AZZ, Inc. (AZZ) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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EnerSys

AZZ, Inc.

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Enovix Corp.

HollySys Automation Technologies Ltd.

QuantumScape Corp.

Why is AZZ, Inc. ?

Healthy long term growth as Operating profit has grown by an annual rate 21.89%

With a growth in Net Profit of 745.7%, the company declared Very Positive results in May 25

OPERATING CASH FLOW(Y) Highest at USD 492.75 MM
ROCE(HY) Highest at 23.85%
DEBT-EQUITY RATIO (HY) Lowest at 49.01 %

With ROCE of 12.60%, it has a fair valuation with a 1.94 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 15.64%, its profits have risen by 15.2%

Consistent Returns over the last 3 years

Along with generating 15.64% returns in the last 1 year, the stock has outperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Industrial Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is AZZ, Inc. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

AZZ, Inc.

38.36%

1.32

32.87%

S&P 500

22.36%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.72%

EBIT Growth (5y)

24.66%

EBIT to Interest (avg)

5.73

Debt to EBITDA (avg)

3.69

Net Debt to Equity (avg)

0.47

Sales to Capital Employed (avg)

0.83

Tax Ratio

24.71%

Dividend Payout Ratio

38.05%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

10.97%

ROE (avg)

13.63%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.78

EV to EBIT

16.71

EV to EBITDA

12.39

EV to Capital Employed

2.26

EV to Sales

2.60

PEG Ratio

0.09

Dividend Yield

0.63%

ROCE (Latest)

13.51%

ROE (Latest)

24.59%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

7What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 39.37 %

INTEREST COVERAGE RATIO(Q)

Highest at 892.68

DIVIDEND PER SHARE(HY)

Highest at USD 5.79

NET SALES(Q)

Highest at USD 448.53 MM

OPERATING PROFIT(Q)

Highest at USD 100.55 MM

-17What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 247.81 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.79 times

PRE-TAX PROFIT(Q)

At USD 66.02 MM has Fallen at -37.74%

NET PROFIT(Q)

At USD 52.01 MM has Fallen at -35.02%

CASH AND EQV(HY)

Lowest at USD 1.76 MM

Here's what is working for AZZ, Inc.

Interest Coverage Ratio

Highest at 892.68

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debt-Equity Ratio

Lowest at 39.37 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Net Sales

Highest at USD 448.53 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit

Highest at USD 100.55 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Dividend per share

Highest at USD 5.79

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Depreciation

Highest at USD 23.52 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for AZZ, Inc.

Pre-Tax Profit

At USD 66.02 MM has Fallen at -37.74%

over average net sales of the previous four periods of USD 106.04 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 52.01 MM has Fallen at -35.02%

over average net sales of the previous four periods of USD 80.04 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Debtors Turnover Ratio

Lowest at 5.79 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Operating Cash Flow

Lowest at USD 247.81 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Cash and Eqv

Lowest at USD 1.76 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents