Amentum Holdings, Inc. (AMTM)

Price$20.17Cached quoteAs of 2026-09-04 16:23 UTC

AI: Undervalued

Price checkThe shares look undervalued because cash flow, backlog, and debt reduction outweigh slow near-term revenue growth.

Amentum's market value is about $4.9 billion. Updated guidance of $2.40-$2.50 in adjusted earnings per share puts the shares near eight times the midpoint, while $525-$575 million of expected free cash flow implies an equity cash yield above 11%. Enterprise value is roughly seven times guided adjusted operating profit before depreciation. Those are inexpensive multiples for a business with a $48.2 billion backlog, although slower revenue growth and government-contract execution risks justify some discount.

Big pictureMargins and cash generation are improving, but reported growth still reflects the large merger.

The supplied history shows fiscal 2025 revenue of $14.39 billion, operating cash flow of $543 million and free cash flow of roughly $516 million after capital spending. Revenue had jumped from $8.39 billion in fiscal 2024 because of the Jacobs-related combination, so year-to-year comparisons remain distorted. In the latest quarter, revenue fell 2%, yet adjusted operating profit before depreciation rose 6% and free cash flow reached $135 million, showing better profitability despite softer sales.

Business strengthA huge backlog and falling debt support resilience, while share dilution has recently been minimal.

Quarter-end backlog was $48.2 billion and trailing twelve-month book-to-bill was 1.3 times, meaning new awards exceeded revenue recognized. Debt declined from roughly $4.68 billion after the 2024 combination to $3.83 billion by July 2026, while cash reached $459 million, making debt reduction the clearest capital-allocation priority. Shares outstanding have stayed near 244 million since the combination, so recent dilution has been small. The main constraint is still leverage, with net debt around three times guided adjusted operating profit before depreciation.

What could change the storyFaster contract conversion could unlock upside; persistent revenue softness would weaken the valuation case.

The bull case is that recently won NASA, defense, nuclear and digital-infrastructure work converts the large backlog into renewed organic growth while margins remain near recent highs. The bear case is continued contract transitions, delayed government spending or joint-venture accounting changes keeping reported revenue flat even as costs rise. Management already lowered 2026 revenue guidance to $13.8-$13.95 billion while raising profit guidance. Sustained revenue growth above low single digits alongside further debt reduction would make today's inexpensive valuation considerably more compelling.

AI: News

Revenue outlook cutA strong profit beat was overshadowed by softer revenue guidance, prompting a sharp share-price decline.

On August 10, Amentum reported $3.49 billion of quarterly revenue, down 2%, adjusted operating profit before depreciation of $290 million and adjusted earnings of $0.67 per share. Management lowered full-year revenue guidance to $13.8-$13.95 billion but raised adjusted earnings guidance. Shares fell about 8.2% the next regular session on volume well above normal. The timing strongly suggests the weaker revenue outlook mattered, though it does not prove that was the only cause.

NASA contract securedA nearly billion-dollar NASA award strengthened long-term backlog, although the initial stock enthusiasm faded.

On August 20, Amentum announced a $974 million, ten-year NASA Langley maintenance, operations and engineering contract covering research infrastructure, laboratories and engineering support. Shares rose about 3.1% in premarket trading, but finished the regular session roughly 2% lower during a broadly weak market. The award was already reflected in third-quarter backlog after a contract protest was resolved, so its incremental financial impact was less surprising than the headline value suggested.

AI energy project selectedA federal AI infrastructure selection opened a potentially large growth avenue beyond traditional government services.

On July 20, the Department of Energy selected Amentum to enter negotiations for a phased Savannah River Site development featuring a one-gigawatt artificial-intelligence data center supported by roughly two gigawatts of power generation. The project is not yet a finalized contract, so its eventual economics remain uncertain. Amentum shares rose about 2.3% that day while major U.S. indexes declined, making a positive company-specific reaction plausible without proving direct causation.

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Revenue

2022

2023

2024

2025

Net income

2022

2023

2024

2025

Free cash flow

2022

2023

2024

2025

Total cash / debt

CashTotal debt

2022

2023

2024

2025

Financial statements

	2025	2024	2023	2022
Revenue	$14.39B	$8.39B	$7.87B	$7.68B
Gross profit	$1.51B	$798.0M	$782.0M	$771.0M
Gross margin	10.51%	9.51%	9.94%	10.04%
Operating expenses	$1.03B	$507.0M	$725.0M	$650.0M
Operating income	$480.0M	$291.0M	$57.0M	$121.0M
Operating margin	3.33%	3.47%	0.72%	1.58%
EBITDA	$999.0M	$542.0M	$382.0M	$413.0M
EBITDA margin	6.94%	6.46%	4.86%	5.38%
Net income	$66.0M	−$82.0M	−$314.0M	−$84.0M
Net profit margin	0.46%	−0.98%	−3.99%	−1.09%
Basic EPSper basic share	$0.27	-$0.90	-$3.49	-$0.93
Diluted EPSper diluted share	$0.27	-$0.90	-$3.49	-$0.93

Review official source filings ↗

Owners

Reported shareholders

Reference date Jun 30, 2026

Reported holdings Number of shares

View holders

Top 20 reported holders of AMTM
Holder	Shares held
GOLDBERG ALAN E	45.03M
AMERICAN SECURITIES LLC	45.03M
Lindsay Goldberg IV L.P. / LG GP Holding IV LLC / Lindsay Goldberg GP IV LLC / Lindsay Goldberg IV - A L.P. / Goldberg 2020 LLC / Lindsay Goldberg GP V LLC / Goldberg 2014 LLC / Lindsay Goldberg IV - PCF L.P. / LG GP Holding V LLC / Lindsay Goldberg Co-Inv. IV L.P.	45.03M
Lindsay Goldberg V L.P. / LG Amentum Holdings LP / LG Co-Inv. A L.P. / Lindsay Goldberg Employee Co-Inv. IV L.P. / Lindsay Goldberg Maverick Co-Inv. L.P. / LG Amentum Holdings GP LLC	45.03M
Invesco Ltd.	24.95M
BlackRock, Inc.	17.91M
PRIMECAP MANAGEMENT CO/CA/	12.29M
Legacy Advisors, LLC	9.07M
VANGUARD PORTFOLIO MANAGEMENT LLC	7.95M
VANGUARD CAPITAL MANAGEMENT LLC	6.71M
FMR LLC	5.68M
DIMENSIONAL FUND ADVISORS LP	5.54M
STATE STREET CORP	5.15M
FRONTIER CAPITAL MANAGEMENT CO LLC	4.14M
Troluce Capital Advisors LLC	3.57M
GEODE CAPITAL MANAGEMENT, LLC	2.72M
GOLDMAN SACHS GROUP INC	2.71M
MORGAN STANLEY	2.66M
MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd.	2.32M
THOMPSON SIEGEL & WALMSLEY LLC	2.28M

Bars compare reported share counts. A matching total for this share class and reporting period is unavailable, so percentages are not shown.

Source: SEC Form 4 ↗Updated Sep 29, 2026 · Quarterly data

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys2$2.18M disclosed value

Sells (SEC code S)0$0.00 disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
Feb 18, 2025Form 4	Loughran BarbaraDirector	BuyCommon Stock	4.6K	$21.23	$97.7K	4.6K
Feb 12, 2025Form 4	DEMETRIOU STEVEN J.Executive Chair	BuyCommon Stock	100.0K	$20.81	$2.08M	620.9K

Review ownership filings at SEC.gov ↗

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Amentum Holdings, Inc. (AMTM)

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