ATI (NYSE:ATI) Announces Quarterly Earnings Results

ATI (NYSE:ATI) announced its earnings results on Tuesday. The basic materials company reported $0.93 earnings per share for the quarter, topping the consensus estimate of $0.89 by $0.04, FiscalAI reports. The company had revenue of $1.18 billion during the quarter, compared to analyst estimates of $1.18 billion. ATI had a net margin of 8.81% and a return on equity of 24.26%. ATI’s revenue was up .4% compared to the same quarter last year. During the same quarter last year, the firm posted $0.79 earnings per share. ATI updated its FY 2026 guidance to 3.990-4.270 EPS and its Q1 2026 guidance to 0.830-0.890 EPS.

Here are the key takeaways from ATI’s conference call:

• ATI beat expectations in Q4 and FY2025, reporting $1.2B Q4 revenue, adjusted EBITDA of $232M in Q4 and >$859M for the year, a Q4 margin of 19.7%, and adjusted free cash flow of $380M (up 53%), while returning $470M to shareholders.
• Management guided 2026 to $975M–$1.025B adjusted EBITDA (midpoint $1.0B, +16% y/y), adjusted EPS $3.99–$4.27, and adjusted free cash flow of $430M–$490M, attributing growth to roughly half pricing and half volume/mix improvements.
• Demand is concentrated in aerospace & defense (68% of 2025 revenue and rising), with jet engine sales +21% y/y, isothermal forging content to Pratt & Whitney up 6x from 2023–2025, missiles +127%, and management expecting continued mid-teens A&D growth and further share gains.
• ATI is investing in targeted capacity for proprietary nickel alloys — gross growth CapEx $280–$300M (net $220–$240M after ~$60M customer funding) including a new primary melt VIM furnace expected online H2 2027 and targeting ~$350M incremental nickel revenue by mid?2028, with ~80% of that capacity already contracted.
• Near-term seasonality and planned maintenance (notably Q1 HPMC work) are expected to keep consolidated EBITDA margins in the upper teens in the first half of 2026 before second?half expansion, and lead times for specialized alloys have extended, which could constrain short?term shipment timing.

ATI Stock Up 3.2%

ATI stock traded up $4.04 during trading on Thursday, hitting $131.54. 270,849 shares of the company’s stock were exchanged, compared to its average volume of 1,723,203. The business has a 50-day moving average price of $115.26 and a two-hundred day moving average price of $95.31. The company has a current ratio of 2.66, a quick ratio of 1.18 and a debt-to-equity ratio of 0.90. The stock has a market capitalization of $17.87 billion, a price-to-earnings ratio of 46.14, a PEG ratio of 1.19 and a beta of 1.02. ATI has a 52-week low of $39.23 and a 52-week high of $137.00.

Insider Buying and Selling at ATI

In related news, VP Timothy J. Harris sold 10,543 shares of the stock in a transaction on Tuesday, November 11th. The shares were sold at an average price of $97.69, for a total value of $1,029,945.67. Following the transaction, the vice president directly owned 119,394 shares of the company’s stock, valued at $11,663,599.86. This trade represents a 8.11% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Chairman Robert S. Wetherbee sold 60,000 shares of the firm’s stock in a transaction that occurred on Tuesday, November 18th. The stock was sold at an average price of $98.34, for a total transaction of $5,900,400.00. Following the transaction, the chairman owned 246,538 shares in the company, valued at approximately $24,244,546.92. This trade represents a 19.57% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 148,087 shares of company stock worth $15,131,989 over the last three months. Insiders own 1.10% of the company’s stock.

Institutional Trading of ATI

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. NewEdge Advisors LLC acquired a new position in shares of ATI in the second quarter valued at approximately $75,000. Danske Bank A S purchased a new position in ATI in the 3rd quarter valued at $122,000. Peapack Gladstone Financial Corp acquired a new position in ATI in the 2nd quarter valued at $210,000. Polymer Capital Management US LLC acquired a new position in ATI in the 3rd quarter valued at $215,000. Finally, Prelude Capital Management LLC purchased a new position in ATI during the 3rd quarter worth $219,000.

Key Headlines Impacting ATI

Here are the key news stories impacting ATI this week:

• Positive Sentiment: Q4 adjusted EPS beat Street estimates and management highlighted aerospace demand as a driver; investors rewarded the beat. ATI shares rise over 4% as aerospace demand drives earnings beat
• Positive Sentiment: Management set an ambitious target of ~$1B adjusted EBITDA for 2026 and reiterated aerospace & defense momentum, which supports higher valuation multiples. ATI targets $1B adjusted EBITDA in 2026
• Positive Sentiment: Major analysts raised price targets and ratings (JPMorgan to $150 overweight; BTIG to $165 buy), adding buy-side support and signaling upside vs. the current price. Analyst price target upgrades
• Positive Sentiment: Fund-level interest noted (Fidelity Growth Strategies cited ATI in its Q4 letter), which can increase demand from institutional growth managers. Fidelity Growth Strategies Fund mention
• Neutral Sentiment: Deeper coverage highlights margin shifts—mix and segment margins moved as aerospace outperformed while other areas pressured overall margins; investors will watch margin trajectory vs. the EBITDA goal. Q4 deep dive on margins
• Neutral Sentiment: Revenue was essentially flat YoY (small increase) despite the EPS beat; top?line growth remains a watch item for longer?term investors. Sales stable year-over-year
• Negative Sentiment: Some reports note ATI missed Q4 sales expectations (even though EPS beat), underscoring that the rally is being driven by margin/earnings strength and outlook rather than clear revenue acceleration. Missed Q4 sales expectations

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on ATI shares. Susquehanna set a $155.00 price objective on shares of ATI in a research report on Wednesday. Deutsche Bank Aktiengesellschaft restated a “buy” rating and set a $150.00 price target on shares of ATI in a research report on Wednesday. KeyCorp boosted their price objective on ATI from $120.00 to $132.00 and gave the company an “overweight” rating in a report on Wednesday, January 14th. BTIG Research raised their target price on ATI from $120.00 to $165.00 and gave the company a “buy” rating in a report on Wednesday. Finally, Alembic Global Advisors initiated coverage on ATI in a research report on Thursday, January 15th. They issued an “overweight” rating and a $141.00 target price for the company. Ten analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, ATI presently has an average rating of “Moderate Buy” and a consensus target price of $133.00.

ATI Company Profile

Allegheny Technologies Incorporated (ATI) is a global manufacturer of specialty materials and complex components, serving aerospace, defense, oil and gas, chemical processing, medical and other industrial end markets. The company operates through two main segments: High Performance Materials & Components, which produces titanium and nickel-based alloys, stainless and specialty steels, and precision forgings; and Flat-Rolled Products, which supplies stainless steel, nickel and specialty alloy sheet, strip and precision-rolled plate.