Alto Ingredients (NASDAQ:ALTO) Announces Quarterly Earnings Results, Beats Expectations By $0.13 EPS

Alto Ingredients (NASDAQ:ALTO) issued its quarterly earnings data on Wednesday. The company reported $0.05 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.08) by $0.13, Zacks reports. Alto Ingredients had a net margin of 1.45% and a return on equity of 2.99%.

Here are the key takeaways from Alto Ingredients’ conference call:

• Alto reported a measurable turnaround in Q1 — adjusted EBITDA of $4.7 million and net income of $4.0 million, a swing from prior-year losses driven by stronger crush margins and export premiums.
• The company recognized $3.9 million of 45Z tax-credit proceeds in Q1 and expects to qualify ~90 million gallons annually, targeting approximately $15 million net proceeds from 45Z if monetized as planned.
• Management is investing in operational upgrades under a $25 million 2026 CapEx plan — including a second alcohol loadout, Pekin dock repairs, a Columbia CO2 tank, and a Pekin dry‑mill debottleneck to add ~5 million gallons (~8%) annual capacity — to boost utilization, logistics and higher‑value sales.
• Cost and operational headwinds persisted: higher natural gas/electricity costs (+$5.3 million), increased repair & maintenance (+$2.4 million), and weather-driven curtailments reduced volumes ~4% and produced a Q1 gross loss in the Western segment.
• Outlook remains cautiously optimistic but uncertain due to macro risks (Middle East unrest, export/logistics) and the pace of E15 adoption, which together could materially affect demand and industry margins.

Alto Ingredients Trading Down 7.2%

NASDAQ:ALTO traded down $0.43 on Wednesday, reaching $5.56. 3,192,223 shares of the company’s stock were exchanged, compared to its average volume of 1,579,161. The company has a quick ratio of 1.60, a current ratio of 2.64 and a debt-to-equity ratio of 0.26. The firm has a market capitalization of $429.73 million, a price-to-earnings ratio of 34.75 and a beta of 0.14. The business has a fifty day moving average of $4.39 and a 200-day moving average of $3.03. Alto Ingredients has a 52-week low of $0.80 and a 52-week high of $5.99.

Analysts Set New Price Targets

ALTO has been the topic of several research analyst reports. Weiss Ratings upgraded shares of Alto Ingredients from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday. Zacks Research lowered shares of Alto Ingredients from a “strong-buy” rating to a “hold” rating in a report on Monday. Finally, Wall Street Zen upgraded shares of Alto Ingredients from a “buy” rating to a “strong-buy” rating in a report on Monday, March 23rd. Two analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the company currently has an average rating of “Hold”.

Institutional Trading of Alto Ingredients

Institutional investors and hedge funds have recently bought and sold shares of the business. GWN Securities Inc. purchased a new stake in Alto Ingredients during the fourth quarter worth about $378,000. Squarepoint Ops LLC acquired a new position in shares of Alto Ingredients during the fourth quarter worth about $326,000. Empowered Funds LLC grew its position in shares of Alto Ingredients by 8.5% during the first quarter. Empowered Funds LLC now owns 275,552 shares of the company’s stock worth $314,000 after buying an additional 21,626 shares in the last quarter. OMERS ADMINISTRATION Corp acquired a new position in shares of Alto Ingredients during the fourth quarter worth about $312,000. Finally, NewEdge Advisors LLC acquired a new position in shares of Alto Ingredients during the fourth quarter worth about $204,000. 42.44% of the stock is currently owned by hedge funds and other institutional investors.

Alto Ingredients Company Profile

Alto Ingredients, Inc (NASDAQ: ALTO) is a diversified producer of alcohol-based products and specialty ingredients for industrial, food, beverage and personal care applications. The company’s core offering centers on ethanol produced for fuel markets, as well as an expanding portfolio of natural and organic alcohols, glycerin and other ingredient solutions. Alto’s product lines serve a range of end markets, including renewable fuels, confectionery, flavorings, cosmetics and sanitizers.

Headquartered in Dallas, Texas, Alto Ingredients operates a network of production facilities across the United States.