Atmus Filtration Technologies Inc.

Highly profitable, cash-generative filtration leader with top-decile returns but only modest growth and heavy customer concentration.

Strengths

• Top-decile returns and margins: ROA 94th, ROE 90.9th (54.8%), operating margin 93rd, net margin 87th, FCF margin 80th pct
• Iconic Fleetguard brand with ~86% aftermarket sales, broad IP portfolio, and strong recurring revenue

Risks

• Customer concentration (Cummins, PACCAR, Traton ~47% of sales) and elevated leverage (D/E 1.43, 89.5th pct)
• Revenue growth only mid-pack (5.7%, 53rd pct), limiting upside versus a true A franchise

Notable findings

• Restatement• Applicable laws and regulations, provisions of Atmus' Second Amended and Restated Certificate of Incorporation (the “Charter”) and Atmus' Amended and Restated Bylaws (the “Bylaws”) and certain contr 8-K ↗
• Exec changeRecent 8-K item 5.02 8-K ↗
• Customer concentration~70% of revenue from one customer/distributor — These customers in the aggregate accounted for approximately 70% of Atmus’ net sales in 2025 and have consistently accounted for more than 67% of Atmus’ net sales in each of the last five years