Quanex Building Products Corp. (NX) 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

The AZEK Co., Inc.

Simpson Manufacturing Co., Inc.

SPX Technologies, Inc.

Masonite International Corp.

Apogee Enterprises, Inc.

PGT Innovations, Inc.

Quanex Building Products Corp.

Janus International Group, Inc.

Griffon Corp.

Tecnoglass, Inc.

American Woodmark Corp.

Why is Quanex Building Products Corp. ?

High Management Efficiency with a high ROE of 12.40%

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.21 times

Poor long term growth as Net Sales has grown by an annual rate of 17.08% over the last 5 years

Flat results in Jul 25

INTEREST(HY) At USD 28.16 MM has Grown at 1,440.37%
OPERATING CASH FLOW(Y) Lowest at USD 82.13 MM
ROCE(HY) Lowest at -43.35%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -47.75%, its profits have fallen by -74%

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 1.22% over the previous quarter.

Below par performance in long term as well as near term

Along with generating -47.75% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

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 Building Products)

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

Is Quanex Building Products Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Quanex Building Products Corp.

-5.53%

-0.91

54.85%

S&P 500

20.78%

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)

15.85%

EBIT Growth (5y)

12.91%

EBIT to Interest (avg)

20.33

Debt to EBITDA (avg)

0.21

Net Debt to Equity (avg)

-0.02

Sales to Capital Employed (avg)

1.67

Tax Ratio

20.22%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

16.62%

ROE (avg)

12.40%

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

1.19

EV to EBIT

7.07

EV to EBITDA

3.81

EV to Capital Employed

1.20

EV to Sales

0.46

PEG Ratio

0.04

Dividend Yield

121.16%

ROCE (Latest)

16.94%

ROE (Latest)

8.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

No Trend

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

9What is working for the Company

NET PROFIT(9M)

At USD 18.54 MM has Grown at 618.65%

OPERATING CASH FLOW(Y)

Highest at USD 147.62 MM

DIVIDEND PAYOUT RATIO(Y)

Highest at 108.99%

CASH AND EQV(HY)

Highest at USD 130.63 MM

-16What is not working for the Company

PRE-TAX PROFIT(Q)

At USD 7.41 MM has Fallen at -61.88%

NET PROFIT(Q)

At USD 3.49 MM has Fallen at -78.23%

ROCE(HY)

Lowest at -29.75%

DEBT-EQUITY RATIO (HY)

Highest at 113.2 %

RAW MATERIAL COST(Y)

Grown by 19.55% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 5.28 times

Here's what is working for Quanex Building Products Corp.

Operating Cash Flow

Highest at USD 147.62 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend Payout Ratio

Highest at 108.99% and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Cash and Eqv

Highest at USD 130.63 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Quanex Building Products Corp.

Pre-Tax Profit

At USD 7.41 MM has Fallen at -61.88%

over average net sales of the previous four periods of USD 19.44 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 3.49 MM has Fallen at -78.23%

over average net sales of the previous four periods of USD 16.03 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Debt-Equity Ratio

Highest at 113.2 % and Grown

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

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 5.28 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 19.55% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales