- ATI's Q4 total revenues were down by 35.4%, which looks only marginally better than in Q3, which was overshadowed by an over 41% decline.
- There is almost no hope that the recovery in commercial aerospace will begin earlier than in the second half of 2021.
- The company booked hefty restructuring expenses, which took a toll on the GAAP profit but not on cash flows.
- I am now neutral on ATI, but my downgrade has nothing to do with its horrible accounting loss. The key reason is that the stock has already delivered spectacular returns and future gains look less certain.
For further details see:
Allegheny Technologies: I Am Neutral Now