Is ATRO a high-quality business?

AlphaMadera's AlphaQuality grade scores Astronics Corporation on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how ATRO compares to a Buffett-style quality bar.

What is Astronics Corporation's AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to ATRO based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes ATRO a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

ATRO - Astronics Corporation

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $107.00 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Cyclical & Capital-Intensive

AlphaQuality — archetype-weighted quantitative grade

C- 48.8 / 100 composite

Composite Grade

Composite of six pillars weighted for cyclical & capital-intensive businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 15%

D+ 41.0

5yr Avg ROIC 1.2% 16/100
Operating Margin Trend +3.96 pp/yr 100/100

Capital Efficiency

Weight: 15%

F 0.0

5yr Avg ROE -10.7% 0/100
5yr Share-Count CAGR 5.4% 0/100

Growth Quality

Weight: 10%

B- 66.3

5yr Revenue CAGR 18.0% 96/100
5yr EPS CAGR 0.0% 20/100
Revenue-Growth Years (5) 4/5 80/100

Cash Generation

Weight: 15%

C 51.5

5yr FCF Margin -1.2% 19/100
5yr FCF/NI Conversion 1.47x 91/100

Balance Sheet

Weight: 25%

B- 62.3

Net Debt / EBITDA 3.67x 37/100
Interest Coverage (EBIT/Int) 6.08x 69/100
Altman Z-Score 5.06 100/100

Stability

Weight: 20%

B- 63.4

EPS Volatility (σ/μ) 0.39 45/100
Piotroski F-Score 7 78/100
Negative-Revenue Years (5) 1/5 80/100

4 of 4 gurus held; 2 added; 2 trimmed.

Holders: 4
Avg Δ position: +5.6%
New buys: 0
Full exits: 0

Laffont increased +107%
Wood decreased -99%
Cooperman increased +23%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (15%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (10%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (25%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (20%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.