Atlas Arteria Limited
Atlas Arteria Limited Fundamental Analysis
Atlas Arteria Limited (ALX.AX) shows weak financial fundamentals with a PE ratio of 29.88, profit margin of 1.70%, and ROE of 3.46%. The company generates $0.1B in annual revenue with moderate year-over-year growth of 8.21%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 54.0/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze ALX.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakALX.AX struggles to generate sufficient returns from assets.
Valuation Score
ModerateALX.AX shows balanced valuation metrics.
Growth Score
ModerateALX.AX shows steady but slowing expansion.
Financial Health Score
ExcellentALX.AX maintains a strong and stable balance sheet.
Profitability Score
WeakALX.AX struggles to sustain strong margins.
Key Financial Metrics
Is ALX.AX Expensive or Cheap?
P/E Ratio
ALX.AX trades at 29.88 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ALX.AX's PEG of 0.30 indicates potential undervaluation.
Price to Book
The market values Atlas Arteria Limited at 1.06 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 115.39 times EBITDA. This signals the market has high growth expectations.
How Well Does ALX.AX Make Money?
Net Profit Margin
For every $100 in sales, Atlas Arteria Limited keeps $1.70 as profit after all expenses.
Operating Margin
Core operations generate 9.44 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.46 in profit for every $100 of shareholder equity.
ROA
Atlas Arteria Limited generates $2.68 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Atlas Arteria Limited generates strong operating cash flow of $304.89M, reflecting robust business health.
Free Cash Flow
Atlas Arteria Limited generates strong free cash flow of $304.59M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.21 in free cash annually.
FCF Yield
ALX.AX converts 4.95% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
29.88
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.30
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.06
vs 25 benchmark
P/S Ratio
Price to sales ratio
50.74
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.30
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.17
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.002
vs 25 benchmark
How ALX.AX Stacks Against Its Sector Peers
| Metric | ALX.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 29.88 | 25.96 | Worse (Expensive) |
| ROE | 3.46% | 1263.00% | Weak |
| Net Margin | 169.81% | -41828.00% (disorted) | Strong |
| Debt/Equity | 0.30 | 0.79 | Strong (Low Leverage) |
| Current Ratio | 2.17 | 10.05 | Strong Liquidity |
| ROA | 2.68% | -1497917.00% (disorted) | Weak |
ALX.AX outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Atlas Arteria Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-13.57%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
3520.22%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
-70.38%
Industry Style: Cyclical, Value, Infrastructure
Declining