AZZ Earnings Preview

AZZ AZZ will release its quarterly earnings report on Wednesday, 2024-10-09. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate AZZ to report an earnings per share (EPS) of $1.32.

Anticipation surrounds AZZ's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Past Earnings Performance

Last quarter the company beat EPS by $0.16, which was followed by a 6.06% increase in the share price the next day.

Here's a look at AZZ's past performance and the resulting price change:

Performance of AZZ Shares

Shares of AZZ were trading at $82.08 as of October 07. Over the last 52-week period, shares are up 68.87%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Perspectives on AZZ

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on AZZ.

The consensus rating for AZZ is Buy, based on 2 analyst ratings. With an average one-year price target of $94.5, there's a potential 15.13% upside.

Comparing Ratings with Competitors

The below comparison of the analyst ratings and average 1-year price targets of Hayward Holdings, Tecnoglass and Griffon, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• For Hayward Holdings, analysts project an Neutral trajectory, with an average 1-year price target of $15.9, indicating a potential 80.63% downside.
• The consensus outlook from analysts is an Neutral trajectory for Tecnoglass, with an average 1-year price target of $67.4, indicating a potential 17.88% downside.
• For Griffon, analysts project an Outperform trajectory, with an average 1-year price target of $84.5, indicating a potential 2.95% upside.

Analysis Summary for Peers

Within the peer analysis summary, vital metrics for Hayward Holdings, Tecnoglass and Griffon are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

AZZ ranks at the bottom for Revenue Growth among its peers. It also ranks at the bottom for Gross Profit. However, AZZ ranks at the top for Return on Equity.

Discovering AZZ: A Closer Look

AZZ Inc is a provider of galvanizing and a variety of metal coating solutions and coil coating solutions to a broad range of end markets in North America. In its Metal Coatings segment, the company offers metal finishing services to protect against corrosion, such as hot dip galvanizing, spin galvanizing, powder coating, anodizing, and plating. The Precoat Metals Segment offers aesthetic and corrosion-resistant coatings for steel and aluminum coils.

Breaking Down AZZ's Financial Performance

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: AZZ's remarkable performance in 3 months is evident. As of 31 May, 2024, the company achieved an impressive revenue growth rate of 5.71%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Industrials sector.

Net Margin: AZZ's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -8.91%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): AZZ's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -4.41%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): AZZ's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -1.66%, the company may face hurdles in achieving optimal financial returns.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.99.

To track all earnings releases for AZZ visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.