ATS

ATS · TORONTO

$18.94−$0.16 (−0.84%)TodayMarket closed · Oct 23, 7:00 PM ET

Prev close $19.10

ATS analyst rating

BuyConsensus of 2 analysts over the last 12 months. 50% rate it a buy.

Strong buy0
Buy1
Hold1
Underperform0
Sell0

12-month price target · 8 analysts

Average $27.84 (+47.0% upside)

Low: $20.88
Now: $18.94
High: $34.43

Upgrades and downgrades

The latest rating actions, newest first

ATS analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
RBC Capital	May 29, 2026	Maintains	Outperform	$51.00 → $50.00	53%
JP Morgan	Jan 16, 2026	Maintains	Neutral	$33.00 → $35.00	60%

The case for and against

Updated Oct 21, 2026

Bull case

ATS is positioned to benefit from a supportive global automation backdrop, with a +US$250B market expected to grow at about a 6% CAGR through 2030, while its core end-markets still offer mid-single-digit long-term growth. Its shift toward Life Sciences, Food & Beverage, and Energy, combined with a heavier mix of higher-margin equipment and after-sales services, supports sustainable margin expansion, with Adjusted EBIT margin seen above 12% by F2028 versus 10.6% in F2026. Fundamental strength is also reinforced by FQ4 Adjusted EBITDA of $102.5 million, FCF of $124 million, and net leverage of 2.8x, giving the company flexibility to pursue acquisitions and navigate a softer macro backdrop.

Bear case

ATS is facing a weaker fundamental setup because order bookings fell to $656 million, down 5% year over year, with a book-to-bill of about 0.94x and backlog declining to $1,958 million, signaling softer near-term demand and less backlog support. Revenue guidance of $660-$700 million for FQ2 and “modest” full-year organic growth imply that bookings must accelerate, yet management also flagged timing delays, customer capital-spend sensitivity, and a potential economic slowdown that could further pressure capex across its customer base. Although margin discipline and aftermarket mix support some resilience, restructuring charges of $28.3 million, additional expected charges of $10-$15 million, and Transportation reorganization risks suggest execution challenges and margin headwinds.

Information on this page is provided for informational purposes only and is not a recommendation to buy, sell or hold any security. Investing involves risk, including possible loss of principal. Market data is delayed at least 15 minutes and is provided without warranty. Analyst ratings, price targets and company data come from third-party sources. Past performance does not guarantee future results.