What ATI (ATI) Said on Its Q3 Earnings Call

Impact · against what's priced in

ATI's third-quarter results provide concrete evidence for the revenue acceleration the market has previously declined to pay for. Specifically, the jump in jet-engine revenue growth expectations and the structural shift toward aerospace/defense support the bullish growth trajectory required to justify a higher valuation.

ATI+0.40

Challenges what's priced in

The price assumes

The sustained revenue acceleration to a 24.3% compound annual growth rate

The market isn't paying for acceleration to a 24.3% CAGR, but Q3 revenue grew 26% YoY and the company raised full-year jet-engine revenue growth expectations to the low-to-mid-20% range from the high teens.

What ATI's price assumes · Sep 23

• earnings
• guidance
• aerospace
• ATI
• defense
• industrial gas turbines
• jet engines
• nuclear energy
• specialty metals

Search tags