Amentum Holdings Inc. (AMTM) AI Stock Analysis

Amentum Holdings, Inc. engages in the provision of engineering and technology solutions in the United States and internationally. It operates through two segments: Digital Solutions and Global Engineering Solutions. The company provides digital and data-driven solutions, including intelligence analytics, space system development, cybersecurity, and IT to the federal government and commercial clients. Additionally, it offers large-scale environmental remediation, nuclear power solutions, platform engineering, sustainment, and supply chain management for the U.S. government and allied nations.

Amentum delivered a 4-year revenue CAGR of 29.7% from FY2021 to FY2025, with revenue rising from $5.09B to $14.39B. Growth peaked in FY2025 with a 71.6% surge in revenue, moving net income back into positive territory at $66.0M after three consecutive years of losses, including -$82.0M in FY2024 and -$314.0M in FY2023. Gross margin has compressed over time, dropping from 15.5% in FY2021 to 7.2% in FY2025. Over the trailing twelve months, revenue reached $14.13B with an operating margin of 4.4% and a profit margin of 1.4%. In the latest quarter ended June 30, 2026, quarterly revenue fell 2.0% year-over-year, while quarterly earnings grew 575.0%.

As of June 30, 2026, Amentum held $459.0M in cash and short-term investments alongside total debt of $3.83B, resulting in net debt of $3.37B. Total assets stood at $11.20B against shareholders' equity of $4.70B, yielding a debt-to-equity ratio of 0.81 and a current ratio of 1.52. Operating cash flow improved sharply in FY2025 to $543.0M from $47.0M in FY2024. Capital expenditures remained modest at $27.0M in FY2025, generating free cash flow of $516.0M.

At $19.52 per share, Amentum holds a market cap of $4.77B and an enterprise value of $8.19B. It trades at a forward P/E of 7.5x and an EV/EBITDA of 8.1x, both at a discount to the median of its US-listed Industrials peers (17.2x and 13.9x, respectively). Its trailing P/E stands at 23.5x compared to the peer median of 24.8x. Over the past year, the stock declined 13.9%, underperforming the S&P 500 (SPY), which gained 16.8%.

Wall Street coverage includes 3 Strong Buy, 2 Buy, and 7 Hold ratings, with no Sell recommendations. The mean price target of $29.33 suggests an upside of 50.3% over the last close of $19.52. Consensus estimates project EPS of $2.46 on revenue of $13.91B for the current fiscal year ending September 30, 2026, followed by EPS of $2.64 on revenue of $14.05B next fiscal year. Amentum has beaten EPS estimates in each of the last 4 quarters, with next earnings scheduled for November 23, 2026.

This page is an AI-written research summary of Amentum Holdings Inc. (AMTM). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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