Market Cap
US$1.2b
Last Updated
2021/01/19 23:29 UTC
Data Sources
Company Financials +
Executive Summary
AZZ Inc. provides galvanizing and metal coating solutions, welding solutions, specialty electrical equipment, and highly engineered services to the power generation, transmission, distribution, refining, and industrial markets. More Details
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet average dividend payer.
Similar Companies
Share Price & News
How has AZZ's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AZZ is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: AZZ's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
-2.6%
AZZ
-1.7%
US Electrical
0.3%
US Market
1 Year Return
12.8%
AZZ
48.5%
US Electrical
21.1%
US Market
Return vs Industry: AZZ underperformed the US Electrical industry which returned 44.9% over the past year.
Return vs Market: AZZ underperformed the US Market which returned 19.5% over the past year.
Shareholder returns
| AZZ | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.6% | -1.7% | 0.3% |
| 30 Day | 4.1% | 15.1% | 3.3% |
| 90 Day | 40.6% | 32.0% | 14.2% |
| 1 Year | 15.1%12.8% | 51.5%48.5% | 23.8%21.1% |
| 3 Year | 9.0%3.6% | 69.1%59.4% | 45.0%35.4% |
| 5 Year | 7.0%-0.6% | 141.2%122.3% | 127.7%102.3% |
Long-Term Price Volatility Vs. Market
How volatile is AZZ's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
AZZ Inc.'s (NYSE:AZZ) Financials Are Too Obscure To Link With Current Share Price Momentum: What's In Store For the Stock?3 weeks ago | Simply Wall St
AZZ (NYSE:AZZ) Seems To Use Debt Quite Sensibly1 month ago | Simply Wall St
AZZ's(NYSE:AZZ) Share Price Is Down 17% Over The Past Five Years.Valuation
Is AZZ undervalued compared to its fair value and its price relative to the market?
99.41x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: AZZ ($48.76) is trading above our estimate of fair value ($38.96)
Significantly Below Fair Value: AZZ is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: AZZ is poor value based on its PE Ratio (99.4x) compared to the US Electrical industry average (31.9x).
PE vs Market: AZZ is poor value based on its PE Ratio (99.4x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: AZZ is poor value based on its PEG Ratio (1.9x)
Price to Book Ratio
PB vs Industry: AZZ is good value based on its PB Ratio (2x) compared to the US Electrical industry average (4.6x).
Next Steps
Future Growth
How is AZZ forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
52.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AZZ's forecast earnings growth (52.6% per year) is above the savings rate (2%).
Earnings vs Market: AZZ's earnings (52.6% per year) are forecast to grow faster than the US market (21.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: AZZ's revenue (5% per year) is forecast to grow slower than the US market (10.3% per year).
High Growth Revenue: AZZ's revenue (5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AZZ's Return on Equity is forecast to be low in 3 years time (10.4%).
Next Steps
Past Performance
How has AZZ performed over the past 5 years?
-15.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AZZ has a large one-off loss of $48.1M impacting its November 30 2020 financial results.
Growing Profit Margin: AZZ's current net profit margins (1.4%) are lower than last year (6.6%).
Past Earnings Growth Analysis
Earnings Trend: AZZ's earnings have declined by 15.5% per year over the past 5 years.
Accelerating Growth: AZZ's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: AZZ had negative earnings growth (-81%) over the past year, making it difficult to compare to the Electrical industry average (-18.5%).
Return on Equity
High ROE: AZZ's Return on Equity (2.1%) is considered low.
Next Steps
Financial Health
How is AZZ's financial position?
Financial Position Analysis
Short Term Liabilities: AZZ's short term assets ($324.7M) exceed its short term liabilities ($123.5M).
Long Term Liabilities: AZZ's short term assets ($324.7M) exceed its long term liabilities ($262.3M).
Debt to Equity History and Analysis
Debt Level: AZZ's debt to equity ratio (29.2%) is considered satisfactory.
Reducing Debt: AZZ's debt to equity ratio has reduced from 68.7% to 29.2% over the past 5 years.
Debt Coverage: AZZ's debt is well covered by operating cash flow (72.6%).
Interest Coverage: AZZ's interest payments on its debt are well covered by EBIT (8x coverage).
Balance Sheet
Next Steps
Dividend
What is AZZ current dividend yield, its reliability and sustainability?
1.39%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: AZZ's dividend (1.39%) is higher than the bottom 25% of dividend payers in the US market (1.39%).
High Dividend: AZZ's dividend (1.39%) is low compared to the top 25% of dividend payers in the US market (3.85%).
Stability and Growth of Payments
Stable Dividend: AZZ's dividends per share have been stable in the past 10 years.
Growing Dividend: AZZ's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (138.6%), AZZ's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: AZZ's dividends in 3 years are forecast to be well covered by earnings (23.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.2yrs
Average management tenure
CEO
Tom Ferguson (64 yo)
7.17yrs
Tenure
US$3,412,204
Compensation
Mr. Thomas E. Ferguson, also known as Tom, has been the Chief Executive Officer and President of AZZ incorporated since November 4, 2013. He served as Chief Executive Officer, FlexSteel Pipeline Technologi...
CEO Compensation Analysis
Compensation vs Market: Tom's total compensation ($USD3.41M) is about average for companies of similar size in the US market ($USD3.88M).
Compensation vs Earnings: Tom's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 7.17yrs | US$3.41m | 0.43% $ 5.4m | |
| Chief Legal Officer & Corporate Secretary | 6.67yrs | US$976.38k | 0.044% $ 542.7k | |
| President & GM of Electrical Platform | 3.42yrs | US$1.24m | 0.041% $ 501.8k | |
| Chief Operating Officer of Infrastructure Solutions | 0.25yr | US$2.13m | 0.055% $ 685.4k | |
| Senior VP | 0.67yr | no data | 0.0057% $ 70.7k | |
| Chief Information & Human Resource Officer | 8yrs | US$774.98k | 0.037% $ 454.9k | |
| Senior Vice President of Strategic Marketing | 0.50yr | no data | no data | |
| Vice President of Corporate Development | 7yrs | US$466.47k | 0.045% $ 551.2k | |
| Chief Operating Officer of Metal Coatings Segment | 0.50yr | no data | 0.066% $ 811.4k | |
| Senior Vice President of Surface Technologies & Galvabar | 3yrs | no data | 0.0089% $ 110.2k |
3.2yrs
Average Tenure
56yo
Average Age
Experienced Management: AZZ's management team is considered experienced (3.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 7.17yrs | US$3.41m | 0.43% $ 5.4m | |
| Independent Director | 21yrs | US$172.91k | 0.27% $ 3.3m | |
| Independent Chairman of the Board | 2yrs | US$221.56k | 0.28% $ 3.4m | |
| Independent Director | 24yrs | US$170.68k | 0.26% $ 3.2m | |
| Independent Director | 4.83yrs | US$169.54k | 0.062% $ 770.5k | |
| Independent Director | 5.5yrs | US$170.00k | 0.050% $ 620.1k | |
| Independent Director | 5yrs | US$170.00k | 0.042% $ 518.2k | |
| Independent Director | 4yrs | US$166.82k | 0.036% $ 446.7k |
5.3yrs
Average Tenure
64.5yo
Average Age
Experienced Board: AZZ's board of directors are considered experienced (5.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
AZZ Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: AZZ Inc.
- Ticker: AZZ
- Exchange: NYSE
- Founded: 1956
- Industry: Heavy Electrical Equipment
- Sector: Capital Goods
- Market Cap: US$1.237b
- Shares outstanding: 25.36m
- Website: https://www.azz.com
Number of Employees
Location
- AZZ Inc.
- One Museum Place
- Suite 500
- Fort Worth
- Texas
- 76107
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AZZ | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Dec 1972 |
| AI7 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 1972 |
Biography
AZZ Inc. provides galvanizing and metal coating solutions, welding solutions, specialty electrical equipment, and highly engineered services to the power generation, transmission, distribution, refining, a...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/19 23:29 |
| End of Day Share Price | 2021/01/19 00:00 |
| Earnings | 2020/11/30 |
| Annual Earnings | 2020/02/29 |
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.