NYSE:ATCO

Stock Analysis Report

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Executive Summary

Atlas Corp. operates as an asset manager and operator. More Details


Snowflake Analysis

6 star dividend payer and good value.


Similar Companies

Share Price & News

How has Atlas's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ATCO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: ATCO's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

-0.5%

ATCO

4.4%

US Shipping

2.8%

US Market


1 Year Return

-0.4%

ATCO

-21.7%

US Shipping

20.9%

US Market

Return vs Industry: ATCO exceeded the US Shipping industry which returned -21.7% over the past year.

Return vs Market: ATCO underperformed the US Market which returned 20.9% over the past year.


Shareholder returns

ATCOIndustryMarket
7 Day-0.5%4.4%2.8%
30 Day35.6%27.2%11.1%
90 Day35.6%28.6%6.5%
1 Year5.4%-0.4%-19.9%-21.7%23.6%20.9%
3 Year133.6%97.3%-2.9%-10.3%47.3%37.6%
5 Year11.7%-21.8%-37.3%-44.8%94.3%72.9%

Long-Term Price Volatility Vs. Market

How volatile is Atlas's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Atlas undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ATCO ($11.7) is trading below our estimate of fair value ($32.2)

Significantly Below Fair Value: ATCO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ATCO is poor value based on its PE Ratio (12.3x) compared to the US Shipping industry average (11.6x).

PE vs Market: ATCO is good value based on its PE Ratio (12.3x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: ATCO is good value based on its PEG Ratio (0.2x)


Price to Book Ratio

PB vs Industry: ATCO is overvalued based on its PB Ratio (0.8x) compared to the US Shipping industry average (0.4x).


Next Steps

Future Growth

How is Atlas forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

80.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATCO's forecast earnings growth (80.1% per year) is above the savings rate (2.2%).

Earnings vs Market: ATCO's earnings (80.1% per year) are forecast to grow faster than the US market (22% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ATCO's revenue (3.7% per year) is forecast to grow slower than the US market (10.3% per year).

High Growth Revenue: ATCO's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Atlas performed over the past 5 years?

35.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ATCO has high quality earnings.

Growing Profit Margin: ATCO's current net profit margins (16.5%) are lower than last year (31.5%).


Past Earnings Growth Analysis

Earnings Trend: ATCO's earnings have grown significantly by 35.5% per year over the past 5 years.

Accelerating Growth: ATCO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ATCO had negative earnings growth (-38%) over the past year, making it difficult to compare to the Shipping industry average (8.9%).


Return on Equity

High ROE: ATCO's Return on Equity (7.8%) is considered low.


Next Steps

Financial Health

How is Atlas's financial position?


Financial Position Analysis

Short Term Liabilities: ATCO's short term assets ($484.2M) do not cover its short term liabilities ($753.8M).

Long Term Liabilities: ATCO's short term assets ($484.2M) do not cover its long term liabilities ($4.8B).


Debt to Equity History and Analysis

Debt Level: ATCO's debt to equity ratio (95.4%) is considered high.

Reducing Debt: ATCO's debt to equity ratio has reduced from 169.1% to 95.4% over the past 5 years.

Debt Coverage: ATCO's debt is not well covered by operating cash flow (17.6%).

Interest Coverage: ATCO's interest payments on its debt are well covered by EBIT (3.5x coverage).


Balance Sheet


Next Steps

Dividend

What is Atlas's current dividend yield, its reliability and sustainability?

4.27%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ATCO's dividend (4.27%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: ATCO's dividend (4.27%) is in the top 25% of dividend payers in the US market (4.08%)


Stability and Growth of Payments

Stable Dividend: ATCO's dividends per share have been stable in the past 10 years.

Growing Dividend: ATCO's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (52.6%), ATCO's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ATCO's dividends in 3 years are forecast to be covered by earnings (51.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure


CEO

Bing Chen (53 yo)

2.83yrs

Tenure

Mr. Bing Chen, C.P.A, has been President, Chief Executive Officer and Director of Atlas Corp. since January 8, 2018 and was its Chairman since February 2020. He serves as Interim Chief Financial Officer of...


Leadership Team

NamePositionTenureCompensationOwnership
Bing Chen
President2.83yrsno datano data
Peter Curtis
Chief Commercial Officer3.33yrsno datano data
Torsten Holst Pedersen
Chief Operating Officer0.83yrno datano data
Michael Sieffert
Director of Corporate Financeno datano datano data
Anthony Gerstein
Senior Director of Investor Relationsno datano datano data
Robert Weiner
Head of Investor Relationsno datano datano data
Karen Lawrie
General Counsel0.67yrno datano data
Tina Lai
Chief Human Resources Officer2.33yrsno datano data
Krista Yeung
Vice President of Financeno datano datano data
Gabrielle Smith
Director of Human Resourcesno datano datano data

2.3yrs

Average Tenure

51yo

Average Age

Experienced Management: ATCO's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Bing Chen
President2.83yrsno datano data
David Sokol
Independent Chairmanno datano data1.43%
$ 41.0m
Lawrence R. Simkins
Independent Director3.58yrsno datano data
Lawrence C. Chin
Independent Director2.58yrsno datano data
Nicholas Andrew Pitts-Tucker
Independent Director10.58yrsno datano data
John C. Hsu
Independent Director12.58yrsno datano data
Alistair Buchanan
Independent Director0.67yrno datano data
Stephen Wallace
Independent Director2.58yrsno datano data

2.8yrs

Average Tenure

58.5yo

Average Age

Experienced Board: ATCO's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 14.1%.


Top Shareholders

Company Information

Atlas Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Atlas Corp.
  • Ticker: ATCO
  • Exchange: NYSE
  • Founded: 2019
  • Industry: Marine
  • Sector: Transportation
  • Market Cap: US$2.873b
  • Shares outstanding: 245.52m
  • Website: https://www.atlascorporation.com

Number of Employees


Location

  • Atlas Corp.
  • 2600-200 Granville Street
  • Vancouver
  • British Columbia
  • V6C 1S4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATCONYSE (New York Stock Exchange)YesClass A Common SharesUSUSDAug 2005
A2P052DB (Deutsche Boerse AG)YesClass A Common SharesDEEURAug 2005
0EALLSE (London Stock Exchange)YesClass A Common SharesGBUSDAug 2005
ATCO.PRDNYSE (New York Stock Exchange)7.95% CUM PFD DUSUSDDec 2012
ATCO.PRENYSE (New York Stock Exchange)8.25% CUM PFD EUSUSDFeb 2014
ATCO.PRGNYSE (New York Stock Exchange)8.20% CUM PFD GUSUSDJun 2016
ATCO.PRGNYSE (New York Stock Exchange)8.20% CUM PFD GUSUSDJun 2016
ATCO.PRHNYSE (New York Stock Exchange)7.875% CUM PFD HUSUSDAug 2016
ATCO.PRINYSE (New York Stock Exchange)FIX FLT CM PFD IUSUSDSep 2018

Biography

Atlas Corp. operates as an asset manager and operator. The company, through its subsidiaries, operates as an independent charter owner and manager of containerships. The company charters its containerships...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/30 00:40
End of Day Share Price2020/11/27 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.