Ames National Corporation
Ames National Corporation Fundamental Analysis
Ames National Corporation (ATLO) shows strong financial fundamentals with a PE ratio of 11.63, profit margin of 21.63%, and ROE of 10.65%. The company generates $0.1B in annual revenue with moderate year-over-year growth of 6.29%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 62.9/100 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 ATLO's fundamental strength across five key dimensions:
Efficiency Score
WeakATLO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentATLO trades at attractive valuation levels.
Growth Score
ExcellentATLO delivers strong and consistent growth momentum.
Financial Health Score
ExcellentATLO maintains a strong and stable balance sheet.
Profitability Score
ModerateATLO maintains healthy but balanced margins.
Key Financial Metrics
Is ATLO Expensive or Cheap?
P/E Ratio
ATLO trades at 11.63 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, ATLO's PEG of 0.13 indicates potential undervaluation.
Price to Book
The market values Ames National Corporation at 1.21 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.76 times EBITDA. This is generally considered low.
How Well Does ATLO Make Money?
Net Profit Margin
For every $100 in sales, Ames National Corporation keeps $21.63 as profit after all expenses.
Operating Margin
Core operations generate 26.77 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.65 in profit for every $100 of shareholder equity.
ROA
Ames National Corporation generates $1.01 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Ames National Corporation produces operating cash flow of $21.18M, showing steady but balanced cash generation.
Free Cash Flow
Ames National Corporation generates strong free cash flow of $21.18M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.39 in free cash annually.
FCF Yield
ATLO converts 8.59% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.13
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.21
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.50
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.26
vs 25 benchmark
Current Ratio
Current assets to current liabilities
53.78
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How ATLO Stacks Against Its Sector Peers
| Metric | ATLO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.63 | 18.92 | Better (Cheaper) |
| ROE | 10.65% | 816.00% | Weak |
| Net Margin | 21.63% | 830.00% | Weak |
| Debt/Equity | 0.26 | 0.86 | Strong (Low Leverage) |
| Current Ratio | 53.78 | 620.57 | Strong Liquidity |
| ROA | 1.01% | -24635.00% (disorted) | Weak |
ATLO outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Ames National Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
36.94%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
3.48%
Industry Style: Value, Dividend, Cyclical
GrowingFCF CAGR
-26.37%
Industry Style: Value, Dividend, Cyclical
Declining