We assign a fundamental rating of 4 out of 10 to ALTM. ALTM was compared to 83 industry peers in the Chemicals industry. ALTM has a medium profitability rating, but doesn't score so well on its financial health evaluation. ALTM is valied quite expensively at the moment, while it does show a decent growth rate.

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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.
ALTM had a positive operating cash flow in 4 of the past 5 years.

1.2 Ratios

Looking at the Return On Assets, with a value of 1.01%, ALTM is in line with its industry, outperforming 47.06% of the companies in the same industry.
ALTM's Return On Equity of 1.65% is in line compared to the rest of the industry. ALTM outperforms 45.88% of its industry peers.
The Return On Invested Capital of ALTM (2.86%) is worse than 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 6.11%.
The last Return On Invested Capital (2.86%) for ALTM is well below the 3 year average (8.50%), which needs to be investigated, but indicates that ALTM had better years and this may not be a problem.

		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 has a Profit Margin of 10.24%. This is amongst the best in the industry. ALTM outperforms 88.24% of its industry peers.
ALTM's Profit Margin has declined in the last couple of years.
ALTM's Operating Margin of 36.16% is amongst the best of the industry. ALTM outperforms 96.47% of its industry peers.
ALTM's Operating Margin has improved in the last couple of years.
ALTM has a better Gross Margin (49.37%) than 92.94% of its industry peers.
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.
ALTM has more shares outstanding than it did 5 years ago.
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.
A Debt/Equity ratio of 0.11 indicates that ALTM is not too dependend on debt financing.
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

ALTM has a Current Ratio of 1.09. This is a normal value and indicates that ALTM is financially healthy and should not expect problems in meeting its short term obligations.
ALTM has a worse Current ratio (1.09) than 83.53% of its industry peers.
A Quick Ratio of 0.56 indicates that ALTM may have some problems paying its short term obligations.
With a Quick ratio value of 0.56, ALTM is not doing good in the industry: 83.53% of the companies in the same industry are doing better.

		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.
ALTM shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -77.97% yearly.
ALTM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.20%.
ALTM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.01% yearly.

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

ALTM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 53.89% yearly.
The Revenue is expected to grow by 16.62% on average over the next years. This is quite good.

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 65.88% of the companies in the same industry.
ALTM is valuated expensively when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 40.34 indicates a quite expensive valuation of ALTM.
68.24% of the companies in the same industry are cheaper than ALTM, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of ALTM to the average of the S&P500 Index (25.98), 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 an expensive valuation of the company.
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.