Engine Capital Exits Amentum Holdings: $15M Sale

Engine Capital Management, based in New York City, recently disclosed its complete sale of all shares in Amentum Holdings. This divestment, reported on November 14, involved the elimination of 635,255 shares, equating to an estimated transaction value of $15 million based on quarterly average pricing. The timing of this exit, following a period of strengthening fundamentals for Amentum, suggests a potential shift in Engine Capital's portfolio strategy.

Despite the investor's full exit, Amentum Holdings has demonstrated robust performance, with its stock price increasing by 26% over the past year, significantly outperforming the S&P 500's 13% gain. The company, a provider of mission-critical services for defense and space sectors, reported strong financial results in its recent fourth quarter, including $3.9 billion in revenue and a substantial backlog of $47.1 billion.

Analysts note that Amentum's business is tied to mission-critical spending in defense, space, and digital infrastructure, sectors less susceptible to economic downturns. With strong cash generation and multi-year contract visibility, the company offers long-term appeal, even amidst stock volatility since its public debut.