Alstom S.A. (ALSMY) Stock Analysis

Why this analysis is different

• A 9-signal quantitative MoonshotScore built from filings, insider activity, and market data — computed from the numbers, not from opinion.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Alstom S.A. (ALSMY) Industrial Operations Profile

Alstom S.A. is a French industrial giant specializing in integrated rail transport solutions, encompassing rolling stock, signaling, and infrastructure globally. With a broad portfolio from high-speed trains to urban metros, the company is a key player in advancing sustainable and digital mobility across continents.

What Is the Investment Thesis for ALSMY?

Alstom S.A. (ALSMY) operates as a major global player in the rail transport industry, characterized by its comprehensive portfolio spanning rolling stock, signaling, and infrastructure. The company's market capitalization stands at $12.22 billion, with a P/E ratio of 24.3 and a profit margin of 1.7%, alongside a gross margin of 13.3%. A key growth catalyst for Alstom is the increasing global demand for sustainable transportation solutions, driven by urbanization and environmental concerns, which directly fuels investments in advanced rail infrastructure and rolling stock. The company's extensive geographic reach across Europe, the Americas, Asia, the Middle East, and Africa provides diversified revenue streams and exposure to various growth markets. However, the business model is inherently exposed to risks associated with large-scale infrastructure projects, including potential cost overruns and project delays, which can impact profitability and cash flow. Alstom's beta of 1.27 suggests a higher volatility compared to the broader market. Investors should closely monitor the company's ability to efficiently execute complex projects, manage its supply chain, and maintain its competitive edge in a capital-intensive industry while capitalizing on the long-term trend towards greener mobility.

Based on FMP financials and quantitative analysis

ALSMY Key Highlights

• Alstom S.A. maintains a market capitalization of $8.28B, reflecting its substantial presence in the global rail transport sector.
• The company's P/E ratio stands at 24.3, indicating investor expectations regarding its future earnings potential within the industrials sector.
• Alstom reported a profit margin of 1.7%, demonstrating its net profitability from operations after all expenses, taxes, and interest.
• A gross margin of 13.3% highlights the company's profitability at the product level, indicating the revenue left after accounting for the cost of goods sold.
• With a Beta of 1.27, ALSMY exhibits higher volatility compared to the overall market, suggesting its stock price tends to move more significantly than the market average.

Who Are ALSMY's Competitors?

ALSMY is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are ALSMY's Key Strengths?

• Global leadership in integrated rail transport solutions, offering a comprehensive product and service portfolio.
• Strong presence across diverse geographies, including Europe, the Americas, Asia, and Africa.
• Expertise in high-speed trains and advanced urban transit systems.
• Commitment to sustainable mobility solutions and digital innovation in rail.
• Extensive maintenance and modernization services providing recurring revenue streams.

What Are ALSMY's Weaknesses?

• Relatively low profit margin of 1.7% compared to some industrial peers.
• Exposure to significant risks associated with large-scale, long-cycle infrastructure projects, including cost overruns and delays.
• High capital intensity of the business, requiring substantial investment in R&D and manufacturing.
• Reliance on government and public sector spending, which can be subject to political and economic cycles.

What Could Drive ALSMY Stock Higher?

• Increasing global demand for sustainable transportation solutions, including high-speed rail and urban transit, continues to drive new project awards for Alstom.
• Securing new large-scale infrastructure project contracts in emerging markets, particularly in Asia, the Middle East, and Africa, could significantly boost order books.
• Successful implementation and delivery of advanced digital mobility and signaling solutions, enhancing efficiency and safety for rail operators.
• Strategic partnerships or acquisitions that expand Alstom's technological capabilities or market reach in key growth segments.
• Government stimulus packages or increased public spending on rail infrastructure in major operating regions.

What Are the Key Risks for ALSMY?

• Financial-distress signal — its Altman Z-Score of 1.23 sits in the distress zone (elevated bankruptcy risk).
• Potential for cost overruns and project delays on large, complex infrastructure contracts, impacting profitability and cash flow.
• Intense competition within the global rail transport industry, potentially leading to pricing pressures and reduced market share.
• Fluctuations in global economic conditions and government budgets, which could reduce spending on new rail projects and modernization efforts.
• Supply chain disruptions or significant increases in raw material costs, affecting production schedules and gross margins.
• Geopolitical instability or changes in regulatory environments in key operating regions, creating operational challenges or market access barriers.

What Are the Growth Opportunities for ALSMY?

• Growth opportunity 1: Expanding global demand for sustainable transportation solutions presents a significant driver for Alstom. As governments and municipalities worldwide prioritize reducing carbon emissions and alleviating urban congestion, investment in electric rail, high-speed networks, and efficient urban transit systems is accelerating. This trend, expected to continue for the next decade, creates a robust market for Alstom's comprehensive portfolio of rolling stock, signaling, and infrastructure. The company's established expertise in green mobility solutions, such as catenary-free and ground feeding systems, positions it advantageously to capture market share in this expanding segment, with the global rail market projected to grow steadily.
• Growth opportunity 2: Urbanization and the need for enhanced city mobility solutions represent a substantial growth avenue. Rapid population growth in metropolitan areas globally necessitates the expansion and modernization of public transport networks, including metros, light rails, and tram systems. Alstom's offerings in people movers, monorails, and integrated urban systems directly address these requirements. The continuous development of smart cities and integrated transport hubs over the next 5-10 years will drive demand for Alstom's digital passenger and security solutions, offering a competitive advantage through integrated, technologically advanced urban mobility platforms.
• Growth opportunity 3: Digitalization of rail transport offers a fertile ground for Alstom's expansion. The company's focus on asset optimization, connectivity, and digital signaling solutions positions it to capitalize on the industry's shift towards more intelligent and automated operations. The implementation of advanced train control systems, predictive maintenance, and real-time data analytics can significantly enhance efficiency, safety, and capacity of rail networks. This trend is expected to mature over the next 5-7 years, with Alstom's investment in R&D for digital solutions providing a competitive edge in offering cutting-edge, integrated digital mobility platforms to operators globally.
• Growth opportunity 4: Modernization and maintenance services for existing rail infrastructure provide a stable and recurring revenue stream. With an aging global rail fleet and infrastructure, there is a continuous need for upgrades, overhauls, and long-term maintenance contracts. Alstom's comprehensive service portfolio, including modernization, parts and repair, and support services, addresses this critical market. This opportunity is ongoing and less susceptible to new project cycles, offering resilience and consistent demand. The company's ability to offer lifecycle support for its own and third-party equipment strengthens its competitive position and fosters long-term client relationships.
• Growth opportunity 5: Geographic expansion into emerging markets, particularly in Asia, the Middle East, and Africa, presents significant long-term growth potential. Many countries in these regions are investing heavily in new rail infrastructure to support economic development and connect growing populations. Alstom's established global presence and experience in delivering large-scale projects make it a preferred partner in these nascent but rapidly expanding markets. Over the next decade, these regions are expected to contribute substantially to global rail infrastructure spending, allowing Alstom to leverage its international expertise and product adaptability to secure new contracts and broaden its market footprint.

What Opportunities Does ALSMY Have?

• Increasing global demand for sustainable and green transportation solutions.
• Rapid urbanization driving the need for expanded and modernized urban transit systems.
• Digitalization of rail networks, including smart signaling and predictive maintenance.
• Expansion into emerging markets with growing infrastructure investment.
• Opportunities for strategic partnerships and acquisitions to enhance technological capabilities and market reach.

What Threats Does ALSMY Face?

• Intense competition from other major global rail equipment manufacturers.
• Economic downturns or fiscal austerity measures impacting public infrastructure spending.
• Supply chain disruptions and rising raw material costs affecting production and profitability.
• Technological obsolescence requiring continuous R&D investment.
• Regulatory changes and geopolitical risks in various operating regions.

What Are ALSMY's Competitive Advantages?

• Extensive global presence and established relationships with major rail operators and governments.
• Comprehensive portfolio covering rolling stock, signaling, infrastructure, and services, offering integrated solutions.
• Significant R&D investment in advanced technologies like high-speed rail, digital mobility, and sustainable solutions.
• High barriers to entry due to capital intensity, complex regulatory requirements, and long project cycles.
• Strong brand reputation and track record in delivering large, complex rail projects worldwide.

What Does ALSMY Do?

Alstom S.A., incorporated in 1992 and headquartered in Saint-Ouen, France, has evolved into a global leader in the rail transport industry. The company offers a comprehensive suite of solutions across Europe, the Americas, Asia and Pacific, the Middle East, and Africa. Its core offerings include diverse rolling stock solutions, ranging from people movers and monorails to light rails, metros, commuter trains, regional and intercity trains, high-speed trains, and locomotives. Alstom is also a significant provider of advanced signaling products, covering urban, mainline, and freight and mining applications, ensuring safe and efficient rail operations. Beyond rolling stock and signaling, Alstom delivers complete tram, metro, and main line systems, alongside critical infrastructure components such as tracklaying and track solutions, catenary-free and ground feeding solutions, electrification systems, and electromechanical equipment. The company's service portfolio is robust, encompassing maintenance, modernization, parts and repair, and comprehensive support services, which are crucial for the long-term operational efficiency of rail networks. Furthermore, Alstom manufactures various essential components, including bogies, motors and generators, switchgears, auxiliary converters, traction transformers, brake friction, propulsion components, train control and information systems, and dispen dampers. This integrated approach, from design and manufacturing to services and components, positions Alstom as a pivotal partner for public and private entities seeking advanced and sustainable rail mobility solutions worldwide.

What Products and Services Does ALSMY Offer?

• Manufacture rolling stock, including high-speed trains, metros, light rails, and locomotives.
• Provide advanced signaling products for urban, mainline, freight, and mining applications.
• Develop and implement complete rail systems, such as tram, metro, and main line systems.
• Offer tracklaying, track solutions, electrification, and electromechanical equipment for infrastructure.
• Deliver maintenance, modernization, parts, repair, and support services for rail assets.
• Produce various components like bogies, motors, switchgears, and train control systems.
• Develop digital solutions for asset optimization, connectivity, and passenger experience.
• Focus on sustainable mobility solutions, including catenary-free and ground feeding technologies.

How Does ALSMY Make Money?

• Selling integrated rail transport systems and rolling stock to public and private operators.
• Providing long-term maintenance, modernization, and support services for rail fleets and infrastructure.
• Supplying advanced signaling and digital mobility solutions to enhance operational efficiency and safety.
• Manufacturing and selling critical components for rail vehicles and infrastructure.
• Executing large-scale infrastructure projects, including tracklaying and electrification.

What Industry Does ALSMY Operate In?

Alstom S.A. is positioned within the global rail transport industry, a sector undergoing significant transformation driven by urbanization, sustainability mandates, and technological advancements. The industry is characterized by long project cycles, high capital intensity, and a strong reliance on government and public sector spending on infrastructure. Alstom competes in a landscape with other large, integrated rail solution providers, as well as specialized component manufacturers. A major market trend is the increasing global demand for sustainable transportation solutions, including high-speed rail, urban transit, and freight rail, which aligns with Alstom's core offerings. The company's comprehensive portfolio, encompassing rolling stock, signaling, and infrastructure, allows it to address diverse client needs across various geographies, from mature European markets to rapidly developing regions in Asia and Africa. This broad capability helps Alstom secure large, complex projects, positioning it as a key enabler of modern, efficient, and environmentally friendly rail networks worldwide.

Who Are ALSMY's Key Customers?

• National and regional railway operators and authorities.
• Urban public transport operators and municipalities.
• Freight and mining companies requiring specialized rail solutions.
• Governments and public sector entities investing in infrastructure projects.
• Other industrial clients requiring rail components and services.

Company Profile

Alstom S.A. operates in the Railroads industry within the Industrials sector. It is headquartered in St Ouen, FR. The company is led by CEO Henri Poupart-Lafarge. ALSMY has traded publicly since 2010.

Alstom S.A. Financial Trajectory

Alstom S.A. (ALSMY) reported $10.11B in revenue for Q1 2026, reflecting 11.6% growth compared to the prior quarter. The company recorded net income of $105.4M, with diluted EPS of $0.01. Revenue has increased across the last three reported quarters, suggesting sustained momentum for this mid-cap Industrials company. Across the four most recent quarters, ALSMY averaged $0.02 in diluted EPS.

How Alstom S.A. Is Valued

Alstom S.A. carries a market capitalization of $8.28B, placing it in the mid-cap category. Relative to its peer group, ALSMY's quantitative score of 43/100 is roughly in line with the peer average of 53/100.

ROE 3%Key Financial Metrics

Return on equity for Alstom S.A. stands at 3.3%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 0.9%, showing how much profit it generates from its asset base. ALSMY trades at a trailing price-to-earnings ratio of 24.30, below the Industrials sector average of ~30x. Its free cash flow yield is 4.1%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.94 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 4.1%, the inverse of the P/E and a quick read on earnings relative to price.

F-Score 6/9Financial Health

Alstom S.A.'s Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.23 places it in the distress zone, a signal of elevated financial risk.

FY2026 estForward Outlook

Wall Street analysts project Alstom S.A. revenue of about $19.64B for fiscal 2026, with EPS near $0.18. The estimate reflects 7 contributing analysts.

ALSMY Financials

ALSMY Latest News

ALSMY Analyst Consensus

ALSMY MoonshotScore

ALSMY Industrials Stock FAQ

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

Official Resources