I love a bargain, Atlas is cheap, profitable and growing So how cheap is Atlas Engineered Products?
At $0.62, the market cap is $38,790,000 ($0.62 X 62,566,049 shares) and enterprise value is $35,602,000. Revenue for FY 2021 was $55,000,000, net income was $6,954,000, operating cash flows was $9,579,000, cash on hand was $8,947,000 and debt was $6,971,000.
Year over year revenue is up 53.9% ($55,000,000; 2021 - $35,734,000; 2020). Over a three-year period, revenue has grown annually by 68% ($55,000,000; FY 2021-12-31 - $11,597,000; FY 2018-05-31). I don't expect growth to continue at the same pace, but I do expect Atlas to be able to grow the top and bottom lines.
How has the share price behave over this period? On April 30, 2018, the share price was $0.52 and the enterprise value was ±$17,000,000, the current share price is $0.62 (2022-04-22) and enterprise value is $35,602,000. The number of shares has grown from 30,730,405 (2018-05-31) to 62,556,049. Over this period, the enterprise value has double while revenue has grown by almost 5 times.
EV / Net income is 5.1 ($35,602,000 / $6,954,000)
EV / Operating cash flows is 3.7 ($35,602,000 / $9,579,000)