AZZ (NYSE:AZZ) Stock Rating Raised to Buy at Wall Street Zen

by · The Cerbat Gem

Wall Street Zen upgraded shares of AZZ (NYSE:AZZ – Free Report) from a hold rating to a buy rating in a research note published on Saturday,Wall Street Zen reports.

AZZ has been the subject of several other research reports. Barclays boosted their price target on AZZ from $140.00 to $145.00 and gave the company an “equal weight” rating in a research note on Thursday. Wells Fargo & Company raised their price objective on shares of AZZ from $144.00 to $145.00 and gave the company an “equal weight” rating in a research report on Thursday. Robert W. Baird cut their price objective on shares of AZZ from $155.00 to $150.00 and set a “neutral” rating on the stock in a research report on Thursday. Weiss Ratings reiterated a “buy (b)” rating on shares of AZZ in a research note on Tuesday, October 6th. Finally, B. Riley Financial boosted their target price on shares of AZZ from $170.00 to $174.00 and gave the stock a “buy” rating in a research report on Thursday. Four analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $153.20.

Check Out Our Latest Stock Analysis on AZZ

AZZ Price Performance

AZZ opened at $129.30 on Friday. The stock has a market cap of $3.87 billion, a price-to-earnings ratio of 23.30 and a beta of 1.13. AZZ has a 1 year low of $94.61 and a 1 year high of $162.20. The company has a current ratio of 1.79, a quick ratio of 1.39 and a debt-to-equity ratio of 0.33. The stock has a fifty day moving average price of $139.03 and a 200 day moving average price of $142.04.

AZZ (NYSE:AZZ – Get Free Report) last issued its earnings results on Tuesday, October 13th. The industrial products company reported $2.00 earnings per share for the quarter, topping the consensus estimate of $1.88 by $0.12. AZZ had a return on equity of 14.85% and a net margin of 9.59%. The company had revenue of $486.89 million for the quarter, compared to analyst estimates of $467.14 million. During the same period in the prior year, the firm posted $1.55 EPS. The business’s revenue was up 16.7% compared to the same quarter last year. AZZ has set its FY 2027 guidance at 7.000-7.300 EPS. Analysts forecast that AZZ will post 7.11 EPS for the current fiscal year.

AZZ Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, November 5th. Shareholders of record on Monday, October 19th will be issued a dividend of $0.24 per share. This represents a $0.96 annualized dividend and a yield of 0.7%. The ex-dividend date is Monday, October 19th. AZZ’s dividend payout ratio (DPR) is 17.30%.

Insider Transactions at AZZ

In related news, COO Jeffrey Vellines sold 4,220 shares of the business’s stock in a transaction that occurred on Tuesday, August 11th. The stock was sold at an average price of $153.55, for a total value of $647,981.00. Following the completion of the sale, the chief operating officer directly owned 1,834 shares in the company, valued at approximately $281,610.70. The trade was a 69.71% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, COO Bryan Lee Stovall sold 2,677 shares of the company’s stock in a transaction that occurred on Friday, August 14th. The stock was sold at an average price of $150.07, for a total value of $401,737.39. Following the sale, the chief operating officer directly owned 35,000 shares of the company’s stock, valued at $5,252,450. The trade was a 7.11% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 1.70% of the company’s stock.

Hedge Funds Weigh In On AZZ

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. BlackRock Inc. acquired a new stake in shares of AZZ in the second quarter worth $719,876,000. SEB Asset Management AB acquired a new position in AZZ in the 1st quarter valued at $45,297,000. Bank of New York Mellon Corp acquired a new position in AZZ in the 2nd quarter valued at $35,818,000. Bank of America Corp DE acquired a new position in AZZ in the 2nd quarter valued at $32,505,000. Finally, Jupiter Topco LLC bought a new position in AZZ in the 2nd quarter worth $14,588,000. Institutional investors and hedge funds own 90.93% of the company’s stock.

AZZ News Summary

Here are the key news stories impacting AZZ this week:

  • Positive Sentiment: AZZ reported record quarterly sales of $486.9 million, up 16.7% year over year, while EPS of $2.00 exceeded the $1.82 analyst consensus. Management also raised fiscal 2027 EPS guidance to $7.00–$7.30, supporting the company’s growth outlook. AZZ Analysts Boost Their Forecasts After Upbeat Q2 Results
  • Positive Sentiment: Noble Financial raised its AZZ EPS forecasts for fiscal 2027 through fiscal 2031. The firm now expects $7.15 for fiscal 2027, $7.67 for fiscal 2028, $8.00 for fiscal 2029, $8.34 for fiscal 2030 and $8.70 for fiscal 2031, indicating confidence in longer-term earnings growth.
  • Positive Sentiment: Wells Fargo increased its price target to $145 from $144, implying meaningful potential upside from the referenced trading level, although it retained an “equal weight” rating.
  • Neutral Sentiment: Barclays initiated coverage with an “equal weight” rating and a $140 price target, while Robert W. Baird maintained a “neutral” rating despite reducing its target to $150 from $155. The ratings suggest analysts see upside but remain cautious about valuation and execution. AZZ Lifts Guidance Following Record Sales
  • Negative Sentiment: Noble Financial trimmed its fiscal 2027 third- and fourth-quarter EPS estimates to $1.75 and $1.55, respectively. These modest near-term reductions may be weighing on the stock even though full-year and longer-range estimates increased.
  • Negative Sentiment: The market’s reaction has remained subdued after the earnings beat, reflecting concerns that the strong results and raised guidance may already be reflected in AZZ’s valuation. The shares also remain below their 50-day and 200-day moving averages, adding technical pressure.

About AZZ

(Get Free Report)

AZZ Inc is a provider of metal coating solutions serving customers primarily in North America. The company operates through its Metal Coatings and Precoat Metals segments, helping protect and enhance the performance, appearance, and durability of steel and other metal products used across a range of industries.

Through its Metal Coatings segment, AZZ provides hot-dip galvanizing, powder coating, anodizing, plating, and related coating services. These treatments are used for corrosion protection and finishing applications involving infrastructure, construction, industrial, transportation, and other metal products.

Precoat Metals provides coil coating services for steel and aluminum products before they are fabricated.

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