(ALTO) Alto Ingredients - Ratings and Ratios

Alto Ingredients, Inc. operates as a specialty ingredients and renewable fuels producer, serving diverse markets across the United States. The company, rebranded from Pacific Ethanol in 2021, specializes in the production and distribution of high-purity specialty alcohols, fuel-grade ethanol, and essential ingredients derived from corn and other grains. Its product portfolio caters to health, beauty, food, beverage, industrial, and agricultural sectors. The company’s production facilities, including its Pekin Campus, are equipped to manufacture grain neutral spirits, corn germ, and distillers corn oil, which are used in alcoholic beverages, vinegar, biodiesel, and other applications. Additionally, Alto Ingredients provides essential ingredients such as dried yeast, corn protein meal, and distillers grains for the animal feed and pet food industries. The company also offers transportation and logistics services through third-party providers to ensure efficient delivery of its products to customers, including oil companies, feedlots, and renewable energy producers.

Alto Ingredients generates revenue through three primary segments: Marketing and Distribution, Pekin Campus Production, and Western Production. Its operations are supported by a network of production facilities and distribution channels, enabling the company to maintain a competitive position in the specialty alcohol and renewable fuels market. With a focus on sustainability and efficiency, Alto Ingredients aims to align its production processes with growing demand for bio-based products and renewable energy solutions.

3-Month Forecast - Technical Outlook: The stock is currently trading below its 20-day and 50-day moving averages, indicating short-term bearish momentum. However, its price is slightly above the 200-day moving average, suggesting potential support at the $1.55 level. With an ATR of 0.11, volatility is expected to remain low, leading to a possible sideways trading range between $1.33 and $1.55. - Fundamental Outlook: The company’s forward P/E of 4.76 signals expectations of earnings growth, but the current P/E of 0 and negative RoE of -13.72 raise concerns about profitability. The low P/B ratio of 0.47 and P/S of 0.12 indicate undervaluation relative to book value and sales, which could attract value investors. However, the lack of profitability may limit upside potential in the near term. - Overall: The stock is likely to remain range-bound over the next three months, with potential for slight downside if earnings fail to meet expectations. Support at $1.40 and resistance at $1.60 are key levels to watch.