ATS (NYSE:ATS) Sets New 12-Month Low - Here's Why

Key Points

• ATS shares hit a new 52-week low of $17.72, down from the prior close of $18.25, with the stock trading below both its 50-day and 200-day moving averages.
• Analyst sentiment is mixed but leans cautious: ATS has an average rating of “Hold,” with recent downgrades including “Sell” and “Strong Sell” calls. The consensus price target is $42.50.
• ATS missed quarterly expectations, reporting EPS of $0.25 versus $0.28 expected and revenue of $488.38 million versus $509.71 million; revenue fell 5.8% year over year.

ATS Corporation (NYSE:ATS - Get Free Report)'s stock price reached a new 52-week low during trading on Wednesday. The company traded as low as $17.72 and last traded at $17.7150, with a volume of 29079 shares traded. The stock had previously closed at $18.25.

Wall Street Analyst Weigh In

A number of research firms have issued reports on ATS. Weiss Ratings downgraded ATS from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Friday, September 25th. Desjardins started coverage on shares of ATS in a research report on Tuesday, June 16th. They issued a "buy" rating on the stock. TD Securities lowered shares of ATS from a "buy" rating to a "hold" rating in a research report on Monday, August 10th. Zacks Research downgraded shares of ATS from a "hold" rating to a "strong sell" rating in a report on Tuesday, June 9th. Finally, Wall Street Zen downgraded shares of ATS from a "buy" rating to a "hold" rating in a report on Sunday, July 12th. Three analysts have rated the stock with a Buy rating, two have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $42.50.

ATS Price Performance

The company has a debt-to-equity ratio of 0.75, a quick ratio of 1.33 and a current ratio of 1.63. The company has a market capitalization of $1.73 billion, a P/E ratio of 52.41 and a beta of 1.18. The firm's fifty day moving average is $20.29 and its 200 day moving average is $26.49.

ATS (NYSE:ATS - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The company reported $0.25 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.28 by ($0.03). The business had revenue of $488.38 million for the quarter, compared to analysts' expectations of $509.71 million. ATS had a net margin of 1.60% and a return on equity of 8.96%. ATS's revenue was down 5.8% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.41 EPS. As a group, analysts predict that ATS Corporation will post 1.12 earnings per share for the current fiscal year.

Institutional Investors Weigh In On ATS

Several hedge funds have recently made changes to their positions in ATS. Royal Bank of Canada increased its stake in shares of ATS by 1.5% during the first quarter. Royal Bank of Canada now owns 7,761,838 shares of the company's stock valued at $218,884,000 after buying an additional 117,291 shares during the period. EdgePoint Investment Group Inc. grew its holdings in ATS by 4.1% during the 1st quarter. EdgePoint Investment Group Inc. now owns 7,168,112 shares of the company's stock worth $202,081,000 after acquiring an additional 279,327 shares in the last quarter. Jupiter Topco LLC bought a new position in ATS during the 2nd quarter worth about $66,908,000. Janus Henderson Group PLC increased its position in ATS by 166.5% during the 1st quarter. Janus Henderson Group PLC now owns 2,297,214 shares of the company's stock valued at $64,544,000 after purchasing an additional 1,435,375 shares during the period. Finally, Hill City Capital LP bought a new stake in shares of ATS in the 2nd quarter valued at about $47,483,000. 75.84% of the stock is currently owned by hedge funds and other institutional investors.

ATS Company Profile

ATS Corporation, also known as ATS Automation Tooling Systems, is an industrial automation company that designs, builds and services automated manufacturing and assembly systems. Its solutions combine robotics, precision machinery, controls, software, machine vision and other technologies to help manufacturers improve production efficiency, quality and repeatability.

The company provides custom automation equipment, standardized automation products, production systems, packaging and material-handling solutions, and related aftermarket services.

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