Why ATI (ATI) is a Top Value Stock for the Long-Term

Core Insights - Zacks Premium provides various tools to help investors make informed decisions and enhance their confidence in stock market investments [1][2] Zacks Style Scores - Zacks Style Scores are indicators designed to assist investors in selecting stocks with the highest potential to outperform the market within a 30-day timeframe [3] - Stocks are rated from A to F based on value, growth, and momentum characteristics, with A being the highest score [3] Value Score - The Value Score identifies attractive and discounted stocks using ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [4] Growth Score - The Growth Score focuses on a company's financial health and future outlook, analyzing projected and historical earnings, sales, and cash flow [5] Momentum Score - The Momentum Score helps investors capitalize on price trends by evaluating factors like one-week price changes and monthly earnings estimate changes [6] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors who utilize multiple investing strategies [7] Zacks Rank - The Zacks Rank is a proprietary stock-rating model that uses earnings estimate revisions to simplify portfolio building [8] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +23.81% since 1988, significantly outperforming the S&P 500 [9] Stock Selection Strategy - To maximize returns, investors should target stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [10] - Stocks with a 3 (Hold) rank should also have Style Scores of A or B to ensure potential upside [10] Earnings Estimate Revisions - The direction of earnings estimate revisions is crucial when selecting stocks; a stock with a low rank but high Style Scores may still face downward price pressure [11] Company Spotlight: ATI Inc. - ATI Inc. is a diversified specialty materials producer with a Zacks Rank of 2 (Buy) and a VGM Score of A [12] - The company has a Value Style Score of B, supported by a forward P/E ratio of 27.47, making it appealing to value investors [12] - Recent upward revisions in earnings estimates for fiscal 2025 have increased the Zacks Consensus Estimate to $3.06 per share, with an average earnings surprise of +12.4% [13]