Atour Lifestyle Holdings Limited (ATAT): fair value, margin of safety and Wheel Score

Is ATAT undervalued?

Atour Lifestyle Holdings Limited (ATAT) closed at 33.51 on 16 Oct 2026. The GLS average fair value - the simple average of the 9 valuation models that produced a positive number - is 130.36, which puts the price 74% below it. 7 of the 9 models value the shares above the current price. A gap this wide is rare in our universe of ~7,400 US stocks and is exactly what the Value part of the Wheel Score rewards; it is also where the question "why is it this cheap?" matters most.

The 9 models disagree widely: EPV gives 24.08 while 10 Cap gives 358.62. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.

The nightly engine files ATAT under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.

Nine valuation models for ATAT

Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.

Quality and financial health

Financial health is average - ATAT passes 6 of the nine Piotroski tests, which passes the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 9.3 out of 10, built from ten years of revenue, earnings, margins, cash flow, share count and returns on capital scored for consistency - a high reading that points to a durable business.

Returns on capital are high - ROIC 31.6%, ROE 45.1%, ROA 17.7% - with debt at 0.42 times equity and a free-cash-flow yield of 7.4%.

The dividend yield is 2.69% at a payout ratio of 42%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Retail Revenues 82%, Room Revenues 12%, Other Revenues 5% (fiscal year FY2025).

Institutional ownership scores 7/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.

Wheel Score 89: Prime

ATAT scores 89 out of 100 on the Wheel Score, in the Prime band (80 and above), which fewer than one stock in twenty reaches on any night. The score blends five things a wheel trader checks before selling a cash-secured put: the margin of safety (Value, 25/25), Piotroski health (13/20), the GLS moat (14/15), the option premium on offer (20/20) and how easily the stock trades (17/20).

Implied volatility is 42% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 2,039 contracts across all expiries - enough for the wheel at normal size.

Volume runs at 1.0M shares a day on a market cap of $4.6B, with a beta of 0.67 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 17 of 20.

The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.

Upcoming events

The next earnings report is due on 24 Nov 2026 (before the open), 39 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.

Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.

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