ATS (NYSE:ATS) and Accelleron Industries (OTCMKTS:ACLLY) Critical Review

Accelleron Industries (OTCMKTS:ACLLY) and ATS (NYSE:ATS) are both mid-cap industrials companies, but which is the better business? We will compare the two companies based on the strength of their dividends, analyst recommendations, valuation, profitability, earnings, institutional ownership and risk.

Analyst Recommendations

This is a breakdown of recent ratings for Accelleron Industries and ATS, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Accelleron Industries	0	0	0	0	0.00
ATS	1	1	2	1	2.60

ATS has a consensus target price of $35.00, indicating a potential upside of 15.06%. Given ATS’s stronger consensus rating and higher possible upside, analysts clearly believe ATS is more favorable than Accelleron Industries.

Risk and Volatility

Accelleron Industries has a beta of 1.42, indicating that its share price is 42% more volatile than the S&P 500. Comparatively, ATS has a beta of 1.21, indicating that its share price is 21% more volatile than the S&P 500.

Profitability

This table compares Accelleron Industries and ATS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Accelleron Industries	N/A	N/A	N/A
ATS	0.77%	9.67%	3.74%

Valuation and Earnings

This table compares Accelleron Industries and ATS”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Accelleron Industries	$1.02 billion	8.47	N/A	N/A	N/A
ATS	$2.80 billion	1.07	-$20.16 million	$0.15	202.79

Accelleron Industries has higher earnings, but lower revenue than ATS.

Insider and Institutional Ownership

75.8% of ATS shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

ATS beats Accelleron Industries on 9 of the 11 factors compared between the two stocks.

About Accelleron Industries

Accelleron Industries AG develops, manufactures, sells, and services turbochargers and digital solutions worldwide. It provides solutions and services to marine, power, oil and gas, and rail industries. The company was incorporated in 2021 and is headquartered in Baden, Switzerland.

About ATS

ATS Corporation, together with its subsidiaries, provides automation solutions worldwide. The company is also involved in planning, designing, building, commissioning, and servicing automated manufacturing and assembly systems, including automation products and test solutions. In addition, it offers pre-automation services comprising discovery and analysis, concept development, simulation, and total cost of ownership modelling; post automation services, including training, process optimization, preventative maintenance, emergency and on-call support, spare parts, retooling, retrofits, and equipment relocation; and contract manufacturing services, as well as after sales and services. Further, the company provides engineering design, prototyping, process verification, specification writing, software and manufacturing process controls development, standard automation products/platforms, equipment design and build, third-party equipment qualification, procurement and integration, automation system installation, product line commissioning, validation, and documentation services. Additionally, it offers value engineering, supply chain management, and integration and manufacturing capabilities, as well as other automation products and solutions; and software and digital solutions comprising connected factory floor management systems to capture, analyze, and use real time machine performance data to troubleshoot, deliver process and product solutions, prevent equipment downtime, drive operational efficiency, and unlock performance for sustainable production improvements. ATS Corporation serves life sciences, transportation and mobility, consumer products, food and beverage, electronics, nuclear, packaging, warehousing and distribution, and energy markets. The company was formerly known as ATS Automation Tooling Systems Inc. and changed its name to ATS Corporation in November 2022. ATS Corporation was founded in 1978 and is headquartered in Cambridge, Canada.