Investment Thesis
Allient demonstrates solid financial health with strong liquidity (3.66x current ratio), excellent interest coverage (13.0x), and positive free cash flow generation ($49.7M, 9.0% FCF margin). While profitability metrics are modest (4.0% net margin, 7.3% ROE), the company shows operational stability with 4.6% revenue growth, healthy leverage (0.60x debt/equity), and meaningful insider accumulation activity suggesting management confidence.
ALNT Strengths
- Excellent liquidity position with 3.66x current ratio and 2.08x quick ratio providing operational flexibility
- Strong free cash flow generation of $49.7M representing 9.0% of revenue, indicating quality earnings
- Conservative leverage with 0.60x debt/equity ratio and robust interest coverage of 13.0x reducing financial distress risk
- Consistent operational cash flow of $56.7M with low capital intensity (7.0M capex) generating substantial free cash
ALNT Risks
- Modest profitability margins (4.0% net margin, 7.9% operating margin) suggest limited pricing power or cost structure challenges in the instruments/testing sector
- Low ROE of 7.3% and ROA of 3.8% indicate inefficient asset utilization despite reasonable balance sheet quality
- Flat net income growth (0.0% YoY) despite 4.6% revenue growth signals deteriorating operating leverage and potential margin compression
- Significant long-term debt of $180.4M represents 34% of total capitalization, constraining financial flexibility despite current coverage metrics
Key Metrics to Watch
- Operating margin trends to assess whether cost pressures are temporary or structural
- Free cash flow sustainability and conversion rate relative to net income growth
- Gross margin stability at 32.8% as indicator of competitive positioning in instruments sector
- Debt reduction pace relative to cash generation capacity
ALNT Financial Metrics
ALNT Profitability Ratios
ALNT Balance Sheet & Liquidity
ALNT 5-Year Financial Trend
5-Year Trend Summary: ALLIENT INC's revenue has grown significantly by 43% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.48 reflects profitable operations.
ALNT Growth Metrics (YoY)
ALNT Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $125.2M | $1.2M | $0.13 |
| Q2 2025 | $136.0M | $1.2M | $0.07 |
| Q1 2025 | $132.8M | $3.6M | $0.21 |
| Q3 2024 | $125.2M | $10.2M | $0.13 |
| Q2 2024 | $136.0M | $8.1M | $0.07 |
| Q1 2024 | $145.5M | $6.3M | $0.39 |
| Q3 2023 | $134.4M | $13.7M | $0.41 |
| Q2 2023 | $122.7M | $7.1M | $0.29 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
ALNT Capital Allocation
ALNT SEC Filings
Access official SEC EDGAR filings for ALLIENT INC (CIK: 0000046129)