ATI Crushes Q2 Estimates, Raises Full-Year Outlook on Surging Aerospace Demand
ATI has more than doubled off its 52-week low of $70.42.
Summary
ATI reported Q2 2026 adjusted EPS of $1.23, beating estimates, and raised full-year guidance on strong aerospace demand and record backlog.
Key Events · Earnings and Guidance · ATI
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Q2 Earnings Beat Across the Board
Adjusted EPS of $1.23 vs. $0.74 a year ago, revenue of $1.26B (+11% YoY), and adjusted EBITDA of $284M (+37% YoY) all exceeded the high end of guidance.
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Full-Year Guidance Raised Significantly
2026 adjusted EBITDA now seen at $1.135B–$1.185B (up from $1.01B–$1.06B), adjusted EPS at $4.90–$5.18 (up from $4.20–$4.48), and adjusted free cash flow at $550M–$600M (up from $465M–$525M).
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Record Backlog Supports Growth Runway
Backlog reached a record $4.4 billion, up 18% year-over-year, driven by insatiable aerospace and defense demand that continues to outstrip available supply.
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Margin Expansion Demonstrates Operating Leverage
Adjusted EBITDA margin expanded 440 basis points to 22.6%, reflecting favorable pricing, richer product mix, and increasing production volumes.
Analysis · ATI · Manufacturing
ATI delivered a standout quarter, with adjusted EPS of $1.23 beating consensus by a wide margin and revenue up 11% to $1.26 billion. The company raised its full-year guidance across all key metrics — adjusted EBITDA, EPS, and free cash flow — signaling confidence that the aerospace and defense upcycle has further to run. A record $4.4 billion backlog and expanding margins underscore the earnings power of ATI's differentiated portfolio. The stock is trading near all-time highs, and these results validate the premium valuation.
At the time of this filing, ATI was trading at $219.99 on NYSE in the Manufacturing sector, with a market capitalization of approximately $28B. The 52-week trading range was $70.42 to $208.71. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.