Altair Engineering Valuation
| ALTR Stock | USD 111.75 0.21 0.19% |
At this time, the firm appears to be fairly valued. Altair Engineering shows a prevailing Real Value of $110.89 per share. The current price of the firm is $111.75. Our model approximates the value of Altair Engineering from analyzing the firm fundamentals such as Profit Margin of 0.02 %, current valuation of 9.27 B, and Return On Equity of 0.0181 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Altair Engineering's valuation include:
Price Book 11.1639 | Enterprise Value | Enterprise Value Ebitda 114.9296 | Price Sales 14.3733 | Forward PE 82.6446 |
Fairly Valued
Today
Please note that Altair Engineering's price fluctuation is very steady at this time. Calculation of the real value of Altair Engineering is based on 3 months time horizon. Increasing Altair Engineering's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Altair stock is determined by what a typical buyer is willing to pay for full or partial control of Altair Engineering. Since Altair Engineering is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Altair Stock. However, Altair Engineering's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 111.75 | Real 110.89 | Target 105.98 | Hype 111.54 | Naive 111.49 |
The intrinsic value of Altair Engineering's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Altair Engineering's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Altair Engineering helps investors to forecast how Altair stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Altair Engineering more accurately as focusing exclusively on Altair Engineering's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Altair Engineering's intrinsic value based on its ongoing forecasts of Altair Engineering's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Altair Engineering's closest peers.
Altair Engineering Cash |
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Altair Valuation Trend
Altair Engineering's real value is important for investors to make better decisions and a more accurate overall view of Altair Engineering's financial worth over time. Using both Altair Engineering's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
Altair Revenue by Product
Altair Engineering Total Value Analysis
Altair Engineering is presently anticipated to have valuation of 9.27 B with market capitalization of 9.57 B, debt of 259.12 M, and cash on hands of 416.14 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Altair Engineering fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
9.27 B | 9.57 B | 259.12 M | 416.14 M |
Altair Engineering Investor Information
About 92.0% of the company shares are held by institutions such as insurance companies. The company last dividend was issued on the November 6, 2015. Altair Engineering had 2:1 split on the August 11, 2000. Altair Engineering is doing better financially today then in previous quarter. It has a moderate chance of reporting better financial numbers in April.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 161.8 M | 154.1 M |
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Altair Engineering Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The latest return on assets of Altair connotes not a very effective usage of assets in March.Altair Engineering Ownership Allocation
Altair Engineering holds a total of 60.4 Million outstanding shares. The majority of Altair Engineering outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Altair Engineering to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Altair Engineering. Please pay attention to any change in the institutional holdings of Altair Engineering as this could imply that something significant has changed or is about to change at the company. On July 16, 2015, Senator John Reed of US Senate acquired under $15k worth of Altair Engineering's common stock.Altair Engineering Profitability Analysis
The company reported the previous year's revenue of 665.79 M. Net Income was 14.18 M with profit before overhead, payroll, taxes, and interest of 540.99 M.About Altair Engineering Valuation
The stock valuation mechanism determines Altair Engineering's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Altair Engineering based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Altair Engineering. We calculate exposure to Altair Engineering's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Altair Engineering's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 541 M | 381.9 M | |
| Pretax Profit Margin | 0.05 | 0.05 | |
| Operating Profit Margin | 0.03 | 0.03 | |
| Net Profit Margin | 0.02 | 0.02 | |
| Gross Profit Margin | 0.81 | 0.58 |
Altair Engineering Growth Indicators
Investing in growth stocks can be very risky. If the company such as Altair Engineering does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 84.1 M | |
| Quarterly Earnings Growth Y O Y | -0.951 | |
| Forward Price Earnings | 82.6446 |
Altair Engineering Current Valuation Indicators
Altair Engineering's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Altair Engineering's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Altair Engineering, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Altair Engineering's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Altair Engineering's worth.Additional Tools for Altair Stock Analysis
When running Altair Engineering's price analysis, check to measure Altair Engineering's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Altair Engineering is operating at the current time. Most of Altair Engineering's value examination focuses on studying past and present price action to predict the probability of Altair Engineering's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Altair Engineering's price. Additionally, you may evaluate how the addition of Altair Engineering to your portfolios can decrease your overall portfolio volatility.