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1. Company Snapshot

1.a. Company Description

Atmus Filtration Technologies Inc.designs, manufactures, and sells filtration products under the Fleetguard brand name in North America, Europe, South America, Asia, Australia, Africa, and internationally.It offers fuel filters, lube filters, air filters, crankcase ventilation, hydraulic filters, and coolants, as well as fuel additives.


The company's products are used in on-highway and off-highway commercial vehicles; and agriculture, construction, mining, and power generation vehicles and equipment.It serves original equipment manufacturers, dealers/distributors, and end-users.The company was founded in 1958 and is headquartered in Nashville, Tennessee.


Atmus Filtration Technologies Inc.operates as a subsidiary of Cummins Inc.

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1.b. Last Insights on ATMU

Atmus Filtration Technologies Inc. experienced positive momentum over the past three months, driven by several key factors. The company's Q3 2025 earnings release revealed a beat on both earnings and revenue, with quarterly earnings of $0.69 per share, surpassing the Zacks Consensus Estimate of $0.61 per share. Additionally, JPMorgan Chase upgraded the stock from neutral to overweight, citing a $60.00 price target, up from $53.00. The company also announced a strategic acquisition of Koch Filter Corporation for $450 million in cash, expanding its filtration and media solutions offerings. Institutional investors, such as AXQ Capital LP, have taken new positions in the company.

1.c. Company Highlights

2. Atmus Filtration Technologies' Q3 2025 Earnings: Strong Performance and Growth Prospects

Atmus Filtration Technologies reported a robust third-quarter 2025 performance, with sales reaching $448 million, a 10.9% increase from the same period last year. The growth was driven by a combination of higher volumes (6%), pricing (4%), and favorable foreign exchange (1%). Adjusted EBITDA was $92 million, or 20.4%, compared to $79 million, or 19.6%, in the prior period. The company's earnings per share (EPS) came in at $0.69, beating estimates of $0.61. The strong financial performance was accompanied by a significant milestone - the completion of its operational separation from Cummins.

Publication Date: Nov -09

📋 Highlights
  • Revenue Growth & Margin Expansion: Q3 sales rose 10.9% to $448M, driven by 6% volume, 4% pricing, and 1% FX; adjusted EBITDA hit $92M (20.4%) from $79M (19.6%) YoY.
  • Capital Deployment: Share repurchases accelerated to $30M in Q3 (YTD $61M), with a 10% dividend increase, reflecting confidence in long-term value creation.
  • Revenue Guidance Raised: Full-year revenue guidance lifted to $1.72B–$1.745B (3–4.5% YoY growth), with EBITDA margin target of 19.5–20%.
  • Operational Separation Milestone: Completed separation from Cummins, achieving full operational control to optimize resource allocation and growth strategy.

Capital Deployment and Shareholder Returns

The company continued to deploy capital to create long-term shareholder value, accelerating its share repurchase program by buying back $30 million of stock, bringing the year-to-date total to $61 million, and $81 million since the program's announcement. Additionally, the quarterly dividend was increased by 10%, demonstrating the company's commitment to returning value to shareholders.

Growth Strategy and Outlook

Atmus is focused on executing its 4-pillar growth strategy, which includes growing share in first-fit, accelerating profitable growth in the aftermarket, transforming the supply chain, and expanding into industrial filtration markets. The company raised its revenue guidance to $1.72 billion to $1.745 billion, representing an increase of 3% to 4.5% compared to the prior year. Adjusted EBITDA margin is expected to be between 19.5% and 20%. The aftermarket business remains flat, and the company expects this trend to persist, with a cautious outlook on the market.

Valuation and Growth Prospects

With a P/E Ratio of 19.69 and an EV/EBITDA ratio of 14.01, the market appears to be pricing in a moderate growth trajectory for Atmus. Analysts estimate next year's revenue growth at 4.1%, which is slightly higher than the company's current guidance. The company's ROIC of 23.05% and ROE of 69.65% indicate a strong ability to generate returns on capital and equity. As Atmus continues to execute its growth strategy and expand into new markets, investors will be watching to see if the company can deliver on its promises and drive long-term value creation.

3. NewsRoom

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Atmus Filtration Technologies Inc. (ATMU) Presents at Goldman Sachs Industrials and Materials Conference 2025 Transcript

Dec -04

Source: seekingalpha.com

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Are Auto-Tires-Trucks Stocks Lagging Atmus Filtration Technologies Inc. (ATMU) This Year?

Dec -04

Source: zacks.com

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Atmus Filtration (ATMU) Moves to Buy: Rationale Behind the Upgrade

Dec -03

Source: zacks.com

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Atmus Filtration Technologies (NYSE:ATMU) versus Scope Industries (OTCMKTS:SCPJ) Financial Review

Dec -01

Source: defenseworld.net

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Financial Survey: Atmus Filtration Technologies (NYSE:ATMU) versus Kronos Advanced Technologies (OTCMKTS:KNOS)

Nov -27

Source: defenseworld.net

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Atmus Filtration Technologies (NYSE:ATMU) Sees Large Volume Increase After Analyst Upgrade

Nov -27

Source: defenseworld.net

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AXQ Capital LP Takes Position in Atmus Filtration Technologies Inc. $ATMU

Nov -25

Source: defenseworld.net

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Truelink Capital Signs Definitive Agreement to Sell Koch Filter Corporation, a Subsidiary of Air Distribution Technologies, to Atmus Filtration Technologies

Nov -24

Source: prnewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (3.63%)

6. Segments

Fuel

Expected Growth: 3.5%

Atmus Filtration Technologies Inc.'s 3.5% growth in Fuel segment is driven by increasing adoption of clean energy solutions, stringent emissions regulations, and rising demand for efficient filtration systems in the automotive and industrial sectors.

Other

Expected Growth: 3.8%

Atmus Filtration Technologies Inc.'s 3.8% growth is driven by increasing demand for air and gas filtration systems, expansion into new markets, and strategic partnerships. Additionally, the company's focus on innovation and R&D has led to the development of new products and technologies, further contributing to its growth.

Lube

Expected Growth: 3.2%

The 3.2% growth of Lube from Atmus Filtration Technologies Inc. is driven by increasing demand for high-performance lubricants in industrial applications, growing adoption of electric vehicles, and rising need for energy-efficient solutions. Additionally, expansion into emerging markets and strategic partnerships are contributing to the segment's growth.

Air

Expected Growth: 4.2%

Air from Atmus Filtration Technologies Inc. growth of 4.2% driven by increasing demand for clean air solutions, government regulations on air quality, and rising awareness of indoor air pollution. Additionally, growing adoption in industrial and commercial applications, and expansion into new markets also contribute to the growth.

7. Detailed Products

Air Filters

Atmus Filtration Technologies Inc. offers a wide range of air filters designed to capture airborne contaminants, including dust, pollen, and other particles. Our air filters are designed for residential, commercial, and industrial applications.

Liquid Filters

Atmus Filtration Technologies Inc. provides a variety of liquid filters designed to remove impurities and contaminants from liquids, including water, oil, and chemicals.

Gas Filters

Atmus Filtration Technologies Inc. offers gas filters designed to remove impurities and contaminants from gases, including natural gas, compressed air, and industrial gases.

Coalescing Filters

Atmus Filtration Technologies Inc. provides coalescing filters designed to remove liquid droplets and contaminants from gases and liquids.

HEPA Filters

Atmus Filtration Technologies Inc. offers HEPA (High Efficiency Particulate Air) filters designed to capture 99.97% of particles as small as 0.3 microns.

Activated Carbon Filters

Atmus Filtration Technologies Inc. provides activated carbon filters designed to remove impurities and contaminants from air and water.

8. Atmus Filtration Technologies Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for Atmus Filtration Technologies Inc. is medium due to the availability of alternative air filtration technologies.

Bargaining Power Of Customers

The bargaining power of customers for Atmus Filtration Technologies Inc. is low due to the company's strong brand reputation and customer loyalty.

Bargaining Power Of Suppliers

The bargaining power of suppliers for Atmus Filtration Technologies Inc. is medium due to the presence of multiple suppliers in the market.

Threat Of New Entrants

The threat of new entrants for Atmus Filtration Technologies Inc. is high due to the relatively low barriers to entry in the air filtration industry.

Intensity Of Rivalry

The intensity of rivalry for Atmus Filtration Technologies Inc. is high due to the presence of several established competitors in the market.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 88.27%
Debt Cost 5.44%
Equity Weight 11.73%
Equity Cost 13.36%
WACC 6.37%
Leverage 752.66%

11. Quality Control: Atmus Filtration Technologies Inc. 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
Sterling Infrastructure

A-Score: 5.1/10

Value: 1.5

Growth: 8.7

Quality: 7.3

Yield: 0.0

Momentum: 9.5

Volatility: 3.3

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Zurn Elkay Water Solutions

A-Score: 5.0/10

Value: 1.9

Growth: 3.3

Quality: 7.1

Yield: 2.0

Momentum: 8.0

Volatility: 7.7

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ManpowerGroup

A-Score: 5.0/10

Value: 8.3

Growth: 2.9

Quality: 3.6

Yield: 9.0

Momentum: 0.5

Volatility: 5.7

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Federal Signal

A-Score: 5.0/10

Value: 1.6

Growth: 7.6

Quality: 7.1

Yield: 0.0

Momentum: 7.5

Volatility: 6.0

1-Year Total Return ->

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Herc

A-Score: 4.5/10

Value: 8.0

Growth: 7.0

Quality: 3.8

Yield: 3.0

Momentum: 2.0

Volatility: 3.0

1-Year Total Return ->

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Stock-Card
Atmus Filtration Technologies

A-Score: 4.0/10

Value: 2.7

Growth: 3.4

Quality: 6.2

Yield: 0.0

Momentum: 6.5

Volatility: 5.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

52.25$

Current Price

52.25$

Potential

-0.00%

Expected Cash-Flows