OTCPK:ATSA.F

Stock Analysis Report

ATS Automation Tooling Systems

Executive Summary

ATS Automation Tooling Systems Inc. provides factory automation solutions worldwide.

Snowflake

Fundamentals

Adequate balance sheet and fair value.

Share Price & News

How has ATS Automation Tooling Systems's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.7%

ATSA.F

4.7%

US Machinery

1.8%

US Market


1 Year Return

-18.7%

ATSA.F

6.6%

US Machinery

7.3%

US Market

Return vs Industry: ATSA.F underperformed the US Machinery industry which returned 6.6% over the past year.

Return vs Market: ATSA.F underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

ATSA.FIndustryMarket
7 Day0.7%4.7%1.8%
30 Day-1.9%-0.6%-0.7%
90 Day-15.8%-0.9%0.06%
1 Year-18.7%-18.7%8.9%6.6%9.7%7.3%
3 Year58.7%58.7%49.4%39.7%46.3%36.9%
5 Year16.6%16.6%57.6%38.4%64.5%46.5%

Price Volatility Vs. Market

How volatile is ATS Automation Tooling Systems's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is ATS Automation Tooling Systems undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: ATSA.F ($13.54) is trading below our estimate of fair value ($33.1)

Significantly Undervalued: ATSA.F is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ATSA.F is poor value based on its PE Ratio (23.2x) compared to the Machinery industry average (20.1x).

PE vs Market: ATSA.F is poor value based on its PE Ratio (23.2x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: ATSA.F is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: ATSA.F is good value based on its PB Ratio (2x) compared to the US Machinery industry average (2.2x).


Next Steps

Future Growth

How is ATS Automation Tooling Systems forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

11.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATSA.F's forecast earnings growth (11.7% per year) is above the savings rate (2.7%).

Earnings vs Market: ATSA.F's earnings (11.7% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: ATSA.F's earnings are forecast to grow, but not significantly.

Revenue vs Market: ATSA.F's revenue (5% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: ATSA.F's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if ATSA.F's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has ATS Automation Tooling Systems performed over the past 5 years?

8.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ATSA.F's earnings have grown by 8.6% per year over the past 5 years.

Accelerating Growth: ATSA.F's earnings growth over the past year (34.8%) exceeds its 5-year average (8.6% per year).

Earnings vs Industry: ATSA.F earnings growth over the past year (34.8%) exceeded the Machinery industry 18.7%.


Return on Equity

High ROE: ATSA.F's Return on Equity (8.8%) is considered low.


Return on Assets

ROA vs Industry: ATSA.F's Return on Assets is below or equal to the Machinery industry average last year.


Return on Capital Employed

ROCE Improving: ATSA.F has not improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is ATS Automation Tooling Systems's financial position?


Financial Position Analysis

Short Term Liabilities: ATSA.F's short term assets (CA$726.0M) exceeds its short term liabilities (CA$418.5M)

Long Term Liabilities: ATSA.F's short term assets (726.0M) exceeds its long term liabilities (496.8M)


Debt to Equity History and Analysis

Debt Level: ATSA.F's debt to equity ratio (41.4%) is considered high

Reducing Debt: ATSA.F's debt to equity ratio has increased from 2.7% to 41.4% over the past 5 years.

Debt Coverage: ATSA.F's debt is well covered by operating cash flow (26.4%).

Interest Coverage: ATSA.F's interest payments on its debt are well covered by EBIT (5.3x coverage).


Balance Sheet

Inventory Level: ATSA.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: ATSA.F's debt is covered by short term assets (assets are 2.180130x debt).


Next Steps

Dividend

What is ATS Automation Tooling Systems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.7%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate ATSA.F's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate ATSA.F's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if ATSA.F's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ATSA.F's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ATSA.F's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of ATS Automation Tooling Systems's salary, the management and board of directors tenure and is there insider trading?

7.1yrs

Average management tenure


CEO

Andrew Hider (42yo)

2.6yrs

Tenure

CA$5,132,100

Compensation

Mr. Andrew P. Hider has been the Chief Executive Officer of ATS Automation Tooling Systems Inc. since March 6, 2017. Mr. Hider has been Vice President and General Manager of Anderson Instrument Co., Inc. s ...


CEO Compensation Analysis

Compensation vs. Market: Andrew's total compensation ($USD3.91M) is about average for companies of similar size in the US market ($USD4.07M).

Compensation vs Earnings: Andrew's compensation has been consistent with company performance over the past year.


Management Age and Tenure

7.1yrs

Average Tenure

52yo

Average Age

Experienced Management: ATSA.F's management team is seasoned and experienced (7.1 years average tenure).


Board Age and Tenure

2.2yrs

Average Tenure

55yo

Average Age

Experienced Board: ATSA.F's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyCA$2,576,25821 Dec 18
Mason Capital Management, LLC
EntityCompany
Shares250,000
Max PriceCA$10.39
BuyCA$242,48521 Nov 18
Mason Capital Management, LLC
EntityCompany
Shares19,000
Max PriceCA$12.94
BuyCA$384,36520 Nov 18
Mason Capital Management, LLC
EntityCompany
Shares30,000
Max PriceCA$12.81
BuyCA$374,92718 Nov 18
Mason Capital Management, LLC
EntityCompany
Shares28,500
Max PriceCA$13.20
BuyCA$13,51714 Nov 18
Joanne Ferstman
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceCA$13.52
BuyCA$27,10413 Nov 18
Joanne Ferstman
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceCA$13.55
BuyCA$2,101,55711 Nov 18
Mason Capital Management, LLC
EntityCompany
Shares154,600
Max PriceCA$13.61
BuyCA$26,95511 Nov 18
Joanne Ferstman
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceCA$13.48

Ownership Breakdown


Management Team

  • James Kopperson (52yo)

    Chief Financial Officer of Solar Group

    • Tenure: 13.8yrs
  • Stewart McCuaig (56yo)

    Corporate VP

    • Tenure: 0yrs
    • Compensation: CA$899.70k
  • Maria Perrella

    Chief Financial Officer

    • Tenure: 11.7yrs
    • Compensation: CA$1.88m
  • Andrew Hider (42yo)

    CEO & Director

    • Tenure: 2.6yrs
    • Compensation: CA$5.13m
  • Christian Debus

    President of Process Automation Solutions

    • Tenure: 0yrs
  • Simon Roberts

    Senior Vice President of Global After Sales Service

    • Tenure: 0yrs
    • Compensation: CA$788.70k
  • Chris Hart

    President of Life Sciences

    • Tenure: 0yrs
    • Compensation: CA$753.10k
  • Sonya Mehan

    Director of Investor Relations & Corporate Communications

    • Tenure: 0yrs
  • Angella Alexander

    Chief Human Resources Officer

    • Tenure: 1yrs
    • Compensation: CA$936.20k
  • Joe Metri

    Chief Information Officer

    • Tenure: 0yrs

Board Members

  • David McAusland (65yo)

    Independent Chairman of the Board

    • Tenure: 0yrs
    • Compensation: CA$289.76k
  • Neil Arnold (70yo)

    Independent Director

    • Tenure: 12.1yrs
    • Compensation: CA$227.35k
  • Joanne Ferstman (51yo)

    Independent Director

    • Tenure: 1.2yrs
    • Compensation: CA$130.70k
  • Michael Martino (55yo)

    Independent Director

    • Tenure: 12.1yrs
  • Phil Whitehead (67yo)

    Independent Director

    • Tenure: 1.2yrs
    • Compensation: CA$134.80k
  • Kirsten Lange (52yo)

    Independent Director

    • Tenure: 2yrs
    • Compensation: CA$201.09k
  • Andrew Hider (42yo)

    CEO & Director

    • Tenure: 2.6yrs
    • Compensation: CA$5.13m

Company Information

ATS Automation Tooling Systems Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ATS Automation Tooling Systems Inc.
  • Ticker: ATSA.F
  • Exchange: OTCPK
  • Founded: 1978
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: CA$1.621b
  • Listing Market Cap: CA$1.234b
  • Shares outstanding: 92.06m
  • Website: https://www.atsautomation.com

Number of Employees


Location

  • ATS Automation Tooling Systems Inc.
  • 730 Fountain Street North
  • Building #2
  • Cambridge
  • Ontario
  • N3H 4R7
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATATSX (The Toronto Stock Exchange)YesCommon SharesCACADDec 1993
ATODB (Deutsche Boerse AG)YesCommon SharesDEEURDec 1993
ATSA.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDDec 1993

Biography

ATS Automation Tooling Systems Inc. provides factory automation solutions worldwide. The company is also involved in the planning, designing, building, commissioning, and servicing automated manufacturing  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 00:23
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.