📊 ATMU Key Takeaways
Is Atmus Filtration Technologies Inc. (ATMU) a Good Investment?
Atmus demonstrates solid operational improvements with net income growth (11.7% YoY) outpacing revenue growth (5.7% YoY) and healthy operating margins (16%), but elevated financial leverage (2.48x Debt/Equity) with tight interest coverage (2.4x) creates material downside risk in any sector downturn or operational disruption. The company generates adequate free cash flow and maintains strong liquidity, yet must carefully manage its $1.0B debt burden relative to $48.4M net income.
Atmus Filtration Technologies shows a strong fundamental profile with solid revenue growth, faster net income and EPS growth, and healthy profitability across gross, operating, and net margins. Liquidity is strong and free cash flow is positive, supporting financial flexibility, but leverage remains meaningful and should be monitored in a cyclical vehicle-parts market.
Why Buy Atmus Filtration Technologies Inc. Stock? ATMU Key Strengths
- Net income accelerating faster than revenue growth, indicating operational leverage and cost control
- Excellent short-term liquidity (Current Ratio 2.53x, Quick Ratio 1.70x) with substantial cash position ($209.6M)
- Solid profitability margins (Operating Margin 16%, Net Margin 10.1%) demonstrate competitive positioning in motor vehicle parts sector
- Revenue, net income, and diluted EPS are all growing, with earnings outpacing sales
- Profitability is healthy, including 28.2% gross margin, 16.9% operating margin, and 11.8% net margin
- Balance sheet liquidity is solid with a 2.42x current ratio, 1.66x quick ratio, and positive free cash flow
ATMU Stock Risks: Atmus Filtration Technologies Inc. Investment Risks
- Excessive leverage with 2.48x Debt/Equity ratio and $1.0B long-term debt against modest $48.4M net income creates debt service vulnerability
- Tight interest coverage ratio (2.4x) leaves minimal margin for earnings deterioration or rate increases
- Low ROA (2.6%) despite $1.8B asset base suggests poor asset utilization efficiency and potential capital allocation concerns
- Motor vehicle parts sector is cyclical; moderate 5.7% revenue growth may not sustain during automotive industry downturns
- Leverage is elevated with debt/equity at 1.51x and $570.0M of long-term debt
- Free cash flow margin of 8.4% is decent but not exceptional relative to reported earnings
- Business exposure to commercial vehicle and industrial demand could pressure growth and margins in a downturn
Key Metrics to Watch
- Debt-to-Equity trend and absolute debt reduction progress relative to operating cash flow
- Interest Coverage Ratio sustainability and EBITDA generation capacity
- Free Cash Flow margin expansion and capital expenditure levels relative to revenue growth
- Revenue growth acceleration in automotive end-markets and gross margin sustainability
- Free cash flow conversion versus net income
- Debt reduction and interest coverage trend
Atmus Filtration Technologies Inc. (ATMU) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.53x current ratio provides a solid financial cushion.
ATMU Profit Margin, ROE & Profitability Analysis
ATMU vs Automotive Sector: How Atmus Filtration Technologies Inc. Compares
How Atmus Filtration Technologies Inc. compares to Automotive sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Atmus Filtration Technologies Inc. Stock Overvalued? ATMU Valuation Analysis 2026
Based on fundamental analysis, Atmus Filtration Technologies Inc. has mixed fundamental signals relative to the Automotive sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Atmus Filtration Technologies Inc. Balance Sheet: ATMU Debt, Cash & Liquidity
ATMU Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Atmus Filtration Technologies Inc.'s revenue has shown modest growth of 8% over the 5-year period. The most recent EPS of $2.05 reflects profitable operations.
ATMU Revenue Growth, EPS Growth & YoY Performance
ATMU Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $416.5M | $44.7M | $0.54 |
| Q3 2025 | $403.7M | $43.8M | $0.52 |
| Q2 2025 | $432.6M | $56.2M | $0.67 |
| Q1 2025 | $416.5M | $44.7M | $0.54 |
| Q3 2024 | $396.2M | $37.6M | $0.45 |
| Q2 2024 | $413.6M | $46.2M | $0.55 |
| Q1 2024 | $418.6M | $45.5M | $0.54 |
| Q3 2023 | $396.2M | $37.6M | $0.45 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Atmus Filtration Technologies Inc. Dividends, Buybacks & Capital Allocation
ATMU SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Atmus Filtration Technologies Inc. (CIK: 0001921963)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ATMU
What is the AI rating for ATMU?
Atmus Filtration Technologies Inc. (ATMU) has a Combined AI Rating of BUY from Claude (HOLD) and ChatGPT (BUY) with 75% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ATMU's key strengths?
Claude: Net income accelerating faster than revenue growth, indicating operational leverage and cost control. Excellent short-term liquidity (Current Ratio 2.53x, Quick Ratio 1.70x) with substantial cash position ($209.6M). ChatGPT: Revenue, net income, and diluted EPS are all growing, with earnings outpacing sales. Profitability is healthy, including 28.2% gross margin, 16.9% operating margin, and 11.8% net margin.
What are the risks of investing in ATMU?
Claude: Excessive leverage with 2.48x Debt/Equity ratio and $1.0B long-term debt against modest $48.4M net income creates debt service vulnerability. Tight interest coverage ratio (2.4x) leaves minimal margin for earnings deterioration or rate increases. ChatGPT: Leverage is elevated with debt/equity at 1.51x and $570.0M of long-term debt. Free cash flow margin of 8.4% is decent but not exceptional relative to reported earnings.
What is ATMU's revenue and growth?
Atmus Filtration Technologies Inc. reported revenue of $477.5M.
Does ATMU pay dividends?
Atmus Filtration Technologies Inc. does not currently pay dividends.
Where can I find ATMU SEC filings?
Official SEC filings for Atmus Filtration Technologies Inc. (CIK: 0001921963) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ATMU's EPS?
Atmus Filtration Technologies Inc. has a diluted EPS of $0.59.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is ATMU a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Atmus Filtration Technologies Inc. has a BUY rating with 75% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is ATMU stock overvalued or undervalued?
Valuation metrics for ATMU: ROE of 12.0% (sector avg: 12%), net margin of 10.1% (sector avg: 6%). Compare these metrics with sector averages to assess valuation.
Should I buy ATMU stock in 2026?
Our dual AI analysis gives Atmus Filtration Technologies Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is ATMU's free cash flow?
Atmus Filtration Technologies Inc.'s operating cash flow is $38.1M, with capital expenditures of $12.6M. FCF margin is 5.3%.
How does ATMU compare to other Automotive stocks?
Vs Automotive sector averages: Net margin 10.1% (avg: 6%), ROE 12.0% (avg: 12%), current ratio 2.53 (avg: 1.2).
Is Atmus Filtration Technologies Inc. carrying too much debt?
ATMU has a debt-to-equity ratio of 2.48x, which is above the Automotive sector average of 1x. However, the current ratio of 2.53 suggests adequate short-term liquidity.