Is Allient (ALNT) a Solid Growth Stock? 3 Reasons to Think "Yes"
Allient Allient (US:ALNT) ZACKS·2025-11-26 18:45

Core Viewpoint - Growth investors are focused on identifying stocks with above-average financial growth, which can lead to solid returns, but finding such stocks is challenging due to inherent volatility and risks [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system aids in identifying promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Allient (ALNT) is currently recommended as a strong growth stock, possessing a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is crucial for growth investors, with double-digit growth being highly desirable as it indicates strong future prospects [3] - Allient has a historical EPS growth rate of 14.1%, but projected EPS growth for this year is significantly higher at 38.9%, surpassing the industry average of 26.7% [4] Group 3: Asset Utilization - The asset utilization ratio, or sales-to-total-assets (S/TA) ratio, is an important metric for growth stocks, reflecting how efficiently a company generates sales from its assets [5] - Allient's S/TA ratio is 0.91, indicating it generates $0.91 in sales for every dollar in assets, which is above the industry average of 0.72 [5] Group 4: Sales Growth - Sales growth is another critical factor, with Allient expected to achieve a sales growth of 2.8% this year, compared to an industry average of 0% [6] Group 5: Earnings Estimate Revisions - Trends in earnings estimate revisions are correlated with stock price movements, and Allient has seen a positive trend with current-year earnings estimates rising by 5.4% over the past month [7] Group 6: Overall Positioning - Allient has earned a Growth Score of B and holds a Zacks Rank 1 due to positive earnings estimate revisions, positioning it well for potential outperformance [9]