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ATI Stock Analysis - ATI INC AI Rating

ATI NYSE Steel Pipe & Tubes DE CIK: 0001018963
Recently Updated • Analysis: Mar 20, 2026 • SEC Data: 2025-12-28
AI Rating
BUY
75% Confidence

📊 ATI Key Takeaways

Revenue: $4.6B
Net Margin: 8.8%
Free Cash Flow: $333.7M
Current Ratio: 2.66x
Debt/Equity: 0.95x
EPS: $2.85
AI Rating: BUY with 75% confidence

Investment Thesis

ATI demonstrates solid operational fundamentals with strong profitability metrics (22.4% ROE, 14% operating margin) and revenue growth of 5.2% YoY, supported by healthy free cash flow generation of $333.7M. The company maintains a strong balance sheet with a 2.66x current ratio and manageable 0.95x debt-to-equity ratio, though the slight net income decline of 3.4% YoY despite revenue growth warrants monitoring.

ATI Strengths

  • + Strong return on equity at 22.4% indicating efficient capital deployment
  • + Healthy free cash flow of $333.7M with 7.3% FCF margin supporting reinvestment and shareholder returns
  • + Solid interest coverage ratio of 5.8x demonstrates comfortable debt servicing capability
  • + Consistent revenue growth of 5.2% YoY in cyclical steel pipe industry
  • + Strong liquidity position with 2.66x current ratio and $416.7M cash reserves

ATI Risks

  • ! Net income declined 3.4% YoY despite 5.2% revenue growth, suggesting margin compression or increased costs
  • ! High debt load of $1.7B represents 94% of stockholders' equity; refinancing risk in rising rate environment
  • ! Steel pipe & tubes sector is cyclically dependent on capital expenditure and construction activity
  • ! Operating margin of 14% leaves limited buffer for demand downturns common in commodity industries
  • ! Significant insider activity (10 Form 4 filings in 90 days) may indicate mixed sentiment among leadership

Key Metrics to Watch

ATI Financial Metrics

Revenue
$4.6B
Net Income
$404.3M
EPS (Diluted)
$2.85
Free Cash Flow
$333.7M
Total Assets
$5.1B
Cash Position
$416.7M

💡 AI Analyst Insight

Strong liquidity with a 2.66x current ratio provides a solid financial cushion.

ATI Profitability Ratios

Gross Margin 22.0%
Operating Margin 14.0%
Net Margin 8.8%
ROE 22.4%
ROA 7.9%
FCF Margin 7.3%

ATI vs Default Sector

How ATI INC compares to Default sector averages

Net Margin
ATI 8.8%
vs
Sector Avg 12.0%
ATI Sector
ROE
ATI 22.4%
vs
Sector Avg 15.0%
ATI Sector
Current Ratio
ATI 2.7x
vs
Sector Avg 1.8x
ATI Sector
Debt/Equity
ATI 1.0x
vs
Sector Avg 0.7x
ATI Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

ATI Balance Sheet & Liquidity

Current Ratio
2.66x
Quick Ratio
1.27x
Debt/Equity
0.95x
Debt/Assets
62.4%
Interest Coverage
5.79x
Long-term Debt
$1.7B

ATI 5-Year Financial Trend

ATI 5-year financial data: Year 2021: Revenue $4.1B, Net Income $252.5M, EPS $1.81. Year 2022: Revenue $3.8B, Net Income -$1.6B, EPS $-12.43. Year 2023: Revenue $4.2B, Net Income $184.6M, EPS $1.32. Year 2024: Revenue $4.4B, Net Income $323.5M, EPS $2.23. Year 2025: Revenue $4.6B, Net Income $410.8M, EPS $2.81.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: ATI INC's revenue has grown significantly by 11% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.81 reflects profitable operations.

ATI Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
7.3%
Free cash flow / Revenue

ATI Quarterly Performance

Quarterly financial performance data for ATI INC including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $1.1B $82.7M $0.57
Q2 2025 $1.1B $81.9M $0.58
Q1 2025 $1.0B $66.1M $0.46
Q3 2024 $1.0B $82.7M $0.57
Q2 2024 $1.0B $81.9M $0.58
Q1 2024 $1.0B $66.1M $0.46
Q3 2023 $1.0B $54.0M $0.42
Q2 2023 $959.5M -$7.1M $-0.06

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

ATI Capital Allocation

Operating Cash Flow
$614.3M
Cash generated from operations
Stock Buybacks
$470.0M
Shares repurchased (TTM)
Capital Expenditures
$280.6M
Investment in assets
Dividends
None
No dividend program

ATI SEC Filings

Access official SEC EDGAR filings for ATI INC (CIK: 0001018963)

📋 Recent SEC Filings

Date Form Document Action
Mar 11, 2026 4 xslF345X05/ownership.xml View →
Mar 3, 2026 4 xslF345X05/ownership.xml View →
Feb 20, 2026 10-K ati-20251228.htm View →
Feb 19, 2026 4 xslF345X05/ownership.xml View →
Feb 19, 2026 4 xslF345X05/ownership.xml View →

Frequently Asked Questions about ATI

What is the AI rating for ATI?

ATI INC (ATI) has an AI rating of BUY with 75% confidence, based on fundamental analysis of SEC EDGAR filings.

What are ATI's key strengths?

Strong return on equity at 22.4% indicating efficient capital deployment. Healthy free cash flow of $333.7M with 7.3% FCF margin supporting reinvestment and shareholder returns.

What are the risks of investing in ATI?

Net income declined 3.4% YoY despite 5.2% revenue growth, suggesting margin compression or increased costs. High debt load of $1.7B represents 94% of stockholders' equity; refinancing risk in rising rate environment.

What is ATI's revenue and growth?

ATI INC reported revenue of $4.6B.

Does ATI pay dividends?

ATI INC does not currently pay dividends.

Where can I find ATI SEC filings?

Official SEC filings for ATI INC (CIK: 0001018963) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is ATI's EPS?

ATI INC has a diluted EPS of $2.85.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 20, 2026 | Data as of: 2025-12-28 | Powered by Claude AI