Riverwater Partners - Atkore: Well-Positioned Towards A Future Where Electricity Takes Center Stage

seekingalpha05-13

Atkore Inc. specializes in electrical products for various sectors, including electrical, safety, and infrastructure.The company is well-positioned in growing markets such as solar, data centers, and ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2435356214?lang=en_US&edition=fundamental","thumbnail":"https://static.seekingalpha.com/cdn/s3/uploads/getty_images/2044947159/image_2044947159.jpg","is_english":true,"pubTime":"2024-05-13 00:15","share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","id":"2435356214","market":"us","top_or_hot":-1,"title":"Riverwater Partners - Atkore: Well-Positioned Towards A Future Where Electricity Takes Center Stage","media":"seekingalpha","content":"<div>\n<p>Atkore Inc. specializes in electrical products for various sectors, including electrical, safety, and infrastructure.The company is well-positioned in growing markets such as solar, data centers, and ...</p>\n\n<a href=\"https://seekingalpha.com/article/4692638-atkore-stock-well-positioned-electricity-takes-center-stage\">Source Link</a>\n\n</div>\n","source":"seekingalpha","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Riverwater Partners - Atkore: Well-Positioned Towards A Future Where Electricity Takes Center Stage</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nRiverwater Partners - Atkore: Well-Positioned Towards A Future Where Electricity Takes Center Stage\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-05-13 00:15 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4692638-atkore-stock-well-positioned-electricity-takes-center-stage><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Atkore Inc. specializes in electrical products for various sectors, including electrical, safety, and infrastructure.The company is well-positioned in growing markets such as solar, data centers, and ...</p>\n\n<a href=\"https://seekingalpha.com/article/4692638-atkore-stock-well-positioned-electricity-takes-center-stage\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU1559883803.SGD","symbol_name":"Aberdeen Standard SICAV I - North American Smaller Companies Fund A Acc SGD-H","start_time":0,"source_url":"https://seekingalpha.com/article/4692638-atkore-stock-well-positioned-electricity-takes-center-stage","article_id":"2435356214","we_media_id":null,"thumbnails":["https://static.seekingalpha.com/cdn/s3/uploads/getty_images/2044947159/image_2044947159.jpg"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2435356214","pubTimestamp":1715530500,"sourceInfo":{"source_id":"seekingalpha","name":"Seeking Alpha"},"weMediaInfo":null,"summary":"Atkore Inc. specializes in electrical products for various sectors, including electrical, safety, and infrastructure.The company is well-positioned in growing markets such as solar, data centers, and ","collect":0,"end_time":0,"defaultTopTitle":"seekingalpha.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU1559883803.SGD":"Aberdeen Standard SICAV I - North American Smaller Companies Fund A Acc SGD-H","BK4096":"电气部件与设备","SSI":"Stage Stores Inc","LU0566484027.USD":"安本美国小盘成长股","ATKR":"Atkore Inc."},"translate_title":"Riverwater Partners——Atkore：为电力占据中心舞台的未来做好准备","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"ATKR":1,"SSI":1},"content_text":"Atkore Inc. specializes in electrical products for various sectors, including electrical, safety, and infrastructure.The company is well-positioned in growing markets such as solar, data centers, and EV batteries, with significant growth potential.Atkore has demonstrated strong execution of its business plan, with revenue growth, margin expansion, and commitment to ESG metrics.Dizfoto/iStock via Getty Images The following segment was excerpted from this fund letter.  Atkore Inc. (NYSE:ATKR) Atkore Inc. specializes in products tailored for the electrical sector. ATKR caters to various segments including electrical, safety, and infrastructure. Under the Electrical division, ATKR manufactures essential components for constructing electrical power systems such as conduit, cable, and installation accessories. Meanwhile, the Safety and Infrastructure segment produces solutions for metal framing, mechanical pipe, perimeter security, and cable management, ensuring the protection and reliability of critical infrastructure. With operations spanning pivotal and emerging sectors of the economy, ATKR is well-positioned, particularly as we transition towards a future where electricity takes center stage. Operating in thematic markets experiencing secular growth, ATKR is well-positioned in key sectors such as the solar industry, data centers and EV batteries where ATKR plays a crucial role as a supplier of electrical components. Sustained demand for solar products should continue, driven partly by policy initiatives like bringing manufacturing back to the US from China. Additionally, the growing energy consumption of data centers due to advancements in Artificial Intelligence ('AI') are bolstering ATKR's prospects. While recent EV sales may have slowed, the long-term outlook remains promising. It's worth noting that these end markets are still in their infancy, presenting significant growth potential. ATKR has demonstrated strong execution of their business plan, marked by product innovation, successful acquisitions, and prudent capital allocation. These efforts have paved the way for opportunities in revenue growth and margin expansion. Revenue has grown 13.9% on a 5-year compounded basis and gross margins have expanded nearly 10% during the same time period. To show confidence to shareholders, ATKR recently introduced a quarterly dividend of $0.32/share. Their strong free cash flow and modest debt levels should allow them to consistently grow their dividend on an annual basis, though we see ATKR investing the majority of its capital back into the business. Moreover, ATKR remains committed to ESG metrics and sustainability. ATKR continues to improve upon and enhance their ESG targets. They are an important supplier to companies that have an overall impact on reducing emissions. We are bullish on the ATKR opportunity, but our analysis also considers potential risk or downside of the equity price. One concern Wall Street has with ATKR is that its demand surge during the COVID pandemic may have been temporary. We believe this short-sighted view overlooks ATKR's broader strategy, including its acquisition prowess, strong customer relationships, continued product demand, and prudent pricing strategy. Pre-COVID earnings were below $5.00, but post COVID, earnings guidance for 2024 is forecasted to reach $17.00 at the midpoint. Interestingly, despite this substantial earnings growth, the stock is currently trading at a similar valuation to pre-COVID levels and at a discount compared to its peers and the broader market. We anticipate multiple expansion as ATKR continues to deliver on its growth trajectory. Recently, the stock has moved higher, but we are still optimistic ATKR will continue to perform favorably. We remain optimistic on the outlook for ATKR, given their strong end markets, their ability to return capital to shareholders and for the stock to re-rate to its peer group.   Disclosures: The information contained within this update represents the opinion of Riverwater Partners and should not be construed as personalized or individualized investment advice. Reader should not assume that investments in the securities identified were or will be profitable. Timing differences of purchases and sales may have a modest impact on the actual contribution numbers presented. The holdings identified do not represent all the securities purchased, sold, or recommended. The calculation's methodology along with details on all holding's contribution to the overall account's performance during the measurement period are available upon request. Past performance does not guarantee future results.  Click to enlarge   Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.28.3","shortVersion":"4.28.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2435356214"}