AstroNova (NASDAQ:ALOT) Releases Earnings Results

AstroNova (NASDAQ:ALOT) released its quarterly earnings data on Monday. The business services provider reported $0.19 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.04 by $0.15, Zacks reports. AstroNova had a negative net margin of 1.58% and a positive return on equity of 1.53%. The firm had revenue of $39.36 million during the quarter, compared to analysts’ expectations of $29.19 million. During the same period last year, the business earned ($0.05) earnings per share.

Here are the key takeaways from AstroNova’s conference call:

• Revenue and profitability improved in the quarter, with consolidated revenue up over 4% to $39.4 million and adjusted EBITDA margin expanding to 10.5% as gross margin rose sharply.
• Aerospace was the key growth engine, with sales up 16.3% year over year, commercial aircraft sales up 46%, and orders jumping to a 147% book-to-bill ratio.
• Product ID showed operational progress even as revenue declined modestly, with operating income more than doubling and orders increasing year over year as the company transitions to newer platforms.
• Cash generation and balance sheet leverage improved, as the company produced $3 million of operating cash flow, reduced debt to $36 million, and lowered net debt leverage to 2.6x.
• Backlog and future margin support look constructive, with total orders up 33%, backlog at $32.4 million, and management highlighting the expected expiration of a royalty obligation that should add about $2 million of annualized gross profit starting in Q4.

AstroNova Price Performance

Shares of ALOT opened at $15.21 on Monday. The firm has a 50-day simple moving average of $13.11 and a two-hundred day simple moving average of $10.26. The stock has a market cap of $117.50 million, a PE ratio of -49.05 and a beta of 0.99. AstroNova has a 1-year low of $6.96 and a 1-year high of $16.07. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.84 and a quick ratio of 0.72.

Analyst Upgrades and Downgrades

Separately, Wall Street Zen raised shares of AstroNova to a “buy” rating in a research report on Saturday, May 2nd. One analyst has rated the stock with a Sell rating, According to MarketBeat.com, the company presently has an average rating of “Sell”.

Institutional Trading of AstroNova

Several institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. lifted its stake in AstroNova by 2.8% during the third quarter. Vanguard Group Inc. now owns 352,131 shares of the business services provider’s stock worth $3,606,000 after purchasing an additional 9,533 shares in the last quarter. Renaissance Technologies LLC boosted its position in shares of AstroNova by 1.2% during the fourth quarter. Renaissance Technologies LLC now owns 103,749 shares of the business services provider’s stock worth $897,000 after buying an additional 1,207 shares during the period. Geode Capital Management LLC grew its stake in shares of AstroNova by 2.8% in the fourth quarter. Geode Capital Management LLC now owns 80,663 shares of the business services provider’s stock valued at $698,000 after buying an additional 2,179 shares in the last quarter. Susquehanna International Group LLP acquired a new stake in shares of AstroNova in the third quarter valued at $143,000. Finally, Jane Street Group LLC purchased a new stake in shares of AstroNova in the 2nd quarter valued at $140,000. Institutional investors and hedge funds own 43.02% of the company’s stock.

AstroNova Company Profile

AstroNova, Inc is a global provider of precision graphic communications equipment and identification solutions. The company operates two primary business segments: the NovaTech division, which designs and manufactures high‐speed data acquisition, recording and analysis systems for industrial, power generation, oil and gas, aerospace and defense markets; and the AstroNova division, which offers digital color label printing and packaging solutions under brands such as QuickLabel and RTag. These products are engineered to support mission‐critical applications that require reliable data capture or product identification across complex supply chains.

Headquartered in West Warwick, Rhode Island, AstroNova traces its heritage to the development of ruggedized oscillographs and recording instruments for industrial clients.