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The company has outpaced industry peers, including nVent Electric (NVT - Free Report) , Universal Display (OLED - Free Report) and TE Connectivity (TEL - Free Report) . Over the past month, shares of nVent Electric, Universal Display and TE Connectivity have returned 20.5%, 14.8%, and 9.5%, respectively.
ALNT's outperformance can be attributed to its impressive first-quarter 2025 results, wherein revenues, gross margin, EBITDA and earnings per share (EPS) grew on a sequential basis, reflecting the benefits of a diversified business model. Revenues rose 9% sequentially to $133 million, exceeding the Zacks Consensus Estimate by 5.36%. EPS surged 48.4% sequentially to 46 cents, beating the consensus mark by an impressive 39.39%.
Despite sequential improvements, revenues declined 9% year over year, impacted by softness in the vehicle and industrial markets and a $1.8M FX headwind. However, 25% growth in aerospace and defense, coupled with solid execution, reflects the growing traction of Allient’s strategic initiatives. While year-over-year comparisons remain challenging across revenues and other key metrics, the company’s strong focus and disciplined execution continue to drive resilience and long-term momentum.
Allient continues to execute well on its strategic and operational priorities, with the latest result underscoring the success of its initiatives in driving efficiency, profitability and long-term growth. A key indicator of this momentum is the improvement in inventory turns, which rose from 2.7 at the end of 2024 to 3.1 as of March 2025. This improvement reflects disciplined inventory planning, improved alignment with customer demand and targeted execution within the company’s supply-chain operations.
Financial discipline remains central to Allient’s strategy. In the first quarter of 2025, the company achieved a $13.6 million sequential reduction in net debt, due to a 52% year-over-year increase in operating cash flow and a focus on prudent capital allocation. Strengthening the balance sheet continues to be a priority, as evidenced by a current ratio of 4.14x, demonstrating strong liquidity, and a leverage ratio that improved to 2.91x, down from 3.01x at the end of December.
The company’s “Simplify to Accelerate NOW” initiative has played a pivotal role in achieving operational efficiencies. This program has contributed to meaningful margin improvements and cost reductions by streamlining processes and enhancing responsiveness across business units. These efforts not only support near-term performance but also position Allient for sustainable long-term growth by embedding agility and scalability into its operating model.
In response to ongoing geopolitical challenges, including tariffs and the sourcing of rare earth magnets, Allient has implemented a comprehensive strategy to offset these headwinds. This includes diversification of the supply base and reinforcement of the risk management framework to ensure continuity and resilience across operations. This bodes well for the company’s prospects.
ALNT Earnings Estimate Shows Upward Trend
For the second quarter of 2025, the Zacks Consensus Estimate for earnings is pegged at 48 cents per share, reflecting a three-cent increase over the past 30 days. The estimate indicates robust year-over-year growth of 65.52%.
The consensus mark for 2025 earnings is pegged at $1.93 per share and has been revised 4.9% upward over the past 30 days. The estimate indicates year-over-year growth of 29.53%.
Conclusion: Buy ALNT Stock Now
Allient’s focus on operational efficiency and improving financial health supports a positive investment case. With a clear focus on electrification and automation, ALNT is well-positioned for growth.
Image: Bigstock
Allient Rises 47% in a Month: Here's Why the Stock is Still a Must-Buy
Allient (ALNT - Free Report) shares have rallied 46.6% over the past month, outperforming the Zacks Computer and Technology sector’s return of 10.8% and the Zacks Electronics - Miscellaneous Components industry’s growth of 13.8%.
The company has outpaced industry peers, including nVent Electric (NVT - Free Report) , Universal Display (OLED - Free Report) and TE Connectivity (TEL - Free Report) . Over the past month, shares of nVent Electric, Universal Display and TE Connectivity have returned 20.5%, 14.8%, and 9.5%, respectively.
ALNT's outperformance can be attributed to its impressive first-quarter 2025 results, wherein revenues, gross margin, EBITDA and earnings per share (EPS) grew on a sequential basis, reflecting the benefits of a diversified business model. Revenues rose 9% sequentially to $133 million, exceeding the Zacks Consensus Estimate by 5.36%. EPS surged 48.4% sequentially to 46 cents, beating the consensus mark by an impressive 39.39%.
Despite sequential improvements, revenues declined 9% year over year, impacted by softness in the vehicle and industrial markets and a $1.8M FX headwind. However, 25% growth in aerospace and defense, coupled with solid execution, reflects the growing traction of Allient’s strategic initiatives. While year-over-year comparisons remain challenging across revenues and other key metrics, the company’s strong focus and disciplined execution continue to drive resilience and long-term momentum.
Allient Inc. Price and Consensus
Allient Inc. price-consensus-chart | Allient Inc. Quote
ALNT Drives Efficiency Through Strategic Focus
Allient continues to execute well on its strategic and operational priorities, with the latest result underscoring the success of its initiatives in driving efficiency, profitability and long-term growth. A key indicator of this momentum is the improvement in inventory turns, which rose from 2.7 at the end of 2024 to 3.1 as of March 2025. This improvement reflects disciplined inventory planning, improved alignment with customer demand and targeted execution within the company’s supply-chain operations.
Financial discipline remains central to Allient’s strategy. In the first quarter of 2025, the company achieved a $13.6 million sequential reduction in net debt, due to a 52% year-over-year increase in operating cash flow and a focus on prudent capital allocation. Strengthening the balance sheet continues to be a priority, as evidenced by a current ratio of 4.14x, demonstrating strong liquidity, and a leverage ratio that improved to 2.91x, down from 3.01x at the end of December.
The company’s “Simplify to Accelerate NOW” initiative has played a pivotal role in achieving operational efficiencies. This program has contributed to meaningful margin improvements and cost reductions by streamlining processes and enhancing responsiveness across business units. These efforts not only support near-term performance but also position Allient for sustainable long-term growth by embedding agility and scalability into its operating model.
In response to ongoing geopolitical challenges, including tariffs and the sourcing of rare earth magnets, Allient has implemented a comprehensive strategy to offset these headwinds. This includes diversification of the supply base and reinforcement of the risk management framework to ensure continuity and resilience across operations. This bodes well for the company’s prospects.
ALNT Earnings Estimate Shows Upward Trend
For the second quarter of 2025, the Zacks Consensus Estimate for earnings is pegged at 48 cents per share, reflecting a three-cent increase over the past 30 days. The estimate indicates robust year-over-year growth of 65.52%.
The consensus mark for 2025 earnings is pegged at $1.93 per share and has been revised 4.9% upward over the past 30 days. The estimate indicates year-over-year growth of 29.53%.
Conclusion: Buy ALNT Stock Now
Allient’s focus on operational efficiency and improving financial health supports a positive investment case. With a clear focus on electrification and automation, ALNT is well-positioned for growth.
Allient currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.