Taking everything into account, ALTM scores 4 out of 10 in our fundamental rating. ALTM was compared to 83 industry peers in the Chemicals industry. There are concerns on the financial health of ALTM while its profitability can be described as average. While showing a medium growth rate, ALTM is valued expensive at the moment.

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1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

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.
Of the past 5 years ALTM 4 years were profitable.
Of the past 5 years ALTM 4 years had a positive operating cash flow.

1.2 Ratios

ALTM has a Return On Assets (1.01%) which is comparable to the rest of the industry.
The Return On Equity of ALTM (1.65%) is comparable to the rest of the industry.
ALTM has a worse Return On Invested Capital (2.86%) than 63.53% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ALTM is above the industry average of 6.11%.
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 Rank	Sector 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

1.3 Margins

ALTM's Profit Margin of 10.24% is amongst the best of the industry. ALTM outperforms 88.24% of its industry peers.
In the last couple of years the Profit Margin of ALTM has declined.
ALTM has a Operating Margin of 36.16%. This is amongst the best in the industry. ALTM outperforms 96.47% of its industry peers.
In the last couple of years the Operating Margin of ALTM has grown nicely.
Looking at the Gross Margin, with a value of 49.37%, ALTM belongs to the top of the industry, outperforming 92.94% of the companies in the same industry.
ALTM's Gross Margin has improved in the last couple of years.

		Industry Rank	Sector 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%

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ROA

ROE

ROIC

Operating and Profit Margin

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2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ALTM is still creating some value.
The number of shares outstanding for ALTM has been increased compared to 1 year ago.
Compared to 5 years ago, ALTM has more shares outstanding
ALTM has a worse debt/assets ratio than last year.

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.
Looking at the Altman-Z score, with a value of 1.29, ALTM is doing worse than 68.24% of the companies in the same industry.
ALTM has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
ALTM has a Debt to Equity ratio of 0.11. This is amongst the best in the industry. ALTM outperforms 83.53% of its industry peers.

		Industry Rank	Sector Rank
Debt/Equity	0.11
Debt/FCF	N/A
Altman-Z	1.29

ROIC/WACC0.4

WACC7.06%

2.3 Liquidity

A Current Ratio of 1.09 indicates that ALTM should not have too much problems paying its short term obligations.
With a Current ratio value of 1.09, ALTM is not doing good in the industry: 83.53% of the companies in the same industry are doing better.
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.
The Quick ratio of ALTM (0.56) is worse than 83.53% of its industry peers.

		Industry Rank	Sector Rank
Current Ratio	1.09
Quick Ratio	0.56

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WACC

Debt/Equity

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3. Growth

3.1 Past

The earnings per share for ALTM have decreased strongly by -94.56% in the last year.
The earnings per share for ALTM have been decreasing by -77.97% on average. This is quite bad
Looking at the last year, ALTM shows a quite strong growth in Revenue. The Revenue has grown by 14.20% in the last year.
Measured over the past years, ALTM shows a very strong growth in Revenue. The Revenue has been growing by 21.01% on average per year.

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

The Earnings Per Share is expected to grow by 53.89% on average over the next years. This is a very strong growth
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

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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.

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4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 44.92, the valuation of ALTM can be described as expensive.
Based on the Price/Earnings ratio, ALTM is valued a bit more expensive than the industry average as 65.88% of the companies are valued more cheaply.
ALTM is valuated expensively when we compare the Price/Earnings ratio to 28.32, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 40.34, the valuation of ALTM can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ALTM indicates a slightly more expensive valuation: ALTM is more expensive than 68.24% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ALTM to the average of the S&P500 Index (25.57), we can say ALTM is valued expensively.

		Industry Rank	Sector Rank
PE	44.92
Fwd PE	40.34

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, ALTM is valued a bit more expensive than 62.35% of the companies in the same industry.

		Industry Rank	Sector Rank
P/FCF	N/A
EV/EBITDA	14.62

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ALTM does not grow enough to justify the current Price/Earnings ratio.
ALTM has a very decent profitability rating, which may justify a higher PE ratio.
ALTM's earnings are expected to grow with 62.79% in the coming years. This may justify a more expensive valuation.