AMERICAN AXLE & MFG HOLDINGS (AXL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AXL - US0240611030 - Common Stock
7.77 USD
+0.02 (+0.26%)
7.85 USD
+0.08 (+1.03%)
AXL gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 42 industry peers in the Automobile Components industry. AXL has a medium profitability rating, but doesn't score so well on its financial health evaluation. AXL has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- AXL had positive earnings in the past year.
- AXL had a positive operating cash flow in the past year.
- In multiple years AXL reported negative net income over the last 5 years.
- Each year in the past 5 years AXL had a positive operating cash flow.
1.2 Ratios
- AXL has a Return On Assets (0.75%) which is comparable to the rest of the industry.
- AXL has a Return On Equity of 5.58%. This is in the better half of the industry: AXL outperforms 71.43% of its industry peers.
- AXL has a Return On Invested Capital (4.97%) which is in line with its industry peers.
- AXL had an Average Return On Invested Capital over the past 3 years of 4.62%. This is below the industry average of 9.10%.
- The 3 year average ROIC (4.62%) for AXL is below the current ROIC(4.97%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 5.58% | ||
| ROIC | 4.97% |
ROA(3y)0.39%
ROA(5y)-1.64%
ROE(3y)3.42%
ROE(5y)-28%
ROIC(3y)4.62%
ROIC(5y)4.36%
1.3 Margins
- AXL has a Profit Margin (0.69%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of AXL has grown nicely.
- AXL has a Operating Margin (4.39%) which is comparable to the rest of the industry.
- AXL's Operating Margin has declined in the last couple of years.
- AXL has a worse Gross Margin (12.31%) than 73.81% of its industry peers.
- In the last couple of years the Gross Margin of AXL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.39% | ||
| PM (TTM) | 0.69% | ||
| GM | 12.31% |
OM growth 3Y-7.92%
OM growth 5Y-8.14%
PM growth 3Y70.91%
PM growth 5YN/A
GM growth 3Y-4.77%
GM growth 5Y-2.62%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AXL is destroying value.
- The number of shares outstanding for AXL has been increased compared to 1 year ago.
- The number of shares outstanding for AXL has been increased compared to 5 years ago.
- AXL has about the same debt/assets ratio as last year.
2.2 Solvency
- Based on the Altman-Z score of 1.54, we must say that AXL is in the distress zone and has some risk of bankruptcy.
- AXL has a worse Altman-Z score (1.54) than 64.29% of its industry peers.
- AXL has a debt to FCF ratio of 16.22. This is a negative value and a sign of low solvency as AXL would need 16.22 years to pay back of all of its debts.
- The Debt to FCF ratio of AXL (16.22) is comparable to the rest of the industry.
- AXL has a Debt/Equity ratio of 3.61. This is a high value indicating a heavy dependency on external financing.
- AXL has a Debt to Equity ratio of 3.61. This is amonst the worse of the industry: AXL underperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.61 | ||
| Debt/FCF | 16.22 | ||
| Altman-Z | 1.54 |
ROIC/WACC0.63
WACC7.85%
2.3 Liquidity
- A Current Ratio of 1.77 indicates that AXL should not have too much problems paying its short term obligations.
- AXL's Current ratio of 1.77 is in line compared to the rest of the industry. AXL outperforms 47.62% of its industry peers.
- A Quick Ratio of 1.43 indicates that AXL should not have too much problems paying its short term obligations.
- With a decent Quick ratio value of 1.43, AXL is doing good in the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.43 |
3. Growth
3.1 Past
- AXL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.67%.
- AXL shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -20.64% yearly.
- AXL shows a decrease in Revenue. In the last year, the revenue decreased by -6.02%.
- AXL shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.28% yearly.
EPS 1Y (TTM)-16.67%
EPS 3Y-17.85%
EPS 5Y-20.64%
EPS Q2Q%-20%
Revenue 1Y (TTM)-6.02%
Revenue growth 3Y5.9%
Revenue growth 5Y-1.28%
Sales Q2Q%0.03%
3.2 Future
- The Earnings Per Share is expected to grow by 30.48% on average over the next years. This is a very strong growth
- AXL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.46% yearly.
EPS Next Y-15.93%
EPS Next 2Y14.08%
EPS Next 3Y20.6%
EPS Next 5Y30.48%
Revenue Next Year-4.56%
Revenue Next 2Y-1.97%
Revenue Next 3Y-0.43%
Revenue Next 5Y1.46%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 19.42, the valuation of AXL can be described as rather expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of AXL is on the same level as its industry peers.
- AXL is valuated rather cheaply when we compare the Price/Earnings ratio to 27.33, which is the current average of the S&P500 Index.
- AXL is valuated reasonably with a Price/Forward Earnings ratio of 11.71.
- 61.90% of the companies in the same industry are more expensive than AXL, based on the Price/Forward Earnings ratio.
- AXL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.42 | ||
| Fwd PE | 11.71 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AXL indicates a rather cheap valuation: AXL is cheaper than 95.24% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of AXL indicates a rather cheap valuation: AXL is cheaper than 95.24% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.72 | ||
| EV/EBITDA | 3.95 |
4.3 Compensation for Growth
- A more expensive valuation may be justified as AXL's earnings are expected to grow with 20.60% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y14.08%
EPS Next 3Y20.6%
5. Dividend
5.1 Amount
- No dividends for AXL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
7.77
+0.02 (+0.26%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)11-07 2025-11-07/bmo
Earnings (Next)02-12 2026-02-12/amc
Inst Owners140.17%
Inst Owner Change0.07%
Ins Owners3.57%
Ins Owner Change0%
Market Cap922.30M
Revenue(TTM)5.83B
Net Income(TTM)40.10M
Analysts70
Price Target7.53 (-3.09%)
Short Float %25.17%
Short Ratio9.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)23.15%
Min EPS beat(2)14.91%
Max EPS beat(2)31.39%
EPS beat(4)4
Avg EPS beat(4)77.08%
Min EPS beat(4)14.91%
Max EPS beat(4)227.01%
EPS beat(8)8
Avg EPS beat(8)213.37%
EPS beat(12)10
Avg EPS beat(12)17.6%
EPS beat(16)13
Avg EPS beat(16)36.69%
Revenue beat(2)0
Avg Revenue beat(2)-2.74%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-1.68%
Revenue beat(4)0
Avg Revenue beat(4)-2.43%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-1.37%
Revenue beat(8)3
Avg Revenue beat(8)-0.28%
Revenue beat(12)4
Avg Revenue beat(12)-0.24%
Revenue beat(16)7
Avg Revenue beat(16)0.36%
PT rev (1m)4.21%
PT rev (3m)15.29%
EPS NQ rev (1m)20.11%
EPS NQ rev (3m)-705.85%
EPS NY rev (1m)2.96%
EPS NY rev (3m)0.08%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)0.86%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.42 | ||
| Fwd PE | 11.71 | ||
| P/S | 0.16 | ||
| P/FCF | 5.72 | ||
| P/OCF | 2.09 | ||
| P/B | 1.28 | ||
| P/tB | 6.21 | ||
| EV/EBITDA | 3.95 |
EPS(TTM)0.4
EY5.15%
EPS(NY)0.66
Fwd EY8.54%
FCF(TTM)1.36
FCFY17.49%
OCF(TTM)3.73
OCFY47.96%
SpS49.15
BVpS6.05
TBVpS1.25
PEG (NY)N/A
PEG (5Y)N/A
Graham Number7.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 5.58% | ||
| ROCE | 6.29% | ||
| ROIC | 4.97% | ||
| ROICexc | 6.02% | ||
| ROICexgc | 7.26% | ||
| OM | 4.39% | ||
| PM (TTM) | 0.69% | ||
| GM | 12.31% | ||
| FCFM | 2.77% |
ROA(3y)0.39%
ROA(5y)-1.64%
ROE(3y)3.42%
ROE(5y)-28%
ROIC(3y)4.62%
ROIC(5y)4.36%
ROICexc(3y)5.31%
ROICexc(5y)4.98%
ROICexgc(3y)6.63%
ROICexgc(5y)6.27%
ROCE(3y)5.85%
ROCE(5y)5.52%
ROICexgc growth 3Y2.99%
ROICexgc growth 5Y-4.38%
ROICexc growth 3Y4.2%
ROICexc growth 5Y-1.31%
OM growth 3Y-7.92%
OM growth 5Y-8.14%
PM growth 3Y70.91%
PM growth 5YN/A
GM growth 3Y-4.77%
GM growth 5Y-2.62%
F-Score8
Asset Turnover1.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.61 | ||
| Debt/FCF | 16.22 | ||
| Debt/EBITDA | 3.64 | ||
| Cap/Depr | 61.43% | ||
| Cap/Sales | 4.82% | ||
| Interest Coverage | 1.56 | ||
| Cash Conversion | 61.98% | ||
| Profit Quality | 402.24% | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.43 | ||
| Altman-Z | 1.54 |
F-Score8
WACC7.85%
ROIC/WACC0.63
Cap/Depr(3y)43.16%
Cap/Depr(5y)40.82%
Cap/Sales(3y)3.45%
Cap/Sales(5y)3.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.67%
EPS 3Y-17.85%
EPS 5Y-20.64%
EPS Q2Q%-20%
EPS Next Y-15.93%
EPS Next 2Y14.08%
EPS Next 3Y20.6%
EPS Next 5Y30.48%
Revenue 1Y (TTM)-6.02%
Revenue growth 3Y5.9%
Revenue growth 5Y-1.28%
Sales Q2Q%0.03%
Revenue Next Year-4.56%
Revenue Next 2Y-1.97%
Revenue Next 3Y-0.43%
Revenue Next 5Y1.46%
EBIT growth 1Y-3.21%
EBIT growth 3Y-2.49%
EBIT growth 5Y-9.31%
EBIT Next Year186.93%
EBIT Next 3Y43.59%
EBIT Next 5Y26.35%
FCF growth 1Y-45.43%
FCF growth 3Y-16.99%
FCF growth 5Y10.25%
OCF growth 1Y-10.05%
OCF growth 3Y-5.43%
OCF growth 5Y-4.04%
AMERICAN AXLE & MFG HOLDINGS / AXL FAQ
Can you provide the ChartMill fundamental rating for AMERICAN AXLE & MFG HOLDINGS?
ChartMill assigns a fundamental rating of 3 / 10 to AXL.
What is the valuation status for AXL stock?
ChartMill assigns a valuation rating of 6 / 10 to AMERICAN AXLE & MFG HOLDINGS (AXL). This can be considered as Fairly Valued.
What is the profitability of AXL stock?
AMERICAN AXLE & MFG HOLDINGS (AXL) has a profitability rating of 4 / 10.
What is the valuation of AMERICAN AXLE & MFG HOLDINGS based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AMERICAN AXLE & MFG HOLDINGS (AXL) is 19.42 and the Price/Book (PB) ratio is 1.28.
How financially healthy is AMERICAN AXLE & MFG HOLDINGS?
The financial health rating of AMERICAN AXLE & MFG HOLDINGS (AXL) is 2 / 10.