ATI Inc. (NYSE: ATI) stock jumped 1.62% on Friday to $31.29 against a previous-day closing price of $30.79. With 2.64 million shares changed hands, the volume of the stock remained heavier than its average volume of 1.6 million shares. During the session, the Metal Fabrication company that operates in wider Industrials sector, reached to the highest price of $32.09 whereas the lowest price it dropped to was $30.74. The 52-week range on ATI shows that it touched its highest point at $30.84 and its lowest point at $13.85 during that stretch. It currently has a 1-year price target of $34.14. Beta for the stock currently stands at 1.31.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of ATI was up-trending over the past week, with a rise of 14.20%, but this was up by 37.12% over a month. Three-month performance surged to 21.47% while six-month performance rose 31.14%. The stock gained 53.61% in the past year, while it has gained 96.42% so far this year. A look at the trailing 12-month EPS for ATI yields 0.04 with Next year EPS estimates of 2.04. For the next quarter, that number is 0.40. This implies an EPS growth rate of 97.60% for this year and 19.89% for next year. EPS is expected to decline by -4.50% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 45.00%.
Float and Shares Shorts:
At present, 124.60 million ATI shares are outstanding with a float of 123.27 million shares on hand for trading. On Jul 14, 2022, short shares totaled 13.29 million, which was 10.71% higher than short shares on Jun 14, 2022. In addition to Mr. Robert S. Wetherbee as the firm’s Chairman, Pres & CEO, Mr. Donald P. Newman serves as its Exec. VP of Fin. & CFO.
Through their ownership of 107.05% of ATI’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 62.50% of ATI, in contrast to 5.22% held by mutual funds. Shares owned by individuals account for 42.94%. As the largest shareholder in ATI with 15.26% of the stake, BlackRock Fund Advisors holds 18,937,743 shares worth 18,937,743. A second-largest stockholder of ATI, The Vanguard Group, Inc., holds 13,807,337 shares, controlling over 11.12% of the firm’s shares. Capital Research & Management Co is the third largest shareholder in ATI, holding 12,178,010 shares or 9.81% stake. With a 7.05% stake in ATI, the iShares Core S&P Small Cap ETF is the largest stakeholder. A total of 8,754,412 shares are owned by the mutual fund manager. The American Funds Growth Fund of Ame, which owns about 4.81% of ATI stock, is the second-largest Mutual Fund holder. It holds 5,974,249 shares valued at 135.68 million. SPDR S&P Metals & Mining ETF holds 2.99% of the stake in ATI, owning 3,714,429 shares worth 84.35 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for ATI since 10 analysts follow the stock currently. There are 8 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 0 believe that the stock is worth HOLDING, 2 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With ATI analysts setting a high price target of $42.00 and a low target of $30.00, the average target price over the next 12 months is $34.89. Based on these targets, ATI could surge 34.23% to reach the target high and fall by -4.12% to reach the target low. Reaching the average price target will result in a growth of 11.51% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. ATI will report FY 2022 earnings on 02/01/2023. Analysts have provided yearly estimates in a range of $2.10 being high and $1.42 being low. For ATI, this leads to a yearly average estimate of $1.83. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. ATI Inc. surprised analysts by $0.17 when it reported $0.54 EPS against a consensus estimate of $0.37. The surprise factor in the prior quarter was $0.19. Based on analyst estimates, the high estimate for the next quarter is $0.56 and the low estimate is $0.32. The average estimate for the next quarter is thus $0.46.
Summary of Insider Activity:
Insiders traded ATI stock several times over the past three months with 8 Buys and 1 Sells. In these transactions, 40,655 shares were bought while 12,500 shares were sold. The number of buy transactions has increased to 27 while that of sell transactions has risen to 46 over the past year. The total number of shares bought during that period was 529,521 while 234,986 shares were sold.