Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Roth/MKM lowers Allient's shares target citing near-term challenges

EditorEmilio Ghigini
Published 2024-05-22, 07:12 a/m
ALNT
-

On Wednesday, Roth/MKM made adjustments to its outlook on Allient Inc. (NASDAQ:ALNT) shares, lowering the price target to $39 from the previous $42, while still recommending the stock as a Buy.

The firm revised its model following the company's recent performance, taking into account various challenges that could impact Allient in the near term.

Allient is facing headwinds in certain markets, which, along with a return to normal order patterns after pandemic-related supply chain disruptions, are expected to present modest obstacles through 2024. Despite these challenges, Roth/MKM remains optimistic about the company's prospects.

The investment firm acknowledged that Allient had already begun restructuring programs earlier this year. These efforts are designed to improve operational efficiencies and are anticipated to help the company capitalize on growth opportunities projected for 2025.

Roth/MKM's stance on Allient remains positive, with the belief that the restructuring initiatives will enable the company to better leverage growth when conditions improve.

The firm's statement underscored a continued endorsement of Allient's stock, albeit with a slightly reduced price target, reflecting a cautious but still confident outlook for the company's future performance.

The new price target of $39 represents Roth/MKM's adjusted expectation for Allient's share value, down from $42, in light of the recent developments and strategic adjustments being made by the company.

InvestingPro Insights

As Allient Inc. (NASDAQ:ALNT) navigates through its restructuring phase and market headwinds, the latest real-time data from InvestingPro provides a nuanced perspective on the company's financial health and stock performance. Allient's commitment to shareholder returns is reflected in its history of raising dividends for 3 consecutive years, with a dividend yield currently at 0.41%. This dedication to dividends has been consistent over time, as the company has maintained dividend payments for 14 consecutive years.

InvestingPro data highlights Allient's P/E ratio at 18.97, a figure that suggests the stock is trading at a high valuation relative to near-term earnings growth. Yet, with a revenue growth of 8.63% over the last twelve months as of Q1 2024, Allient is showing resilience in its ability to increase sales. Additionally, the company's liquid assets exceed short-term obligations, which could provide some cushion against market volatility.

For investors looking for more in-depth analysis, there are 7 additional InvestingPro Tips available for Allient Inc., which can be accessed at https://www.investing.com/pro/ALNT. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, offering valuable insights for those considering investment in Allient's evolving business landscape.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.