Market Cap
US$6.4b
Last Updated
2021/01/22 23:06 UTC
Data Sources
Company Financials +
Executive Summary
The AZEK Company Inc. engages in designing, manufacturing, and selling building products for residential, commercial, and industrial markets in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet with moderate growth potential.
Similar Companies
Share Price & News
How has AZEK's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AZEK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: AZEK's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
1.1%
AZEK
1.0%
US Building
1.4%
US Market
1 Year Return
n/a
AZEK
24.1%
US Building
22.6%
US Market
Return vs Industry: Insufficient data to determine how AZEK performed against the US Building industry.
Return vs Market: Insufficient data to determine how AZEK performed against the US Market.
Shareholder returns
| AZEK | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.1% | 1.0% | 1.4% |
| 30 Day | 7.7% | 8.3% | 4.9% |
| 90 Day | 12.0% | 16.9% | 14.6% |
| 1 Year | n/a | 32.2%24.1% | 25.4%22.6% |
| 3 Year | n/a | 48.0%36.1% | 46.8%37.0% |
| 5 Year | n/a | 155.6%119.7% | 132.0%106.1% |
Long-Term Price Volatility Vs. Market
How volatile is AZEK's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is The AZEK Company Inc. (NYSE:AZEK) Expensive For A Reason? A Look At Its Intrinsic Value1 month ago | Simply Wall St
How Much Are The AZEK Company Inc. (NYSE:AZEK) Insiders Taking Off The Table?2 months ago | Simply Wall St
We Think AZEK (NYSE:AZEK) Is Taking Some Risk With Its DebtValuation
Is AZEK undervalued compared to its fair value and its price relative to the market?
4.95x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: AZEK ($41.13) is trading above our estimate of fair value ($17.65)
Significantly Below Fair Value: AZEK is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: AZEK is unprofitable, so we can't compare its PE Ratio to the US Building industry average.
PE vs Market: AZEK is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate AZEK's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: AZEK is overvalued based on its PB Ratio (4.9x) compared to the US Building industry average (3.3x).
Next Steps
Future Growth
How is AZEK forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
113.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AZEK is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: AZEK is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: AZEK's is expected to become profitable in the next 3 years.
Revenue vs Market: AZEK's revenue (9.8% per year) is forecast to grow slower than the US market (10.5% per year).
High Growth Revenue: AZEK's revenue (9.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AZEK's Return on Equity is forecast to be low in 3 years time (8.7%).
Next Steps
Past Performance
How has AZEK performed over the past 5 years?
-507.7%
Last years earnings growth
Earnings and Revenue History
Quality Earnings: AZEK is currently unprofitable.
Growing Profit Margin: AZEK is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: Insufficient data to determine if AZEK's year-on-year earnings growth rate was positive over the past 5 years.
Accelerating Growth: Unable to compare AZEK's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: AZEK is unprofitable, making it difficult to compare its past year earnings growth to the Building industry (17.1%).
Return on Equity
High ROE: AZEK has a negative Return on Equity (-9.37%), as it is currently unprofitable.
Next Steps
Financial Health
How is AZEK's financial position?
Financial Position Analysis
Short Term Liabilities: AZEK's short term assets ($424.7M) exceed its short term liabilities ($124.0M).
Long Term Liabilities: AZEK's short term assets ($424.7M) do not cover its long term liabilities ($503.9M).
Debt to Equity History and Analysis
Debt Level: AZEK's debt to equity ratio (35.5%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if AZEK's debt to equity ratio has reduced over the past 5 years.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable AZEK has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: AZEK is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 72.8% per year.
Next Steps
Dividend
What is AZEK current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate AZEK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate AZEK's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if AZEK's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if AZEK's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of AZEK's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.0yrs
Average management tenure
CEO
Jesse Singh (54 yo)
no data
Tenure
US$35,544,264
Compensation
Mr. Jesse G. Singh serves as the Chief Executive Officer and President at The AZEK Company Inc. (formerly known as CPG Newco LLC) and has been its Director since joining in July 2016. Mr. Singh has been th...
CEO Compensation Analysis
Compensation vs Market: Jesse's total compensation ($USD35.54M) is above average for companies of similar size in the US market ($USD6.22M).
Compensation vs Earnings: Jesse's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | no data | US$35.54m | 1.53% $ 97.4m | |
| Senior VP & CFO | no data | US$9.38m | 0.27% $ 17.2m | |
| President of Residential Segment | no data | US$10.29m | 0.37% $ 23.6m | |
| Senior Vice President of Operations | no data | no data | 0.13% $ 8.6m | |
| VP & Chief Accounting Officer | no data | no data | no data | |
| Vice President Information Technology | 7.33yrs | no data | no data | |
| Chief Information Officer | 1.08yrs | no data | no data | |
| Senior VP & Chief Legal Officer | no data | no data | 0.086% $ 5.5m | |
| Chief Marketing Officer | no data | no data | 0.13% $ 8.5m | |
| Senior VP & Chief Human Resources Officer | no data | no data | 0.15% $ 9.6m | |
| President of Commercial Segment | 4yrs | no data | 0.25% $ 15.9m | |
| Senior Vice President of Strategy & Execution | no data | US$801.44k | 0.16% $ 10.1m |
4.0yrs
Average Tenure
53.5yo
Average Age
Experienced Management: AZEK's management team is considered experienced (4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | no data | US$35.54m | 1.53% $ 97.4m | |
| Independent Director | 2.17yrs | US$945.73k | 0.037% $ 2.4m | |
| Independent Director | 0.42yr | US$132.28k | 0.029% $ 1.9m | |
| Independent Director | 1yr | no data | no data | |
| Independent Director | 8yrs | no data | no data | |
| Independent Director | 0.17yr | no data | no data | |
| Independent Director | 8yrs | no data | no data | |
| Independent Non-Executive Chairman of the Board | 3.67yrs | US$5.44m | 0.19% $ 12.1m | |
| Independent Director | 0.17yr | no data | no data | |
| Independent Director | 2.92yrs | no data | no data | |
| Independent Director | 1.92yrs | no data | no data | |
| Independent Director | 0.17yr | no data | no data |
2.0yrs
Average Tenure
53.5yo
Average Age
Experienced Board: AZEK's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: AZEK insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: AZEK only recently listed within the past 12 months.
Top Shareholders
Company Information
The AZEK Company Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: The AZEK Company Inc.
- Ticker: AZEK
- Exchange: NYSE
- Founded: 2013
- Industry: Building Products
- Sector: Capital Goods
- Market Cap: US$6.360b
- Shares outstanding: 154.64m
- Website: https://azekco.com
Number of Employees
Location
- The AZEK Company Inc.
- 1330 West Fulton Street
- Suite 350
- Chicago
- Illinois
- 60607
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AZEK | NYSE (New York Stock Exchange) | Yes | Class A Common Stock | US | USD | Jun 2020 |
Biography
The AZEK Company Inc. engages in designing, manufacturing, and selling building products for residential, commercial, and industrial markets in the United States. Its products include trims, decks, porches...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/22 23:06 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2020/09/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.