Shares of Amentum Holdings, Inc. (NYSE:AMTM) have received a consensus rating of “Moderate Buy” from fourteen research firms covering the company, according to MarketBeat Ratings. This assessment reflects the opinions of seven analysts recommending a hold and seven suggesting a buy, indicating a balanced outlook on the stock’s potential.
Analysts have set an average target price of $32.17 for Amentum over the next year. Recent reports highlight several significant evaluations from various investment firms. On November 19, UBS Group initiated coverage with a “neutral” rating and a price target of $25.00. Following this, Cantor Fitzgerald raised their target price from $35.00 to $40.00, assigning an “overweight” rating on December 2. Similarly, JMP Securities set a price objective of $35.00 on November 26, while Royal Bank of Canada adjusted its target from $26.00 to $30.00, rating the stock as “sector perform.” Lastly, Weiss Ratings reaffirmed a “hold (C-)” rating on December 15.
Stock Performance and Financials
On Friday, Amentum shares opened at $29.15. The company has experienced a 12-month low of $16.01 and a high of $31.87. With a market capitalization of $7.10 billion and a price-to-earnings (P/E) ratio of 107.97, Amentum presents a mixed financial profile. The stock’s fifty-day moving average stands at $25.17, while the two-hundred-day moving average is $24.43.
Amentum last reported its quarterly earnings on November 24, 2023, revealing earnings per share (EPS) of $0.63, exceeding analysts’ expectations of $0.59 by $0.04. The company achieved revenue of $3.93 billion for the quarter, surpassing the consensus estimate of $3.61 billion. Amentum’s net margin was recorded at 0.46%, with a return on equity of 11.57%. Year-over-year, the quarterly revenue increased by 10.1%. Analysts project Amentum to post an EPS of $2.10 for the current fiscal year.
Institutional Investment Activity
Recent changes in institutional holdings have also influenced Amentum’s stock dynamics. Large investors have adjusted their stakes significantly. For instance, Nuveen LLC entered a new position during the first quarter, valued at approximately $5.24 million. In the second quarter, the State of Alaska Department of Revenue increased its stake by 13.2%, now owning 89,832 shares worth $2.12 million following an additional purchase of 10,487 shares.
Additionally, Geode Capital Management LLC expanded its holdings by 9.3% during the same period, now controlling 2,513,161 shares valued at $59.35 million. Bank of New York Mellon Corp raised its stake by 14.2%, bringing its total to 868,206 shares worth $20.50 million after acquiring an extra 107,697 shares. Finally, Invesco Ltd. increased its holdings by 13.9%, now owning 19,577,241 shares valued at $462.22 million. Currently, institutional investors and hedge funds hold approximately 39.93% of Amentum’s stock.
Amentum specializes in providing essential services for defense, federal civilian, and commercial clients globally. The firm offers comprehensive solutions covering engineering, project management, logistics, operations, maintenance, and environmental remediation. Core services include infrastructure support, energy management, environmental solutions, and nuclear services, positioning the company as a key player in government services.
