This company has been acquired
Altair Engineering (ALTR) Stock Overview
Provides software and cloud solutions in the areas of simulation, high-performance computing, data analytics, and artificial intelligence in the United States and internationally. More details
| Snowflake Score | |
|---|---|
| Valuation | 0/6 |
| Future Growth | 3/6 |
| Past Performance | 3/6 |
| Financial Health | 6/6 |
| Dividends | 0/6 |
ALTR Community Fair Values
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Analyst Price Targets
Altair Engineering Inc. Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$111.85 |
| 52 Week High | US$113.12 |
| 52 Week Low | US$75.71 |
| Beta | 1.45 |
| 1 Month Change | 0.063% |
| 3 Month Change | 2.60% |
| 1 Year Change | 31.39% |
| 3 Year Change | 68.02% |
| 5 Year Change | 322.08% |
| Change since IPO | 510.87% |
Recent News & Updates
Recent updates
Altair Engineering: Limited Upside Given Acquisition Price And Current Stock Level
Summary Altair's stock offers minimal upside with a <2% spread, given the regulatory uncertainties and the deal's tight pricing at ~$111. The Siemens acquisition is not yet a done deal, facing significant regulatory scrutiny, especially in Europe, despite US HSR clearance. Altair's business fundamentals are strong, but the all-cash fixed price deal caps any potential upside for public investors. Read the full article on Seeking AlphaAltair Engineering: Rating Downgrade As Near-Term Upside Is Limited
Summary I am downgrading Altair Engineering Inc. from buy to hold due to its current valuation, which has caught up to my price target of $91. While ALTR's fundamentals and long-term outlook remain strong, its near-term growth potential appears limited. ALTR's relative valuation compared to peers is less attractive, and I see little evidence of meaningful growth acceleration despite recent acquisitions. Although margin expansion could justify a higher multiple, the current premium in forward P/E suggests this potential is already factored into the valuation. Read the full article on Seeking Alpha
AI Innovation And Tactical Expansions Propel The Company Into New Growth Horizons
Altair's focus on AI and simulation-driven innovation in products like HyperWorks 2024 is expected to boost sales and maintain its market lead.Altair: Too Expensive For Far Too Little Growth
Summary Shares of Altair have jumped nearly 20% year to date, despite incredibly tepid growth rates. The company’s decline in billings suggests that growth may slow down even further, though consensus is banking on revenue to accelerate in FY25. The company is trading at an ~80x current-year P/E and double-digit multiples of revenue, significantly above even peers that are showing faster growth. With so little to justify its valuation, Altair is a stock to sell. Read the full article on Seeking AlphaAltair Engineering: Strong Tailwinds To Drive Growth With Potential Downside Protection
Summary Altair Engineering Inc. is recommended as a buy due to strong secular tailwinds in the simulation and analysis market and positive changes in go-to-market strategy. The company's recent financials show growth in revenue and improved margins. The potential for mergers and acquisitions serves as a "floor" to the company's valuation. Read the full article on Seeking AlphaAltair Engineering: Navigating Through Simulation And Innovation
Summary Altair Engineering is a leading provider in the simulation solutions market, specializing in high-performance computing, data analytics, and artificial intelligence. ALTR's key strategies include offering open access to its products, developing user-friendly solutions, and utilizing a unique units-based licensing model. The Company's superior software portfolio includes physics simulation and concept design, high-performance and cloud computing, and data analytics, AI, IoT, and smart product development. Despite strong revenue growth and expanding gross margins, ALTR faces competition, economic sensitivities, and challenges in R&D investments and acquisition integrations. Economic risks, industry-specific vulnerabilities, competition, and investment costs pose significant challenges to Altair's steady growth trajectory. Read the full article on Seeking AlphaShareholder Returns
| ALTR | US Software | US Market | |
|---|---|---|---|
| 7D | 0.4% | 8.6% | 1.6% |
| 1Y | 31.4% | -0.9% | 28.5% |
Return vs Industry: ALTR exceeded the US Software industry which returned 1.8% over the past year.
Return vs Market: ALTR exceeded the US Market which returned 10.2% over the past year.
Price Volatility
| ALTR volatility | |
|---|---|
| ALTR Average Weekly Movement | 0.3% |
| Software Industry Average Movement | 9.7% |
| Market Average Movement | 7.2% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 3.0% |
Stable Share Price: ALTR has not had significant price volatility in the past 3 months compared to the US market.
Volatility Over Time: ALTR's weekly volatility (0%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1985 | 3,500 | Jim Scapa | www.altair.com |
Altair Engineering Inc., together with its subsidiaries, provides software and cloud solutions in the areas of simulation, high-performance computing, data analytics, and artificial intelligence in the United States and internationally. It operates through two segments, Software and Client Engineering Services. The Software segment offers solvers and optimization technology products, high-performance computing software applications and hardware products, modeling and visualization tools, data analytics and analysis products, and Internet of Things platform and analytics tools, as well as support and the complementary software products.
Altair Engineering Inc. Fundamentals Summary
| ALTR fundamental statistics | |
|---|---|
| Market cap | US$9.58b |
| Earnings (TTM) | US$14.18m |
| Revenue (TTM) | US$665.79m |
Is ALTR overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| ALTR income statement (TTM) | |
|---|---|
| Revenue | US$665.79m |
| Cost of Revenue | US$124.80m |
| Gross Profit | US$540.99m |
| Other Expenses | US$526.81m |
| Earnings | US$14.18m |
Last Reported Earnings
Dec 31, 2024
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.17 |
| Gross Margin | 81.25% |
| Net Profit Margin | 2.13% |
| Debt/Equity Ratio | 26.5% |
How did ALTR perform over the long term?
See historical performance and comparisonCompany Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2025/03/25 21:05 |
| End of Day Share Price | 2025/03/25 00:00 |
| Earnings | 2024/12/31 |
| Annual Earnings | 2024/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
| |
| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
| |
| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
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.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Altair Engineering Inc. is covered by 6 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Mark Schappel | Benchmark Company |
| Andrew DeGasperi | Berenberg |
| Richard Davis | Canaccord Genuity |