Alto Ingredients (NASDAQ:ALTO) Issues Earnings Results, Beats Estimates By $0.13 EPS

Alto Ingredients (NASDAQ:ALTO) issued its quarterly earnings results on Wednesday. The company reported $0.05 EPS for the quarter, topping analysts’ consensus estimates of ($0.08) by $0.13, Zacks reports. The company had revenue of $224.68 million during the quarter, compared to analysts’ expectations of $215.65 million. Alto Ingredients had a return on equity of 2.99% and a net margin of 1.45%.

Here are the key takeaways from Alto Ingredients’ conference call:

• Alto reported a measurable turnaround in Q1 — adjusted EBITDA of $4.7 million and net income of $4.0 million, a swing from prior-year losses driven by stronger crush margins and export premiums.
• The company recognized $3.9 million of 45Z tax-credit proceeds in Q1 and expects to qualify ~90 million gallons annually, targeting approximately $15 million net proceeds from 45Z if monetized as planned.
• Management is investing in operational upgrades under a $25 million 2026 CapEx plan — including a second alcohol loadout, Pekin dock repairs, a Columbia CO2 tank, and a Pekin dry‑mill debottleneck to add ~5 million gallons (~8%) annual capacity — to boost utilization, logistics and higher‑value sales.
• Cost and operational headwinds persisted: higher natural gas/electricity costs (+$5.3 million), increased repair & maintenance (+$2.4 million), and weather-driven curtailments reduced volumes ~4% and produced a Q1 gross loss in the Western segment.
• Outlook remains cautiously optimistic but uncertain due to macro risks (Middle East unrest, export/logistics) and the pace of E15 adoption, which together could materially affect demand and industry margins.

Alto Ingredients Stock Performance

Shares of Alto Ingredients stock opened at $5.56 on Thursday. The firm has a market cap of $429.73 million, a PE ratio of 34.75 and a beta of 0.14. The company has a quick ratio of 1.60, a current ratio of 2.64 and a debt-to-equity ratio of 0.26. Alto Ingredients has a 52 week low of $0.80 and a 52 week high of $5.99. The business’s fifty day simple moving average is $4.45 and its 200-day simple moving average is $3.07.

Analyst Ratings Changes

Several brokerages have commented on ALTO. Zacks Research cut shares of Alto Ingredients from a “strong-buy” rating to a “hold” rating in a research note on Monday. Weiss Ratings upgraded shares of Alto Ingredients from a “hold (c-)” rating to a “hold (c)” rating in a research report on Monday. Wall Street Zen upgraded Alto Ingredients from a “buy” rating to a “strong-buy” rating in a report on Monday, March 23rd. Finally, HC Wainwright lifted their price target on Alto Ingredients from $5.50 to $10.00 and gave the stock a “buy” rating in a report on Thursday. One research analyst has rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat, Alto Ingredients presently has an average rating of “Hold” and an average price target of $10.00.

Institutional Investors Weigh In On Alto Ingredients

A number of institutional investors have recently made changes to their positions in the stock. Vontobel Holding Ltd. purchased a new position in shares of Alto Ingredients in the fourth quarter valued at approximately $33,000. CreativeOne Wealth LLC acquired a new stake in Alto Ingredients during the 4th quarter worth $46,000. Hudson Bay Capital Management LP purchased a new position in Alto Ingredients during the 4th quarter worth $91,000. Balyasny Asset Management L.P. acquired a new position in Alto Ingredients in the fourth quarter valued at $117,000. Finally, Virtu Financial LLC acquired a new stake in shares of Alto Ingredients during the third quarter worth about $52,000. 42.44% of the stock is currently owned by institutional investors and hedge funds.

Alto Ingredients Company Profile

Alto Ingredients, Inc (NASDAQ: ALTO) is a diversified producer of alcohol-based products and specialty ingredients for industrial, food, beverage and personal care applications. The company’s core offering centers on ethanol produced for fuel markets, as well as an expanding portfolio of natural and organic alcohols, glycerin and other ingredient solutions. Alto’s product lines serve a range of end markets, including renewable fuels, confectionery, flavorings, cosmetics and sanitizers.

Headquartered in Dallas, Texas, Alto Ingredients operates a network of production facilities across the United States.