Download PDF

1. Company Snapshot

1.a. Company Description

AstroNova, Inc.designs, develops, manufactures, and distributes specialty printers, and data acquisition and analysis systems in the United States, Europe, Asia, Canada, Central and South America, and internationally.The company operates in two segments, Product Identification (PI) and Test & Measurement (T&M).


The PI segment offers tabletop and production-ready digital color label printers, and OEM printing systems under the QuickLabel brand; digital color label mini-presses and inline printing systems under the TrojanLabel brand; and label materials, tags, inks, toners, and thermal transfer ribbons under the GetLabels brand.This segment also develops and licenses various specialized software programs to design and manage labels and print images; and provides training and support.This segment serves chemicals, cosmetics, food and beverage, medical products, pharmaceuticals, and other industries; and brand owners, label converters, commercial printers, and packaging manufacturers.


The T&M segment offers airborne printing solutions, such as ToughWriter used to print hard copies of navigation maps, arrival and departure procedures, flight itineraries, weather maps, performance data, passenger data, and various air traffic control data; ToughSwitch, an ethernet switches used to connect multiple computers or Ethernet devices; TMX data acquisition systems; Daxus DXS-100 distributed data acquisition platform; SmartCorder DDX100 portable data acquisition systems for facility maintenance and field testing; and Everest EV-500, a digital strip chart recording system used primarily in telemetry applications.This segment serves aerospace and defense, automotive, commercial airline, energy, manufacturing, and transportation industries.The company was formerly known as Astro-Med, Inc.


and changed its name to AstroNova, Inc.in May 2016.AstroNova, Inc.


was incorporated in 1969 and is headquartered in West Warwick, Rhode Island.

Show Full description

1.b. Last Insights on ALOT

AstroNova's recent performance was negatively driven by margin pressures, integration challenges, and delayed launches, particularly in its Product Identification (PI) segment. The company's Q3 earnings highlighted a 7.7% revenue growth, but this was offset by declining profitability. The integration of MTEX, a recent acquisition, continues to face challenges, and customer delays have further impacted results. Although the Technical and Medical (T&M) segment performed well, the PI segment's struggles will likely persist in the near term.

1.c. Company Highlights

2. AstroNova's Q3 FY2026 Earnings: A Stronger Performance

AstroNova reported a net income of $400,000 or 5¢ per share, with the actual EPS coming in at $0.18, beating estimates of $0.12. The company's gross profit was $14.2 million, up 3.5% year-over-year, and gross margin expanded 240 basis points. The revenue growth was driven by the Product ID segment, with sales of mill and sheet flat pack printer business increasing 14% and legacy desktop label printers rising nearly 5%.

Publication Date: Dec -20

📋 Highlights
  • Product ID Segment Growth:: Revenue growth driven by 14% increase in mill/sheet flat pack printer sales and 5% rise in legacy desktop label printer sales.
  • Aerospace Orders Surge:: 24% year-over-year order growth, with ToughRider shipments exceeding 80% of flight deck printers.
  • Gross Profit Expansion:: $14.2M gross profit (+3.5% YoY) and 240-basis-point margin improvement due to productivity and mix shifts.
  • Aerospace Operating Income:: $4.5M operating income (+39% YoY), aided by $300K inventory true-up benefit.
  • Cash Flow Strength:: $3.4M in operating cash flow for 2026, with CapEx under $500K for the year.

Segment Performance

The Product ID segment delivered year-over-year revenue growth, supported by improved execution across the business. In aerospace, AstroNova maintained its leading market position with major aircraft manufacturers and continued to transition customers to its ToughRider product family, with shipments exceeding 80% of total flight deck printers in the quarter. Orders increased 24% year-over-year, driven by improving production schedules at major OEMs.

Cash Generation and Guidance

AstroNova had a strong quarter of cash generation, with cash provided from operations being $3.4 million, up from the prior year. The company is reiterating its guidance for the full year fiscal 2026, expecting to deliver full-year revenue of $149 million to $154 million and adjusted EBITDA margin to be in the 7.5% to 8.5% range. As per the management, "AstroNova is a very capital-light business, with CapEx year-to-date being $200,000 and expected to be less than $500,000 for the full year."

Valuation and Outlook

With a P/E Ratio of -3.68 and P/S Ratio of 0.41, the market seems to have priced in the challenges faced by the company. However, the Free Cash Flow Yield of 16.65% is attractive. Analysts estimate next year's revenue growth at 0.0%, indicating a challenging environment. Despite this, AstroNova's efforts to improve customer engagement, strengthen operational performance, and build a culture of accountability and urgency are expected to drive a stronger performance.

3. NewsRoom

Card image cap

Contrasting Qfin (NASDAQ:QFIN) and AstroNova (NASDAQ:ALOT)

Feb -14

Source: defenseworld.net

Card image cap

AstroNova (NASDAQ:ALOT) Stock Price Crosses Below 200 Day Moving Average – Should You Sell?

Feb -10

Source: defenseworld.net

Card image cap

AstroNova, Inc. (NASDAQ:ALOT) Sees Large Growth in Short Interest

Feb -01

Source: defenseworld.net

Card image cap

AstroNova, Inc. (NASDAQ:ALOT) Sees Large Decrease in Short Interest

Jan -19

Source: defenseworld.net

Card image cap

Transcript: AstroNova Q4 2025 Earnings Conference Call

Jan -06

Source: feeds.benzinga.com

Card image cap

AstroNova Q3: Advancing Toward Financial Stability

Dec -24

Source: seekingalpha.com

Card image cap

AstroNova's Q3 Earnings Climb Y/Y on ToughWriter Printer Growth

Dec -16

Source: zacks.com

Card image cap

AstroNova, Inc. (ALOT) Q3 2026 Earnings Call Prepared Remarks Transcript

Dec -10

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (13.78%)

6. Segments

Product Identification

Expected Growth: 12%

AstroNova's 12% growth in Product Identification is driven by increasing demand for labels and tags in the e-commerce and healthcare industries, as well as the company's expanding presence in emerging markets. Additionally, the company's focus on innovation, including the development of new products and technologies, has contributed to its growth.

Test & Measurement

Expected Growth: 18%

AstroNova's Test & Measurement segment growth is driven by increasing demand for product verification and validation in the aerospace, defense, and industrial markets. The company's expertise in data acquisition and visualization, as well as its ability to provide customized solutions, are key factors contributing to its 18% growth.

7. Detailed Products

Product Identification and Tracking

AstroNova's product identification and tracking solutions provide a range of products and services to help businesses track and identify their products throughout the supply chain.

Digital Printing and Finishing

AstroNova's digital printing and finishing solutions offer a range of products and services for printing and finishing labels, tags, and other materials.

Test and Measurement

AstroNova's test and measurement solutions provide a range of products and services for testing and measuring various parameters such as temperature, pressure, and vibration.

Data Acquisition and Recording

AstroNova's data acquisition and recording solutions provide a range of products and services for acquiring and recording data from various sources.

8. AstroNova, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

AstroNova, Inc. operates in a niche market with limited substitutes, but the threat of substitutes is still present due to the evolving nature of the industry.

Bargaining Power Of Customers

AstroNova, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products are often customized, making it difficult for customers to switch to alternative suppliers.

Bargaining Power Of Suppliers

AstroNova, Inc. relies on a few key suppliers for critical components, which gives them some bargaining power. However, the company's long-term relationships with suppliers and its ability to negotiate prices mitigate this risk.

Threat Of New Entrants

The barriers to entry in AstroNova, Inc.'s industry are relatively high, including significant capital requirements and the need for specialized expertise. This limits the threat of new entrants.

Intensity Of Rivalry

AstroNova, Inc. operates in a highly competitive industry with several established players, leading to intense rivalry. The company must continually innovate and improve its products to maintain its market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 22.24%
Debt Cost 6.92%
Equity Weight 77.76%
Equity Cost 6.92%
WACC 6.92%
Leverage 28.60%

11. Quality Control: AstroNova, Inc. passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Cricut

A-Score: 6.0/10

Value: 6.8

Growth: 6.3

Quality: 7.8

Yield: 10.0

Momentum: 2.0

Volatility: 3.3

1-Year Total Return ->

View Full Report
Stock-Card
Rigetti Computing

A-Score: 4.3/10

Value: 6.0

Growth: 4.8

Quality: 4.5

Yield: 0.0

Momentum: 10.0

Volatility: 0.3

1-Year Total Return ->

View Full Report
Stock-Card
Fathom Digital

A-Score: 4.1/10

Value: 8.2

Growth: 4.8

Quality: 4.8

Yield: 0.0

Momentum: 6.0

Volatility: 0.7

1-Year Total Return ->

View Full Report
Stock-Card
AstroNova

A-Score: 3.7/10

Value: 9.3

Growth: 3.9

Quality: 4.3

Yield: 0.0

Momentum: 0.5

Volatility: 4.3

1-Year Total Return ->

View Full Report
Stock-Card
Key Tronic

A-Score: 3.1/10

Value: 8.0

Growth: 3.8

Quality: 2.1

Yield: 0.0

Momentum: 0.5

Volatility: 4.0

1-Year Total Return ->

View Full Report
Stock-Card
Red Cat Holdings

A-Score: 2.6/10

Value: 6.7

Growth: 3.0

Quality: 2.9

Yield: 0.0

Momentum: 2.5

Volatility: 0.3

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

8.68$

Current Price

8.69$

Potential

-0.00%

Expected Cash-Flows