Amentum (NYSE:AMTM) Trading Down 3.4% - Time to Sell?

Key Points

• Amentum Holdings, Inc. saw its stock price decrease by 3.4%, closing at $23.04 after trading as low as $23.26.
• Research analysts have mostly issued positive ratings for Amentum, with an average price target of $27.30, indicating potential upside despite the recent stock decline.
• In its latest earnings report, Amentum beat expectations with $0.56 earnings per share but reported revenue of $2.23 billion, significantly below the projected $3.51 billion.

Amentum Holdings, Inc. (NYSE:AMTM - Get Free Report)'s share price dropped 3.4% on Monday . The stock traded as low as $23.26 and last traded at $23.04. Approximately 105,915 shares changed hands during mid-day trading, a decline of 95% from the average daily volume of 2,142,892 shares. The stock had previously closed at $23.85.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on AMTM shares. Morgan Stanley lifted their target price on Amentum from $19.00 to $20.00 and gave the stock an "underweight" rating in a research report on Thursday. The Goldman Sachs Group raised their price target on shares of Amentum from $21.00 to $26.00 and gave the stock a "neutral" rating in a research report on Wednesday, August 13th. Raymond James Financial reaffirmed an "outperform" rating and set a $30.00 price objective on shares of Amentum in a research report on Monday, August 18th. Truist Financial raised their target price on shares of Amentum from $24.00 to $30.00 and gave the stock a "buy" rating in a report on Thursday, July 24th. Finally, JMP Securities restated a "market outperform" rating and set a $30.00 price objective on shares of Amentum in a research note on Monday, August 18th. Five research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus target price of $27.40.

Amentum Price Performance

The firm has a market capitalization of $5.42 billion and a price-to-earnings ratio of 10.86. The stock's 50 day moving average price is $24.62 and its two-hundred day moving average price is $22.00. The company has a quick ratio of 1.58, a current ratio of 1.58 and a debt-to-equity ratio of 0.97.

Amentum (NYSE:AMTM - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The company reported $0.56 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.53 by $0.03. The company had revenue of $2.23 billion during the quarter, compared to the consensus estimate of $3.51 billion. Amentum had a return on equity of 10.90% and a net margin of 0.41%.The company's revenue for the quarter was up 66.2% on a year-over-year basis. Amentum has set its FY 2025 guidance at 2.050-2.200 EPS. Analysts anticipate that Amentum Holdings, Inc. will post 2.1 EPS for the current fiscal year.

Institutional Trading of Amentum

A number of hedge funds and other institutional investors have recently modified their holdings of AMTM. Atlantic Union Bankshares Corp bought a new position in Amentum during the 2nd quarter worth approximately $25,000. Quarry LP bought a new position in Amentum in the first quarter valued at $30,000. Signaturefd LLC increased its position in shares of Amentum by 108.0% in the first quarter. Signaturefd LLC now owns 1,764 shares of the company's stock valued at $32,000 after acquiring an additional 916 shares during the last quarter. Caitong International Asset Management Co. Ltd increased its position in shares of Amentum by 1,517.0% in the second quarter. Caitong International Asset Management Co. Ltd now owns 1,520 shares of the company's stock valued at $36,000 after acquiring an additional 1,426 shares during the last quarter. Finally, FNY Investment Advisers LLC lifted its stake in Amentum by 380.0% in the first quarter. FNY Investment Advisers LLC now owns 2,400 shares of the company's stock valued at $43,000 after acquiring an additional 1,900 shares during the last quarter. Institutional investors and hedge funds own 39.93% of the company's stock.

About Amentum

Amentum Holdings, Inc provides engineering and technology solutions to address challenges in science, security, and sustainability. It serves various markets, such as energy and environment, space, intelligence, defense, civilian, commercial, and international markets. The company was incorporated in 2010 and is headquatered in Chantilly, Virginia.