
FCF growth 1Y-3990.6%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-159.2%
OCF growth 3YN/A
OCF growth 5YN/A

Arcadium Lithium plc / ALTM FAQ

What is the ChartMill fundamental rating of Arcadium Lithium plc (ALTM) stock?

ChartMill assigns a fundamental rating of 4 / 10 to ALTM.


What is the valuation status of Arcadium Lithium plc (ALTM) stock?

ChartMill assigns a valuation rating of 1 / 10 to Arcadium Lithium plc (ALTM). This can be considered as Overvalued.


How profitable is Arcadium Lithium plc (ALTM) stock?

Arcadium Lithium plc (ALTM) has a profitability rating of 6 / 10.


What is the valuation of Arcadium Lithium plc based on its PE and PB ratios?

The Price/Earnings (PE) ratio for Arcadium Lithium plc (ALTM) is 44.92 and the Price/Book (PB) ratio is 1.


Can you provide the expected EPS growth for ALTM stock?

The Earnings per Share (EPS) of Arcadium Lithium plc (ALTM) is expected to grow by 11.36% in the next year.