Atlas Arteria

Atlas Arteria is a global infrastructure developer and operator. As of Dec 31 2015, Co.'s investments consisted of 20.14% interest in Autoroutes Paris-Rhin-Rhone, a 2,323 km motorway network located in the east of France; 50% interest in Dulles Greenway, a 22 km toll road in Loudoun County, northern Virginia, U.S.; 70% interest in Warnow Tunnel, a two km toll road and tunnel under the Warnow River in the northern German city of Rostock, Germany; and 100% interest in M6 Toll, a 43 km motorway that bypasses Birmingham and connects to the existing M6 at both ends in West Midlands, U.K.
  • TickerALX
  • ISINAU0000013559
  • ExchangeAustralian Securities Exchange
  • SectorIndustrial Transportation
  • CountryAustralia
ALX ATLAS ARTERIA (Industrial Goods & Services)

ATLAS ARTERIA GROUP with less fundamental stars is reduced to Neutral

ATLAS ARTERIA GROUP (AU), a company active in the Transportation Services industry, loses a star(s) at the fundamental level and sees its general evaluation downgraded. The independent financial analyst theScreener just removed a fundamental star(s) for a 2 over 4-star rating. As such, market behaviour remains unchanged and is evaluated as moderately risky. theScreener believes that the loss of a star(s) merits downgrade to the general evaluation of the title, which passes to Neutral. As of the analysis date July 23, 2021, the closing price was AUD 6.29 and its expected value was estimated at ...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Atlas' Soft 2H Traffic is Broadly in Line with Expectati...

Narrow-moat Atlas Arteria’s traffic and revenue growth remain soft midway through 2019, tracking broadly in line with our full-year expectations. However, earnings and distributions should continue growing strongly on lower interest expense and tax. We make no changes to our earnings forecasts or AUD 6 per share fair value estimate and consider the stock materially overvalued. While the medium-term outlook for distributions is excellent, there are longer-term risks from potential changes to tax rates and interest rates. Additionally, core asset APRR in France has a short concession life of 1...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Atlas' Soft 2H Traffic is Broadly in Line with Expectations

Narrow-moat Atlas Arteria’s traffic and revenue growth remain soft midway through 2019, tracking broadly in line with our full-year expectations. However, earnings and distributions should continue growing strongly on lower interest expense and tax. We make no changes to our earnings forecasts or AUD 6 per share fair value estimate and consider the stock materially overvalued. While the medium-term outlook for distributions is excellent, there are longer-term risks from potential changes to tax ...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Tax Cuts and Interest Rates, More Than Revenue Growth, a...

Like most income stocks, narrow-moat Atlas Arteria is overvalued on a long-term view. From the January lows, Atlas’s security price is up 30%. Further upside is possible if global bond yields continue to fall, with central banks increasingly dovish. However, yields on 10-year French government bonds are already at zero, after falling from 1% a year ago as investors bet the new head of the European Central Bank, Christine Lagarde, restarts the money printing presses with a new round of quantitative easing. With inflation hovering at about 1%, investors in French government bonds are accepting...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Excellent Distribution Outlook for Atlas Arteria but Sho...

Atlas Arteria owns toll roads in Europe and the United States. The 25% stake in APRR, the owner of concessions covering a major tolled motorway network in Eastern France, makes up the vast majority of our valuation. The balance of our valuation comes from the wholly-owned Dulles Greenway, with other investments having little equity value because of excessive debt. Revenue grows with CPI-linked toll increases and traffic volume growth, while operating costs are well contained, allowing the firm to benefit from operating leverage. Earnings and distributions to securityholders will grow strongly ...

ALX ATLAS ARTERIA (Industrial Goods & Services)

ATLAS ARTERIA GROUP with less fundamental stars is reduced to Neutral

ATLAS ARTERIA GROUP (AU), a company active in the Transportation Services industry, loses a star(s) at the fundamental level and sees its general evaluation downgraded. The independent financial analyst theScreener just removed a fundamental star(s) for a 2 over 4-star rating. As such, market behaviour remains unchanged and is evaluated as moderately risky. theScreener believes that the loss of a star(s) merits downgrade to the general evaluation of the title, which passes to Neutral. As of the analysis date July 23, 2021, the closing price was AUD 6.29 and its expected value was estimated at ...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Atlas' Soft 2H Traffic is Broadly in Line with Expectati...

Narrow-moat Atlas Arteria’s traffic and revenue growth remain soft midway through 2019, tracking broadly in line with our full-year expectations. However, earnings and distributions should continue growing strongly on lower interest expense and tax. We make no changes to our earnings forecasts or AUD 6 per share fair value estimate and consider the stock materially overvalued. While the medium-term outlook for distributions is excellent, there are longer-term risks from potential changes to tax rates and interest rates. Additionally, core asset APRR in France has a short concession life of 1...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Atlas' Soft 2H Traffic is Broadly in Line with Expectations

Narrow-moat Atlas Arteria’s traffic and revenue growth remain soft midway through 2019, tracking broadly in line with our full-year expectations. However, earnings and distributions should continue growing strongly on lower interest expense and tax. We make no changes to our earnings forecasts or AUD 6 per share fair value estimate and consider the stock materially overvalued. While the medium-term outlook for distributions is excellent, there are longer-term risks from potential changes to tax ...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Tax Cuts and Interest Rates, More Than Revenue Growth, a...

Like most income stocks, narrow-moat Atlas Arteria is overvalued on a long-term view. From the January lows, Atlas’s security price is up 30%. Further upside is possible if global bond yields continue to fall, with central banks increasingly dovish. However, yields on 10-year French government bonds are already at zero, after falling from 1% a year ago as investors bet the new head of the European Central Bank, Christine Lagarde, restarts the money printing presses with a new round of quantitative easing. With inflation hovering at about 1%, investors in French government bonds are accepting...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Excellent Distribution Outlook for Atlas Arteria but Sho...

Atlas Arteria owns toll roads in Europe and the United States. The 25% stake in APRR, the owner of concessions covering a major tolled motorway network in Eastern France, makes up the vast majority of our valuation. The balance of our valuation comes from the wholly-owned Dulles Greenway, with other investments having little equity value because of excessive debt. Revenue grows with CPI-linked toll increases and traffic volume growth, while operating costs are well contained, allowing the firm to benefit from operating leverage. Earnings and distributions to securityholders will grow strongly ...

ALX ATLAS ARTERIA (Industrial Goods & Services)

ATLAS ARTERIA GROUP with less fundamental stars is reduced to Neutral

ATLAS ARTERIA GROUP (AU), a company active in the Transportation Services industry, loses a star(s) at the fundamental level and sees its general evaluation downgraded. The independent financial analyst theScreener just removed a fundamental star(s) for a 2 over 4-star rating. As such, market behaviour remains unchanged and is evaluated as moderately risky. theScreener believes that the loss of a star(s) merits downgrade to the general evaluation of the title, which passes to Neutral. As of the analysis date July 23, 2021, the closing price was AUD 6.29 and its expected value was estimated at ...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Atlas' Soft 2H Traffic is Broadly in Line with Expectati...

Narrow-moat Atlas Arteria’s traffic and revenue growth remain soft midway through 2019, tracking broadly in line with our full-year expectations. However, earnings and distributions should continue growing strongly on lower interest expense and tax. We make no changes to our earnings forecasts or AUD 6 per share fair value estimate and consider the stock materially overvalued. While the medium-term outlook for distributions is excellent, there are longer-term risks from potential changes to tax rates and interest rates. Additionally, core asset APRR in France has a short concession life of 1...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Atlas' Soft 2H Traffic is Broadly in Line with Expectations

Narrow-moat Atlas Arteria’s traffic and revenue growth remain soft midway through 2019, tracking broadly in line with our full-year expectations. However, earnings and distributions should continue growing strongly on lower interest expense and tax. We make no changes to our earnings forecasts or AUD 6 per share fair value estimate and consider the stock materially overvalued. While the medium-term outlook for distributions is excellent, there are longer-term risks from potential changes to tax ...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Tax Cuts and Interest Rates, More Than Revenue Growth, a...

Like most income stocks, narrow-moat Atlas Arteria is overvalued on a long-term view. From the January lows, Atlas’s security price is up 30%. Further upside is possible if global bond yields continue to fall, with central banks increasingly dovish. However, yields on 10-year French government bonds are already at zero, after falling from 1% a year ago as investors bet the new head of the European Central Bank, Christine Lagarde, restarts the money printing presses with a new round of quantitative easing. With inflation hovering at about 1%, investors in French government bonds are accepting...

Adrian Atkins
  • Adrian Atkins
ALX ATLAS ARTERIA (Industrial Goods & Services)

Morningstar | Excellent Distribution Outlook for Atlas Arteria but Sho...

Atlas Arteria owns toll roads in Europe and the United States. The 25% stake in APRR, the owner of concessions covering a major tolled motorway network in Eastern France, makes up the vast majority of our valuation. The balance of our valuation comes from the wholly-owned Dulles Greenway, with other investments having little equity value because of excessive debt. Revenue grows with CPI-linked toll increases and traffic volume growth, while operating costs are well contained, allowing the firm to benefit from operating leverage. Earnings and distributions to securityholders will grow strongly ...

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