ATSATS Corporation
Is the business good?
The checks split: nothing decisive, though earnings fully cash-backed (3.1×).
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
A balanced mix of margins, efficiency, and leverage. ROE 4% = margin × turnover × leverage.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is ATS?
ATS Corporation earns 5.7% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 3.3 points below what the capital costs: growth destroys value
- Operating margin
- 6.7%
Operating margin · Specialty Industrial Machinery median 14% · fiscal year to FY2026
- Cash conversion
- 3.12×
Cash conversion · 3.52× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +0.17%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2023 | 8.6% |
| FY2024 | 10% |
| FY2025 | 0.37% |
| FY2026 | 6.7% |
Details›
- Gross marginfiscal year to FY2026
- 29%
- Operating marginfiscal year to FY2026
- 6.7%
- Net marginfiscal year to FY2026
- 2.4%
- Free cash flow margin
- 14%
- R&D as % of revenue
- 0.56%
- Revenue, trailing twelve months
- $2.97B
- Free cash flow, trailing twelve months
- $415M
- Net income, trailing twelve months
- $72M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 5.7%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Specialty Industrial Machinery
Ranks #26 of 34 by RyuScore