Download PDF

1. Company Snapshot

1.a. Company Description

AMG Advanced Metallurgical Group N.V. produces and sells engineered specialty metals and mineral products.It also provides vacuum furnace systems and services to the transportation, infrastructure, energy, and specialty metals and chemicals markets.The company operates through three segments, AMG Clean Energy Materials, AMG Critical Materials and AMG Critical Materials Technologies.


The AMG Critical Materials segment develops and produces specialty metals, such as ferrovanadium, ferronickel-molybdenum, aluminum master alloys and powders, chromium metals, tantalum, lithium, antimony, natural graphite, and silicon metals for energy, aerospace, infrastructure, and specialty metal and chemicals applications.This segment also offers alloys, chemicals, and high-performance materials.The AMG Engineering segment designs, engineers, and produces vacuum furnace systems, including vacuum remelting, vacuum induction melting, vacuum heat treatment, and high pressure gas quenching, turbine blade coating, and sintering systems.


This segment also provides vacuum case-hardening heat treatment services on a tolling basis; operates vacuum heat treatment facilities; and develops titanium aluminides and titanium alloys, primarily for the aerospace and energy industries.The company primarily operates in the United States, Germany, China, Italy, France, the United Kingdom, Japan, Brazil, Austria, South Korea, Mexico, Belgium, Russia, Canada, India, Sweden, the Czech Republic, Poland, Turkey, Spain, the Netherlands, Taiwan, Switzerland, Australia, Thailand, Kazakhstan, Singapore, Argentina, Mozambique, and internationally.AMG Advanced Metallurgical Group N.V. was incorporated in 2006 and is headquartered in Amsterdam, the Netherlands.

Show Full description

1.b. Last Insights on AMG

AMG Advanced Metallurgical Group N.V.'s recent performance was driven by strong Q2 2025 results, with revenue increasing 20% to $439 million and adjusted EBITDA surging 79% to $71 million. The AMG Technologies segment was a key contributor, with adjusted EBITDA reaching $53 million. A new global Head of Investor Relations was appointed, bringing 18 years of international capital market experience. The company also declared an interim dividend of €0.20 per share, payable on August 15, 2025. These developments underscore the company's growth momentum and commitment to shareholder value.

1.c. Company Highlights

2. AMG's Q3 2025 Earnings: A Strong Beat in Adjusted EBITDA

AMG's Q3 2025 adjusted EBITDA was $64 million, a 58% increase from Q3 2024, driven by momentum in AMG Technologies, a $5 million compensation settlement at AMG Vanadium, and profitability in AMG Antimony. The actual EPS came out at $0.3324, missing estimates at $0.4176. The company's revenue performance was mixed, with AMG Lithium's revenue decreasing 33% year-over-year due to lower lithium market prices and decreased sales volumes, while AMG Vanadium's revenue increased 2% year-over-year, driven by higher sales prices. The P/E Ratio stands at 89.24, and the EV/EBITDA is 9.48, indicating that the market is pricing in a certain level of growth.

Publication Date: Nov -23

📋 Highlights
  • Adjusted EBITDA Surge: AMG's Q3 2025 adjusted EBITDA rose to $64 million (+58% YoY), driven by AMG Technologies' momentum, a $5 million compensation settlement, and profitability in AMG Antimony.
  • Graphite Business Divestment: Sale of the natural graphite business will generate $55 million in net cash proceeds, supporting balance sheet strengthening and operational focus.
  • 2025 EBITDA Outlook Raised: Full-year 2025 adjusted EBITDA guidance increased to €220 million+, boosted by €70+ million in antimony inventory tailwinds and strategic operational execution.
  • CapEx Prioritization: $15 million allocated for a Pennsylvania chromium metal plant (Q2 2026 startup) and similar-scale pre-feasibility projects, with short payback periods due to U.S. location advantages.
  • Cash Flow Turnaround Expected: Negative Q3 2025 cash flow from inventory buildup and shipping delays, but positive free cash flow projected in Q4 2025 as operations stabilize.

Operational Highlights

The company remains focused on executing operationally, strengthening its balance sheet, and streamlining its portfolio, with the divestment of its natural graphite business expected to close later this year, yielding approximately $55 million in net cash proceeds. AMG is advancing expansion projects, including a chromium metal plant in Newcastle, Pennsylvania, set to start up in Q2 2026. The company is also evaluating a tantalum and niobium metal plant in the US. The chrome plant expansion will cost around $15 million with a short payback period, and other projects have similar payback periods due to their location in the United States.

Cash Flow and Expansion Projects

The company's cash flow generation remained negative in Q3 2025 due to inventory buildup and adverse shipping schedules, but it expects to deliver positive free cash flow in Q4 2025. AMG ended Q3 2025 with $544 million in net debt and $419 million in total liquidity. The company signed an EPC contract in Saudi Arabia for a joint venture, implying a small equity contribution, with 70% debt financing, which will not strain the balance sheet. The company's ROIC stands at 2.56%, and the ROE is 1.96%, indicating a relatively low return on equity.

Guidance and Outlook

The company increased its adjusted EBITDA outlook for 2025 to €220 million or more, driven by a temporary tailwind from selling low-priced antimony inventories, estimated at over €70 million for the full year. Analysts estimate next year's revenue growth at 2.4%. The company does not expect further inventory tailwinds in 2025 from antimony. The Net Debt / EBITDA ratio stands at 3.53, indicating a relatively high level of debt.

Portfolio Consolidation

The company is committed to active portfolio management and strengthening Western critical material supply chains, with a focus on onshoring strategic materials production and strengthening domestic supply lines in the US. The company constantly evaluates its assets and considers disposing of non-core assets if they can get the right price. The divestment of the graphite business is a step in this direction, and the company has a liability towards Alterna, which can be paid in cash or shares within 2.5 years.

3. NewsRoom

Card image cap

How Recent Analyst Moves Are Shaping the Valuation Story for AMG Critical Materials

Nov -30

Source:

Card image cap

What Is Changing the Narrative for AMG Critical Materials Amid Analyst Upgrades and Index Inclusion

Nov -16

Source:

Card image cap

Shareholders Can Be Confident That AMG Critical Materials' (AMS:AMG) Earnings Are High Quality

Nov -12

Source:

Card image cap

AMG Reports Strong Third Quarter 2025 Results

Nov -05

Source:

Card image cap

AMG Schedule for Third Quarter 2025 Earnings Release

Oct -29

Source:

Card image cap

AMG Lithium and Beijing Easpring Sign a Memorandum of Understanding to Jointly Strengthen the Battery Materials Value Chain in Europe

Oct -15

Source:

Card image cap

AMG Critical Materials N.V. Announces Sale of Graphit Kropfmühl GmbH to Asbury Carbons

Oct -10

Source:

Card image cap

AMG Critical Materials' (AMS:AMG) Solid Earnings Are Supported By Other Strong Factors

Oct -04

Source:

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (5.72%)

6. Segments

AMG Clean Energy Materials

Expected Growth: 5.5%

AMG Clean Energy Materials' 5.5% growth is driven by increasing demand for lithium, nickel, and other critical metals used in electric vehicle batteries and renewable energy systems. Additionally, the segment benefits from AMG's diversified customer base, including leading automotive and technology companies, and its ability to provide high-purity materials that meet stringent quality standards.

AMG Critical Materials Technologies

Expected Growth: 5.8%

AMG Critical Materials Technologies' 5.8% growth is driven by increasing demand for specialty metals in clean energy technologies, such as wind turbines and fuel cells, as well as growing adoption of advanced materials in the aerospace and automotive industries.

AMG Critical Minerals

Expected Growth: 6.2%

AMG Critical Minerals' 6.2% growth is driven by increasing demand for lithium, nickel, and other critical minerals used in electric vehicle batteries and renewable energy technologies. Additionally, the segment benefits from AMG's diversified customer base, long-term contracts, and its position as a leading supplier of critical minerals to the automotive and energy industries.

7. Detailed Products

Vanadium alloys

AMG produces vanadium alloys used in the production of high-strength, low-alloy steel, which is used in construction, automotive, and industrial applications.

Titanium alloys

AMG produces titanium alloys used in aerospace, industrial, and medical applications due to their high strength-to-weight ratio, corrosion resistance, and biocompatibility.

Tantalum products

AMG produces tantalum products used in electronic components, including capacitors, resistors, and inductors, due to their high capacitance, conductivity, and resistance to corrosion.

Chromium metal

AMG produces chromium metal used in stainless steel production, automotive trim, and other industrial applications due to its corrosion resistance, hardness, and shiny appearance.

Ferrovanadium

AMG produces ferrovanadium used in the production of high-strength, low-alloy steel, which is used in construction, automotive, and industrial applications.

Ferronickel

AMG produces ferronickel used in the production of stainless steel, which is used in construction, automotive, and industrial applications.

Master alloys

AMG produces master alloys used in the production of aluminum alloys, which are used in aerospace, automotive, and industrial applications.

8. AMG Advanced Metallurgical Group N.V.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for AMG Advanced Metallurgical Group N.V. is medium due to the availability of alternative materials and technologies that can replace some of its products.

Bargaining Power Of Customers

The bargaining power of customers is low due to the specialized nature of AMG's products and the lack of alternative suppliers.

Bargaining Power Of Suppliers

The bargaining power of suppliers is medium due to the presence of multiple suppliers for some of AMG's raw materials, but the company's dependence on a few critical suppliers.

Threat Of New Entrants

The threat of new entrants is low due to the high barriers to entry in the advanced materials industry, including the need for significant capital investment and specialized expertise.

Intensity Of Rivalry

The intensity of rivalry is high due to the competitive nature of the advanced materials industry, with multiple players competing for market share and customers.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 56.24%
Debt Cost 12.08%
Equity Weight 43.76%
Equity Cost 12.08%
WACC 12.08%
Leverage 128.49%

11. Quality Control: AMG Advanced Metallurgical Group N.V. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Alphamin Resources

A-Score: 5.8/10

Value: 6.0

Growth: 9.0

Quality: 8.0

Yield: 9.4

Momentum: 2.0

Volatility: 0.7

1-Year Total Return ->

View Full Report
Stock-Card
Capital

A-Score: 5.5/10

Value: 7.6

Growth: 6.6

Quality: 4.9

Yield: 4.4

Momentum: 7.5

Volatility: 2.3

1-Year Total Return ->

View Full Report
Stock-Card
Ecora Resources

A-Score: 4.4/10

Value: 5.8

Growth: 2.0

Quality: 3.6

Yield: 4.4

Momentum: 9.0

Volatility: 1.7

1-Year Total Return ->

View Full Report
Stock-Card
Griffin Mining

A-Score: 4.1/10

Value: 3.7

Growth: 5.1

Quality: 6.9

Yield: 0.0

Momentum: 7.0

Volatility: 1.7

1-Year Total Return ->

View Full Report
Stock-Card
AMG

A-Score: 3.7/10

Value: 5.1

Growth: 2.1

Quality: 1.9

Yield: 1.9

Momentum: 9.5

Volatility: 1.7

1-Year Total Return ->

View Full Report
Stock-Card
Ferroglobe

A-Score: 2.8/10

Value: 5.0

Growth: 4.8

Quality: 1.6

Yield: 0.6

Momentum: 4.0

Volatility: 1.0

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

26.98$

Current Price

26.98$

Potential

-0.00%

Expected Cash-Flows