Alto Ingredients, Inc.
- Open
- 4.09
- Day high
- 4.11
- Day low
- 3.85
- Prev close
- 4.07
- Volume
- 2.6M
- Mkt cap
- $307M
- P/E (TTM)
- 5.8
- EPS (TTM)
- $0.68
- P/B
- 1.2
- P/S
- 0.3
- Yield
- —
- Per share
- —
- ▲Insiders net buying $208K over the last 3 months (1 open-market buy, 0 sales)
- 🏛Institutions accumulating (13F)
Alto Ingredients, Inc. (ALTO) is a Basic Materials company listed on NASDAQ. The stock is up 243% over the past year. Over the trailing 3 months, insiders filed 1 open-market buy and 0 sales (SEC Form 4). Drillr has 1 published research article covering ALTO.
Alto Ingredients, Inc. (ALTO) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
ALTO earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Aug 5, 2026 | $0.08 | $0.15 | +78.9% | $246M | +6.3% |
| May 6, 2026 | $-0.08 | $0.05 | +162.5% | $225M | +4.2% |
| Mar 4, 2026 | $0.02 | $0.19 | +850.0% | $232M | +10.2% |
| Nov 5, 2025 | $-0.06 | $0.19 | +416.7% | $241M | +2.6% |
| Aug 6, 2025 | $-0.18 | $-0.15 | +16.7% | $218M | -2.3% |
| Mar 5, 2025 | $-0.12 | $-0.24 | -100.0% | $236M | +6.1% |
| Mar 11, 2024 | $-0.06 | $-0.18 | -225.0% | $274M | -6.5% |
| Mar 9, 2023 | $-0.08 | $-0.46 | -475.0% | $328M | -4.1% |
| Mar 10, 2022 | $0.31 | $0.43 | +38.7% | $385M | +19.2% |
| May 12, 2021 | $-0.17 | $0.07 | +141.2% | $219M | — |
| Mar 10, 2021 | $0.35 | $0.05 | -85.7% | $169M | — |
| Aug 11, 2020 | $-0.20 | $0.29 | +245.0% | $212M | — |
ALTO insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Aug 12, 2026 | NATHAN GILBERT Edirector | Buy | 50,000 | $4.15 |
| Jun 25, 2026 | NATHAN GILBERT Edirector | Grant | 31,652 | — |
| Jun 25, 2026 | Nury Dianne S.director | Grant | 23,605 | — |
| Jun 25, 2026 | Tank Alan Robertdirector | Grant | 23,605 | — |
| Jun 25, 2026 | Gray Maria Gdirector | Grant | 23,605 | — |
| May 14, 2026 | NATHAN GILBERT Edirector | Buy | 5,000 | $4.45 |
| May 14, 2026 | NATHAN GILBERT Edirector | Buy | 20,000 | $4.61 |
| Apr 3, 2026 | Olander Robert R.officer: Chief Financial Officer | Tax | 41,072 | $4.79 |
| Apr 3, 2026 | Sneed James Rofficer: Chief Commercial Officer | Tax | 22,265 | $4.79 |
| Apr 3, 2026 | McGregor Bryon Tdirector, officer: President & CEO | Tax | 73,062 | $4.79 |
| Apr 3, 2026 | Benton Todd Eofficer: COO | Tax | 25,359 | $4.79 |
| Apr 3, 2026 | Graham Auste Mofficer: CLO & Secretary | Tax | 32,902 | $4.79 |
| Mar 19, 2026 | Olander Robert R.officer: Chief Financial Officer | Grant | 35,730 | — |
| Mar 19, 2026 | Graham Auste Mofficer: CLO & Secretary | Grant | 30,794 | — |
| Mar 19, 2026 | McGregor Bryon Tdirector, officer: President & CEO | Grant | 100,108 | — |
Source: ALTO SEC Form 4 filings, latest Aug 12, 2026. For informational purposes only — not investment advice.
See the full ALTO insider & 13F page →Alto Ingredients, Inc. company profile
Overview
Alto Ingredients, Inc. (NASDAQ:ALTO) is a specialty chemicals company founded in 2003 and formerly known as Pacific Ethanol, Inc. until its rebranding in January 2021. Headquartered in Pekin, Illinois, the company operates five alcohol production facilities across the Midwestern and Western United States. Alto has evolved from a traditional ethanol producer into a diversified specialty chemicals manufacturer, focusing on higher-margin products including specialty alcohols, essential ingredients, and exploring emerging opportunities in carbon capture and sequestration technologies.
Business
Alto Ingredients operates in the specialty chemicals industry, specifically focusing on alcohol production and agricultural byproducts. The company's business is structured around three main segments that collectively generated approximately $965 million in revenue in 2024. The Marketing and Distribution segment handles the commercialization of products across all facilities. The Pekin Production segment, representing the company's flagship Illinois campus, operates at a 100-million-gallon nameplate capacity and has become the primary profit center. The Other Production segment encompasses the Western facilities in Oregon and Idaho, though some of these have been strategically idled or rationalized. Alto's core products fall into several categories. Specialty alcohols represent the company's highest-margin offerings, including high-proof grain neutral spirits (192 and 200 proof) used in mouthwash, cosmetics, pharmaceuticals, hand sanitizers, disinfectants, and cleaning products for health, home, and beauty markets. These products command premium pricing compared to fuel-grade ethanol, with the company achieving approximately $0.31 per gallon premium and targeting over 90 million gallons annually. Essential ingredients comprise agricultural byproducts from the ethanol production process, including dried yeast, corn gluten meal, corn gluten feed, distillers grains, and liquid feed used in commercial animal feed and pet food applications. These products provide additional revenue streams while maximizing the value extracted from corn feedstock. The company also produces fuel-grade ethanol used as transportation fuel, though this represents a lower-margin commodity business that Alto has been strategically de-emphasizing. Additionally, Alto produces distillers corn oil used as biodiesel feedstock and liquid carbon dioxide for food and beverage applications following its 2024 acquisition of a CO2 processing facility. Revenue distribution shows specialty alcohols and essential ingredients representing increasingly important portions of the business, with specialty alcohols comprising 42% of Pekin sales volume as of Q1 2025, up significantly from previous years.
Revenue model
Alto Ingredients generates revenue through direct product sales to various customer segments, operating on a traditional manufacturing business model. The company sells specialty alcohols to manufacturers of consumer products including cosmetics, pharmaceuticals, and cleaning products. Essential ingredient feed products are sold to dairies, feedlots, and pet food manufacturers. Fuel-grade ethanol is sold to integrated oil companies and gasoline marketers, while corn oil goes to poultry producers and biodiesel manufacturers. The company's profitability is heavily influenced by the crush margin - the difference between the selling price of ethanol and essential ingredients versus the cost of corn feedstock. This margin fluctuates based on commodity prices, with corn representing the largest input cost. Natural gas prices also significantly impact production costs, as ethanol production is energy-intensive. Several factors can positively impact margins. Specialty alcohol production commands premium pricing, with Alto achieving approximately $0.31 per gallon above commodity ethanol prices. The company's focus on higher-proof alcohols and essential ingredients extraction maximizes value from each bushel of corn processed. Regulatory developments such as potential E15 fuel adoption (15% ethanol blend versus current 10%) could substantially increase ethanol demand - California alone could add 670 million gallons annually if adopted. Conversely, margin compression occurs during periods of high corn basis (local corn prices above Chicago futures), elevated natural gas costs, or weak ethanol demand. Transportation constraints and logistics bottlenecks can also impact profitability. The company faces seasonal patterns, with typically stronger margins during driving season when gasoline demand peaks. Alto's strategic initiatives include carbon capture and sequestration projects that could generate an estimated $30 million in annual EBITDA by 2026 through 45Q tax credits, though this depends on regulatory approvals and infrastructure development. The company has also implemented significant cost reduction measures, including a 16% workforce reduction expected to save $8 million annually.
Competitive moat
Alto Ingredients operates in a highly commoditized industry with limited sustainable competitive advantages. The company's primary defensive position comes from its strategic pivot toward specialty alcohols and essential ingredients, which offer some differentiation from pure commodity ethanol production. The company's geographic positioning provides modest advantages, with its Pekin, Illinois facility well-located in the corn belt for feedstock access and near major transportation networks. The facility's scale at 100 million gallons nameplate capacity offers some operational efficiencies, and Alto has invested in specialized equipment for high-proof alcohol production that creates minor barriers to entry for competitors. Alto's customer relationships in specialty markets provide some stability, with the company having contracted approximately 90+ million gallons of specialty alcohol sales annually. These relationships in health, beauty, and pharmaceutical applications offer better margins and potentially more stable demand than fuel markets. However, the moat remains quite narrow. Ethanol production technology is well-established and widely available. Corn processing and alcohol distillation face significant competition from large agricultural processors like Archer Daniels Midland and Cargill, which have substantially greater scale and resources. The fuel ethanol market is particularly commoditized, with pricing largely determined by petroleum markets and government mandates rather than company-specific advantages. The company's exploration of carbon capture and sequestration represents a potential future differentiator, as early movers in CCS could benefit from tax incentives and regulatory advantages. However, this technology remains unproven commercially and faces significant regulatory and infrastructure hurdles. Overall, Alto operates in a challenging competitive environment with limited sustainable advantages, making it vulnerable to commodity price cycles and larger competitors' actions.
Risks & safety
Alto Ingredients presents significant financial risks with limited margin of safety based on recent performance and balance sheet metrics. **Solvency and Cash Position:** - Cash and short-term investments: $35.5 million as of Q4 2024 - Negative free cash flow: -$14.6 million for FY 2024, -$18.8 million in Q1 2025 - Total debt-to-equity ratio: 0.51, indicating moderate leverage - Current ratio: 2.65, suggesting adequate short-term liquidity - The company maintains $92 million in total loan borrowing availability **Profitability Metrics:** - Negative EBITDA: -$26.8 million for FY 2024, -$2.2 million in Q1 2025 - Consecutive years of net losses: -$59.0 million in 2024, -$28.0 million in 2023 - Return on equity: -26.2% for FY 2024 - Operating cash flow turned negative: -$3.5 million in 2024 vs. +$22.0 million in 2023 **Valuation Considerations:** - Enterprise value to EBITDA: Negative due to negative EBITDA - Price-to-book ratio: 0.51, suggesting potential asset value - Market capitalization: Approximately $79 million - Graham net-net: Negative, indicating book value concerns **Other Risk Factors:** - Commodity price volatility exposure through corn and ethanol pricing - Regulatory dependency for carbon capture projects and ethanol mandates - Operational challenges with facility shutdowns and capacity utilization issues
Recent development
Over the past several years, Alto Ingredients has undergone significant strategic transformation aimed at moving away from commodity ethanol production toward higher-margin specialty products and emerging technologies. The company's most significant pivot has been its specialty alcohol focus, developing capabilities to produce 192 and 200 proof grain neutral spirits for health, beauty, and pharmaceutical applications. This strategic shift has shown results, with specialty alcohols representing 42% of Pekin sales volume by Q1 2025, commanding approximately $0.31 per gallon premium over commodity ethanol. Carbon capture and sequestration (CCS) represents Alto's most ambitious long-term initiative. The company has partnered with Vault for CO2 transportation and sequestration, targeting an estimated $30 million in annual EBITDA by 2026 through 45Q tax credits. However, this project faces regulatory hurdles, including EPA Class VI permit approval expected to take 2-3 years and potential Illinois legislation that could impact storage locations. Operational rationalization has been a key theme, with Alto cold-idling its Magic Valley facility, rationalizing Eagle Alcohol operations, and reducing workforce by 16% to achieve $8 million in annual cost savings. The company has also acquired complementary assets, including a liquid CO2 processing plant (Alto Carbonic) for $7 million to serve the beverage industry in the Pacific Northwest. Infrastructure investments include building a second alcohol loading dock at the Pekin campus for under $3 million and various productivity improvements that have increased the facility's output to its highest levels since 2020. The company has also pursued ISCC certification to enable premium exports to European renewable fuel markets. Alto has engaged Guggenheim Securities to explore strategic alternatives, including potential asset sales or merger opportunities, indicating management's openness to value-maximizing transactions. The company has also been working to improve its sustainability profile, receiving Bronze Medal rating from EcoVadis and publishing its first sustainability report.
ALTO company profile · for informational purposes only — not investment advice.
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