Goldman Sachs Downgrades Atmus Filtration (ATMU) to Neutral Amid Valuation Concerns

On Tuesday, Goldman Sachs analyst Jerry Revich downgraded Atmus Filtration Technologies Inc. (NYSE:ATMU) from Buy to Neutral, while maintaining an unchanged price target of $39. The downgrade is primarily attributed to valuation concerns.

A technician in a protective suit testing a variety of different lubricants and filters.

Despite the rating change, Goldman Sachs remains positive on Atmus Filtration’s potential to drive end-market outgrowth and effectively deploy capital to grow its industrial filtration business. The firm noted that the anticipated valuation re-rating has already played out. Since its IPO, Atmus Filtration’s stock has surged by over 90%, significantly outperforming the S&P 500’s 33% increase in the same period.

In Q1 2025, Atmus Filtration reported strong earnings, with adjusted EPS of $0.63, which exceeded the projected $0.50. Revenue also surpassed forecasts and reached $417 million against an anticipated $412.3 million. Atmus Filtration is also expanding its manufacturing capabilities and launching new products, which are expected to contribute to future revenue growth.

Atmus Filtration Technologies Inc. (NYSE:ATMU) designs, manufactures, and sells global filtration products under the Fleetguard brand.

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Disclosure: None. This article is originally published at Insider Monkey.