olivLaw · US equity research
Atmus Filtration Technologies Inc. ATMU
Motor Vehicle Parts & Accessories · SIC 3714 · Vertical: Motor Vehicle Parts & Accessories (SIC 3714)
Atmus Filtration Technologies makes filtration products for commercial vehicles and off-highway equipment under the Fleetguard brand, and has expanded into industrial filtration through the Koch Filter acquisition. Most of its revenue is recurring from the aftermarket, and it raised its 2026 guidance in August 2026. Net sales for fiscal 2025 reached 1,764.3 million USD.
At the close of 04 Nov 2026, Atmus Filtration Technologies Inc. (ATMU) stock was 47.83 USD (+0.00% on the day), with market capitalisation 3.9 bn USD, P/E 18.3 on diluted EPS of 2.62 USD over the last 12 months, dividend yield 0.46%, beta 1.22, 52-week range 42.62–65.57 USD. Latest reported quarter (Q2 2026): revenue of 527.9 m USD (+16.4% YoY), net income of 63.9 m USD (+6.7% YoY), diluted EPS 0.78 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 65.2
- strong (55–70)
- Bollinger (20, 2)
- 41.79 – 47.93
- in the upper half of the band · %B 0.98 · band width 13.7%
- SMA 50 / 200
- 45.37 / 52.92
- mixed trend
- MACD (12, 26, 9)
- 0.56 / 0.08
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +3.6% | −1.1% | +4.7 pp | — |
| 3 months | −11.7% | −0.5% | −11.2 pp | — |
| 6 months | −11.8% | +4.4% | −16.2 pp | — |
| Year to date | −7.9% | +12.3% | −20.2 pp | — |
| 1 year | +4.4% | +13.5% | −9.1 pp | −12.2% |
| 3 years | +135.5% | +76.4% | +59.1 pp | −3.9% |
| 5 years | unavailable | +63.7% | unavailable | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 30 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 403.7 m | 406.7 m | 416.5 m | 453.5 m | 447.7 m | 446.6 m | 477.5 m | 527.9 m |
| Cost of revenue | 292.4 m | 299.6 m | 306.0 m | 322.5 m | 318.3 m | 319.2 m | 340.7 m | 374.0 m |
| Gross profit | 111.3 m | 107.1 m | 110.5 m | 131.0 m | 129.4 m | 127.4 m | 136.8 m | 153.9 m |
| Research & development | 9.7 m | 10.4 m | 9.1 m | 10.7 m | 10.0 m | 10.9 m | 8.1 m | 9.8 m |
| SG&A | 46.4 m | 48.8 m | 45.9 m | 46.1 m | 45.9 m | 46.4 m | 51.0 m | 51.7 m |
| Operating income | 63.2 m | 54.6 m | 64.9 m | 81.7 m | 81.9 m | 70.5 m | 76.3 m | 97.2 m |
| Depreciation & amortisation | 6.1 m ≈ | 7.0 m | 7.2 m | 7.4 m | 7.6 m ≈ | 7.8 m | 11.8 m | 11.5 m |
| Interest expense | 10.4 m | 9.2 m | 8.4 m | 8.5 m | 8.5 m | 8.0 m | 14.1 m | 13.7 m |
| Pre-tax income | 53.7 m | 50.9 m | 56.8 m | 76.7 m | 71.7 m | 61.0 m | 61.2 m | 82.8 m |
| Income tax | 9.9 m | 10.8 m | 12.1 m | 16.8 m | 16.9 m | 13.0 m | 12.8 m | 18.9 m |
| Net income | 43.8 m | 40.1 m | 44.7 m | 59.9 m | 54.8 m | 48.0 m | 48.4 m | 63.9 m |
| Diluted EPS | 0.52 | 0.48 ≈ | 0.54 | 0.72 | 0.66 | 0.59 ≈ | 0.59 | 0.78 |
| Operating cash flow | 70.7 m ≈ | 20.0 m | 28.7 m | 44.4 m ≈ | 82.1 m ≈ | 47.5 m | 38.1 m | 77.8 m ≈ |
| Capex | 16.4 m ≈ | 10.0 m | 12.4 m | 12.0 m ≈ | 13.2 m ≈ | 16.3 m | 12.6 m | 13.0 m ≈ |
| Dividends paid | 4.2 m ≈ | 4.1 m | 4.1 m | 4.2 m ≈ | 4.4 m ≈ | 4.6 m | 4.4 m | 4.6 m ≈ |
| Share repurchases | 10.0 m ≈ | 10.0 m | 10.0 m | 20.1 m ≈ | 29.7 m ≈ | 900.0 k | 7.3 m | 13.0 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 69 percentile of its own 13-quarter history (min 9.9, median 16.6, max 22.2; quarters with earnings only).
Fiscal years
| Fiscal year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | 1.4 bn | 1.6 bn | 1.6 bn | 1.7 bn | 1.8 bn |
| Revenue YoY | unavailable | +8.6% | +4.2% | +2.5% | +5.7% |
| Net income | 170.1 m | 170.4 m | 171.3 m | 185.6 m | 207.4 m |
| Net income YoY | unavailable | +0.2% | +0.5% | +8.3% | +11.7% |
| Diluted EPS | 2.04 | 2.05 | 2.05 | 2.22 | 2.50 |
| Diluted EPS YoY | unavailable | +0.5% | 0.0% | +8.3% | +12.6% |
| net % | 11.8% | 10.9% | 10.5% | 11.1% | 11.8% |
| Free cash flow | 176.5 m | 128.2 m | 143.2 m | 56.8 m | 148.8 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 236.4 m USD
- Financial debt
- 570.0 m USD
- Net debt
- 333.6 m USD
- Equity
- 378.5 m USD
- Total assets
- 1.4 bn USD
- Debt / equity
- 1.51x
- Current ratio
- 2.42x
- ROE
- 68.5%
- ROA
- 16.3%
- FCF margin
- 8.4%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|
| Revenue | 1.4 bn | 1.6 bn | 1.6 bn | 1.7 bn | 1.8 bn | SEC (XBRL)· 13 Feb 2026verified |
| Cost of revenue | 1.1 bn | 1.2 bn | 1.2 bn | 1.2 bn | 1.3 bn | SEC (XBRL)· 13 Feb 2026verified |
| Gross profit | 349.3 m | 359.2 m | 432.7 m | 462.1 m | 498.3 m | SEC (XBRL)· 13 Feb 2026verified |
| Research & development | 42.0 m | 38.6 m | 42.5 m | 40.6 m | 40.7 m | SEC (XBRL)· 13 Feb 2026verified |
| SG&A | 126.2 m | 139.7 m | 174.7 m | 187.6 m | 184.3 m | SEC (XBRL)· 13 Feb 2026verified |
| Operating income | 213.5 m | 203.9 m | 248.4 m | 266.2 m | 299.0 m | SEC (XBRL)· 13 Feb 2026verified |
| Depreciation & amortisation | 21.6 m | 21.6 m | 21.5 m | 24.8 m | 30.0 m | SEC (XBRL)· 13 Feb 2026verified |
| EBITDA | 235.1 m ≈ | 225.5 m ≈ | 269.9 m ≈ | 291.0 m ≈ | 329.0 m ≈ | SEC (XBRL)· 13 Feb 2026derived |
| Interest expense | 800.0 k | 700.0 k | 25.8 m | 40.6 m | 33.4 m | SEC (XBRL)· 13 Feb 2026verified |
| Pre-tax income | 216.6 m | 212.0 m | 226.4 m | 234.8 m | 266.2 m | SEC (XBRL)· 13 Feb 2026verified |
| Income tax | 46.5 m | 41.6 m | 55.1 m | 49.2 m | 58.8 m | SEC (XBRL)· 13 Feb 2026verified |
| Net income | 170.1 m | 170.4 m | 171.3 m | 185.6 m | 207.4 m | SEC (XBRL)· 13 Feb 2026verified |
| Diluted EPS | 2.04 | 2.05 | 2.05 | 2.22 | 2.50 | SEC (XBRL)· 13 Feb 2026verified |
| Weighted average diluted shares | 83.3 m | 83.3 m | 83.4 m | 83.6 m | 82.8 m | SEC (XBRL)· 13 Feb 2026verified |
| Dividend per share | — | — | — | 0.10 | 0.21 | SEC (XBRL)· 13 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|
| Cash | 0 | 0 | 168.0 m | 184.3 m | 236.4 m | SEC (XBRL)· 13 Feb 2026verified |
| Receivables | — | 174.2 m | 246.8 m | 254.2 m | 274.8 m | SEC (XBRL)· 01 May 2026verified |
| Inventories | — | 245.0 m | 250.0 m | 266.6 m | 282.3 m | SEC (XBRL)· 13 Feb 2026verified |
| Current assets | — | 500.3 m | 693.0 m | 755.0 m | 892.4 m | SEC (XBRL)· 13 Feb 2026verified |
| Property, plant & equipment, net | — | 148.4 m | — | — | — | SEC (XBRL)· 09 Aug 2023verified |
| Goodwill | — | 84.7 m | 84.7 m | 84.7 m | 84.7 m | SEC (XBRL)· 13 Feb 2026verified |
| Intangibles (excl. goodwill) | — | — | — | — | 0 | SEC (XBRL)· 01 May 2026verified |
| Total assets | — | 867.4 m | 1.1 bn | 1.2 bn | 1.4 bn | SEC (XBRL)· 13 Feb 2026verified |
| Accounts payable | — | 145.9 m | 236.6 m | 193.1 m | 201.9 m | SEC (XBRL)· 13 Feb 2026verified |
| Short-term debt | — | 0 | 7.5 m | 22.5 m | 30.0 m | SEC (XBRL)· 13 Feb 2026verified |
| Long-term debt | — | 0 | 592.5 m | 570.0 m | 540.0 m | SEC (XBRL)· 13 Feb 2026verified |
| Current liabilities | — | 331.0 m | 375.0 m | 344.9 m | 368.2 m | SEC (XBRL)· 13 Feb 2026verified |
| Total liabilities | — | 411.8 m | 1.0 bn | 962.9 m | 972.2 m | SEC (XBRL)· 13 Feb 2026verified |
| Equity | 427.6 m † | 455.6 m | 80.7 m | 227.4 m | 378.5 m | SEC (XBRL)· 13 Feb 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|
| Operating cash flow | 209.9 m | 165.7 m | 189.0 m | 105.4 m | 202.7 m | SEC (XBRL)· 13 Feb 2026verified |
| Capex | 33.4 m | 37.5 m | 45.8 m | 48.6 m | 53.9 m | SEC (XBRL)· 13 Feb 2026verified |
| Free cash flow | 176.5 m ≈ | 128.2 m ≈ | 143.2 m ≈ | 56.8 m ≈ | 148.8 m ≈ | SEC (XBRL)· 13 Feb 2026derived |
| Investing cash flow | -33.4 m | -37.5 m | -45.8 m | -48.6 m | -53.9 m | SEC (XBRL)· 13 Feb 2026verified |
| Financing cash flow | -176.5 m | -128.2 m | 24.8 m | -35.8 m | -101.7 m | SEC (XBRL)· 13 Feb 2026verified |
| Dividends paid | — | 0 | 0 | 8.3 m | 17.3 m | SEC (XBRL)· 13 Feb 2026verified |
| Share repurchases | — | 0 | 0 | 20.0 m | 60.7 m | SEC (XBRL)· 13 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 56 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 3.9 bn USD
Key indicators
Coverage and freshness
Score by group
- Valuation36
- Returns55
- Quality94
- Balance sheet54
- Growth40
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 19.64 – 57.13 USD.
Methods computed but outside the aggregate range: Dividend discount (DDM) (a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate).
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)31.46 – 57.13 (Mid 41.03)WACC 8.4% · starting FCFF 224.8 m USD · terminal value share of EV 76%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): 9.8%
- Peers: EV/EBITDA19.64 – 25.58 (Mid 23.20)12 companies used · median multiple 7.2x · quartiles 6.4x – 7.8xALV, APTV, BWA, CPS, DCH, GNTX, LCII, LEA, MOD, PATK, PHIN, SMP
- Peers: P/E30.00 – 54.10 (Mid 39.46)19 companies used · median multiple 15.1x · quartiles 11.5x – 20.6xADNT, ALSN, ALV, APTV, BWA, CAAS, DAN, DORM, GNTX, GTX, HLLY, LCII, LEA, MGA, PATK, PHIN, SMP, STRT, VC
- Dividend discount (DDM)outside the aggregate2.76 – 3.71 (Mid 3.17)a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 56/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 26.6% | 100 (vs peers) | 10% |
| Net margin · Quality | 11.3% | 94 (vs peers) | 6% |
| FCF conversion · Quality | 88.5% | 84 (on a fixed band) | 6% |
| Revenue CAGR 3Y · Growth | 4.1% | 35 (on a fixed band) | 8% |
| EPS CAGR 3Y · Growth | 6.8% | 46 (on a fixed band) | 8% |
| Net debt / EBITDA · Balance sheet | 2.0x | 13 (vs peers) | 10% |
| Interest coverage · Balance sheet | 7.4x | 90 (on a fixed band) | 6% |
| Current ratio · Balance sheet | 2.7x | 100 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 18.3x | 38 (vs peers) | 10% |
| EV/EBITDA · Valuation | 12.7x | 13 (vs peers) | 10% |
| FCF yield · Valuation | 4.9% | 61 (on a fixed band) | 8% |
| Shareholder yield (distributions) · Returns | 1.8% | 25 (on a fixed band) | 6% |
| Payout ratio (FCF) · Returns | 9.5% | 100 (on a fixed band) | 4% |
Score groups
- Balance sheet54/100 · 3/3 factors with a value
- Growth40/100 · 2/2 factors with a value
- Quality94/100 · 3/3 factors with a value
- Returns55/100 · 2/2 factors with a value
- Valuation36/100 · 3/3 factors with a value
Memo
Atmus Filtration Technologies Inc. (ATMU). Latest full fiscal year: 2025; data up to 2026-06-30.
Figures computed from the financial statements: revenue 1.8 bn USD in 2025; YoY growth 5.7%; net margin 11.3%; ROE 55.8%; net debt/EBITDA 2.0x.
The estimated value range is 30.00–54.10 USD per share (median of 3 methods, agreement: medium); assumptions are illustrative. Against the central value of 39.46 USD, the price of 47.83 USD leaves a potential of -17.5% (value / price − 1) and a margin of safety of -21.2% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 56/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- ROIC: 26.6%
- Net margin: 11.3%
- FCF conversion: 88.5%
- Interest coverage: 7.4x
- Current ratio: 2.7x
- Payout ratio (FCF): 9.5%
What contradicts it
- Net debt / EBITDA: 2.0x
- EV/EBITDA: 12.7x
- Shareholder yield (distributions): 1.8%
Versus the vertical median
Motor Vehicle Parts & Accessories (SIC 3714) · same industry (4-digit SIC) · compared with 34 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| MGAMagna International Inc. | 18.4 bn | 22.4 | 6.9% | 2.0% | −1.9% | +34% / +22% |
| BWABorgwarner Inc. | 10.1 bn | 21.5 | 8.2% | 3.4% | +1.6% | +17% / +50% |
| ALSNAllison Transmission Holdings, Inc. | 9.9 bn | 17.4 | 29.7% | 11.1% | −6.7% | +36% / +125% |
| ALVAutoliv, Inc. | 9.0 bn | 15.1 | 24.8% | 5.6% | +4.1% | +7% / +21% |
| APTVAptiv PLC | 8.8 bn | 11.9 | 8.5% | 4.6% | +3.5% | −44% / −48% |
| LEALear Corp | 5.7 bn | 10.4 | 11.6% | 2.5% | −0.2% | +11% / −11% |
| MODModine Manufacturing Co | 5.2 bn | 41.3 | 11.4% | 3.6% | +23.1% | −39% / +100% |
| GNTXGentex Corporation | 4.4 bn | 11.0 | 16.4% | 15.5% | +9.6% | −9% / −32% |
| DORMDorman Products, Inc. | 4.2 bn | 21.2 | 13.3% | 9.3% | +6.0% | +8% / +98% |
| ATMUAtmus Filtration Technologies Inc. | 3.9 bn | 18.3 | 55.8% | 11.3% | +5.7% | +4% / +135% |
| GTXGarrett Motion Inc. | 3.6 bn | 10.1 | — | 10.0% | +3.1% | +20% / +167% |
| PATKPatrick Industries Inc | 2.7 bn | 20.1 | 13.0% | 3.7% | +6.3% | −22% / +55% |
| PHINPhinia Inc. | 2.6 bn | 14.5 | 12.2% | 5.2% | +2.4% | +33% / +181% |
| DANDana Incorporated | 2.6 bn | 2.4 | 71.4% | 14.6% | −3.0% | +6% / +80% |
| LCIILci Industries | 2.5 bn | 12.1 | 15.0% | 5.2% | +10.2% | −8% / −4% |
| VCVisteon Corp | 2.0 bn | 13.8 | 10.8% | 4.1% | −2.5% | −22% / −32% |
| THRMGentherm Incorporated | 1.6 bn | 105.3 | 1.3% | 0.6% | +2.9% | −13% / −32% |
| ADNTAdient plc | 1.3 bn | 28.5 | 2.7% | 0.3% | −1.0% | −12% / −47% |
| DCHDauch Corporation | 1.1 bn | — | -15.2% | -2.0% | −4.7% | −27% / −31% |
| SMPStandard Motor Products, Inc. | 1.0 bn | 15.1 | 9.9% | 3.8% | +22.4% | +22% / +28% |
| AEVAAeva Technologies, Inc. | 661.5 m | — | — | -150.1% | +99.4% | −15% / +240% |
| CPSCooper-Standard Holdings Inc. | 391.6 m | — | — | -2.0% | +0.4% | −29% / +24% |
| HLLYHolley Inc. | 351.6 m | 35.3 | 2.3% | 1.7% | +1.9% | −32% / −30% |
| KNDIKandi Technologies Group, Inc. | 287.8 m | — | -30.5% | -107.4% | −31.5% | −63% / −88% |
| STRTStrattec Security Corp | 258.5 m | 15.6 | 7.2% | 2.9% | +2.5% | −14% / +201% |
1- and 3-year price returns: for ATMU from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 28.34 Total return -40% · Per year -40% | 50.11 Total return 5% · Per year 5% | 75.50 Total return 58% · Per year 58% |
| 3 years | 27.31 Total return -42% · Per year -17% | 54.35 Total return 15% · Per year 5% | 89.93 Total return 90% · Per year 24% |
| 5 years | 26.31 Total return -43% · Per year -11% | 58.94 Total return 26% · Per year 5% | 107.12 Total return 127% · Per year 18% |
- Exit P/E± 13.59
- Net margin± 9.51
- Annual revenue growth± 7.83
- Annual dilution± 0.80
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Atmus Filtration Technologies makes filtration products for commercial vehicles and off-highway equipment under the Fleetguard brand, and has expanded into industrial filtration through the Koch Filter acquisition. Most of its revenue is recurring from the aftermarket, and it raised its 2026 guidance in August 2026 12. Net sales for fiscal 2025 reached 1,764.3 million USD 1.
SWOT
Strengths
Weaknesses
Opportunities
- Expansion into industrial filtration, including data centers and power generation, could diversify revenue sources 12.
- Price increases and acquisitions could keep supporting sales if the guidance holds 2.
- Development of filtration for electric vehicles and hydrogen production could open new markets 1.
Risks
- Customer concentrationhigh
A small number of major customers account for a large share of sales, and losing one of them would have a significant adverse effect 1.
- Income from entities not controlledmedium
A large part of profit comes from the joint ventures in China and India, which the company does not control directly 1.
- Technology transitionhigh
The move to electric vehicles and other technologies could reduce demand for current products, since sales are tied to internal combustion engines 1.
- Debt and pledged assetsmedium
The company carries significant debt, and substantially all assets are pledged for its credit facilities, which could limit financial flexibility 1.
- Tariffs and international trademedium
Changes in tariffs and trade policy could raise costs and affect international operations 12.
Investment thesis
What would need to be true (bull case)
- Record second-quarter 2026 sales and raised guidance suggest the Koch Filter acquisition and higher prices could sustain growth 2.
- The high share of recurring aftermarket sales provides a stable revenue base even when first-fit demand declines 1.
- Expansion into industrial filtration and data center segments could diversify the company over the longer term 12.
What would break the thesis
- Aftermarket demand remains soft, and the company expects only slow market growth in 2026, which could limit organic growth 1.
- Customer concentration and reliance on a few large manufacturers could amplify negative effects if a major customer reduces orders 1.
- The shift to electrification could gradually reduce demand for internal combustion engine filters, which make up nearly all sales 1.
What to watch
- Quarterly results and whether annual guidance for sales and Adjusted EBITDA margin is metQ3 2026
- Trends in aftermarket and first-fit demand within Power Solutions2026
- Integration of Koch Filter and the contribution of the Industrial Solutions segmentQ4 2026
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Atmus designs and manufactures advanced filtration products, mainly under the Fleetguard brand, for on-highway trucks and buses and for off-highway agriculture, construction, mining and power generation equipment 1. Aftermarket sales represented about 86% of net sales in 2025, giving the company a strong recurring revenue base, while first-fit sales to original equipment manufacturers made up the rest 1. The company operates two segments: Power Solutions, serving global on- and off-highway markets through Fleetguard, and Industrial Solutions, focused on commercial and industrial HVAC, data centers and power generation through the Koch Filter brand 2.
Market context
The aftermarket remained soft throughout 2025, and the company expects the slow growth in global aftermarkets to continue into 2026, while first-fit demand is expected to stay at reduced levels 1. About 46% of 2025 net sales came from outside the United States and Canada, exposing the company to currency and conditions in other regions 1. Even so, second-quarter 2026 sales rose 16.4% year over year, helped by the acquisition, pricing and higher volumes 2.
The engine filtration market is led by a few global players, with the rest fragmented among specialized and regional suppliers 1. The recurring revenue model and the mission-critical role of filters support steady demand across regions and end markets 1. Over the longer term, the shift toward electric vehicles and other power sources could reduce demand for internal combustion engines, a major source of uncertainty 1.
Trends
- Weak aftermarket demandheadwind
Aftermarket demand stayed soft in 2025 and the company expects only slow growth in global aftermarkets in 2026 1. This limits organic growth potential if the trend persists.
- Acquisition and pricing supporttailwind
Second-quarter 2026 sales were supported by the Koch Filter acquisition, higher prices and higher volumes, and the company raised its annual guidance 2. If these effects hold, they could support results in the second half of the year.
- Shift to electrificationmixed
The move toward battery-electric vehicles, hydrogen engines and other power sources could reduce demand for current products, since sales are tied to internal combustion engines 1. The company is investing in filtration for electric vehicles and hydrogen production 1.
- Logistics costs and tariffsheadwind
Logistics costs rose in 2025 due to the move to a standalone distribution network and the impact of tariffs, and further tariffs could add pressure on margins 1.
Competitive position
Key global competitors in engine filtration named by the company are MANN+HUMMEL, Donaldson, Parker and MAHLE 1. The market remains fragmented, and smaller regional players focus mainly on the aftermarket 1. Atmus says it is a market leader in many product lines, based on its technology, the Fleetguard brand and its global footprint 1.
The main competitive factors are product quality and performance, price, geographic and application coverage, availability and customer service 1. The company could lose business if it fails to meet customer expectations, and larger competitors may have greater resources 1.
- MANN+HUMMEL
Key global player in engine filtration, named by the company among its main competitors 1.
- DonaldsonDCI
Key global player in engine filtration, named by the company among its main competitors 1.
- ParkerPH
Key global player in engine filtration, named by the company among its main competitors 1.
- MAHLE
Key global player in engine filtration, named by the company among its main competitors 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Here’s What Pressured Atmus Filtration Technologies (ATMU) in Q2Yahoo Finance — News · 01 Sept 2026 · EN
The latest news item in our archive is from 01 Sept 2026; the newest SEC filing is from 26 Oct 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Current report26 Oct 2026Departure or appointment of officers
- Current report14 Aug 2026Regulation FD disclosure · Financial statements and exhibits
- Quarterly report07 Aug 2026
- Current report07 Aug 2026Results of operations · Financial statements and exhibits
- Current report13 May 2026Regulation FD disclosure · Financial statements and exhibits
- Current report12 May 2026Shareholder vote
- Current report11 May 2026Departure or appointment of officers
- Quarterly report01 May 2026
- Current report01 May 2026Results of operations · Financial statements and exhibits
- Proxy statement30 Mar 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Atmus Filtration Technologies Inc. · 13 Feb 2026
- [2] Form 8-K, results release (exhibit 99.1) · SEC / Atmus Filtration Technologies Inc. · 07 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.