Atmus Filtration Technologies Inc. (ATMU)
NYSEIndustrialsAuto - PartsSnapshot 2026-09-04
$48.34+1.02%
Close 2026-09-04 · 1-day change
NYSEIndustrialsAuto - PartsSnapshot 2026-09-04
Warn: Primary pillar under pressure — Revenue grows about 9.5% annually to ~$1.97B: FY26 rev guidance $2.00B vs $1.97B target.
Atmus grows revenue about 9.5% a year, helped by acquisitions. Profit margins stay near 20%. The company raised dividends to $0.055 per share. Cost control improved operating income from $64.9M to $76.3M in one year.
The recent selloff and soft guidance show risks. Margins could fall below 20%. Revenue growth might slow below 7%. Dividend increases may stall if cash flow weakens.
The price is about 4% above our fair value near $50. Analysts expect about 10% revenue growth. Our view aligns with these expectations but notes margin and guidance risks.
Breaks if: Dividend per share fails to increase above $0.055 in FY26
Raise quarterly cash dividend to return value to shareholders, reflecting confidence in cash flow generation.
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This is a long-term thesis on a company with strong recent financial performance but fragile earnings quality. The current state reflects a neutral management outlook and a focus on growth and margin enhancement.
The market appears to price in a cheap valuation compared to peers, with a slight expectations gap. However, the fragility in earnings execution suggests that the market is cautious about potential volatility.
Management is on track to increase revenue growth, enhance operating income, and raise dividends. Despite a low probability of missing targets, the company operates in a high-miss-rate industry, which adds some near-term risk.
The thesis hinges on the performance of sector bellwethers like BA, CAT, and UNP. If these companies continue to perform well, it could support ATMU's growth. Conversely, any negative guidance from these peers could impact ATMU's momentum.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The latest earnings beat supports this improved outlook. There are no new threats impacting the thesis at this time.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Stated as a priority in 3 of last 3 quarters. Quarterly dividend per share increased from $0.055 in 2026-Q1 to $0.06 in 2026-Q2. Cash provided by operating activities rose from $38M in 2026-Q1 to $78M in 2026-Q2, supporting dividend growth. Management is delivering on capital return commitments.
“Board declared quarterly cash dividend of $0.06 per common share, an increase from prior $0.055.”
“Paid quarterly cash dividend of $0.055 per share of common stock.”
“Dividends paid totaled $17 million in 2025, reflecting ongoing capital return.”
Breaks if: Operating income falls below $65M next 4 quarters
Breaks if: Gross margin falls below 19.5% in FY26
Breaks if: Revenue falls below $1.72B in FY26
Drive revenue growth through acquisition integration and organic expansion in Power and Industrial Solutions segments.
Stated as a priority in 3 of last 3 quarters. Revenue increased from $446.6M in 2025-Q4 to $477.5M in 2026-Q1 (+6.9%), with full year 2025 revenue at $1,764M and 2026 guidance raised to $1,975M-$2,030M. Management has consistently emphasized growth via acquisition integration and segment expansion, and the trajectory is delivering.
“Delivered strong financial results while integrating Koch Filter to unlock growth for Industrial Solutions business segment.”
“Ability to navigate challenging global markets and deliver strong financial results while establishing platform into industrial filtration.”
“Execution of our four-pillar growth strategy to deliver long-term shareholder value.”
In the next 1 to 3 years, ATMU's performance will depend on both its internal execution and the broader industrial sector's health. Not investment advice.