AMERICAN AXLE & MFG HOLDINGS (AXL) Stock Fundamental Analysis
USA - NYSE:AXL - US0240611030 - Common Stock
6.38 USD
0 (0%)
AXL gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 83 industry peers in the Automobile Components industry. Both the profitability and financial health of AXL have multiple concerns. AXL has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AXL was profitable.
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 of 0.78%. This is in the lower half of the industry: AXL underperforms 73.49% of its industry peers.
AXL has a worse Return On Equity (6.08%) than 63.86% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.73%, AXL is doing worse than 72.29% of the companies in the same industry.
AXL had an Average Return On Invested Capital over the past 3 years of 4.62%. This is below the industry average of 8.52%.
The 3 year average ROIC (4.62%) for AXL is below the current ROIC(4.73%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.78% | ||
| ROE | 6.08% | ||
| ROIC | 4.73% |
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 worse Profit Margin (0.70%) than 71.08% of its industry peers.
In the last couple of years the Profit Margin of AXL has grown nicely.
Looking at the Operating Margin, with a value of 4.15%, AXL is doing worse than 71.08% of the companies in the same industry.
In the last couple of years the Operating Margin of AXL has declined.
AXL has a Gross Margin of 12.00%. This is amonst the worse of the industry: AXL underperforms 84.34% of its industry peers.
AXL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.15% | ||
| PM (TTM) | 0.7% | ||
| GM | 12% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AXL is destroying value.
AXL has more shares outstanding than it did 1 year ago.
The number of shares outstanding for AXL has been increased compared to 5 years ago.
The debt/assets ratio for AXL has remained at the same level compared to a year ago.
2.2 Solvency
AXL has an Altman-Z score of 1.52. This is a bad value and indicates that AXL is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.52, AXL is not doing good in the industry: 81.93% of the companies in the same industry are doing better.
The Debt to FCF ratio of AXL is 16.82, which is on the high side as it means it would take AXL, 16.82 years of fcf income to pay off all of its debts.
AXL's Debt to FCF ratio of 16.82 is on the low side compared to the rest of the industry. AXL is outperformed by 72.29% of its industry peers.
AXL has a Debt/Equity ratio of 3.86. This is a high value indicating a heavy dependency on external financing.
AXL has a worse Debt to Equity ratio (3.86) than 90.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.86 | ||
| Debt/FCF | 16.82 | ||
| Altman-Z | 1.52 |
ROIC/WACC0.64
WACC7.44%
2.3 Liquidity
A Current Ratio of 1.77 indicates that AXL should not have too much problems paying its short term obligations.
AXL has a worse Current ratio (1.77) than 75.90% of its industry peers.
A Quick Ratio of 1.40 indicates that AXL should not have too much problems paying its short term obligations.
The Quick ratio of AXL (1.40) is better than 81.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
AXL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 158.82%, which is quite impressive.
The earnings per share for AXL have been decreasing by -20.64% on average. This is quite bad
AXL shows a decrease in Revenue. In the last year, the revenue decreased by -6.73%.
Measured over the past years, AXL shows a decrease in Revenue. The Revenue has been decreasing by -1.28% on average per year.
EPS 1Y (TTM)158.82%
EPS 3Y-17.85%
EPS 5Y-20.64%
EPS Q2Q%10.53%
Revenue 1Y (TTM)-6.73%
Revenue growth 3Y5.9%
Revenue growth 5Y-1.28%
Sales Q2Q%-5.89%
3.2 Future
Based on estimates for the next years, AXL will show a very strong growth in Earnings Per Share. The EPS will grow by 25.47% on average per year.
The Revenue is expected to grow by 0.85% on average over the next years.
EPS Next Y-16%
EPS Next 2Y11.74%
EPS Next 3Y28.88%
EPS Next 5Y25.47%
Revenue Next Year-4.77%
Revenue Next 2Y-2.66%
Revenue Next 3Y-0.47%
Revenue Next 5Y0.85%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.50, the valuation of AXL can be described as correct.
60.24% of the companies in the same industry are more expensive than AXL, based on the Price/Earnings ratio.
AXL's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.83.
AXL is valuated reasonably with a Price/Forward Earnings ratio of 10.02.
Based on the Price/Forward Earnings ratio, AXL is valued a bit cheaper than the industry average as 61.45% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.82, AXL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.5 | ||
| Fwd PE | 10.02 |
4.2 Price Multiples
AXL's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AXL is cheaper than 80.72% of the companies in the same industry.
AXL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AXL is cheaper than 97.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.86 | ||
| EV/EBITDA | 3.99 |
4.3 Compensation for Growth
AXL's earnings are expected to grow with 28.88% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y11.74%
EPS Next 3Y28.88%
5. Dividend
5.1 Amount
AXL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:AXL (10/24/2025, 2:36:06 PM)
6.38
0 (0%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners123.58%
Inst Owner Change-1.09%
Ins Owners3.57%
Ins Owner Change4.2%
Market Cap757.05M
Revenue(TTM)5.83B
Net Income(TTM)40.90M
Analysts69.23
Price Target6.53 (2.35%)
Short Float %24.24%
Short Ratio7.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)129.2%
Min EPS beat(2)31.39%
Max EPS beat(2)227.01%
EPS beat(4)4
Avg EPS beat(4)199.39%
Min EPS beat(4)31.39%
Max EPS beat(4)504.12%
EPS beat(8)7
Avg EPS beat(8)116.55%
EPS beat(12)10
Avg EPS beat(12)17.37%
EPS beat(16)13
Avg EPS beat(16)200.14%
Revenue beat(2)0
Avg Revenue beat(2)-3.34%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-2.87%
Revenue beat(4)0
Avg Revenue beat(4)-2.24%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-0.93%
Revenue beat(8)4
Avg Revenue beat(8)0.34%
Revenue beat(12)5
Avg Revenue beat(12)0.16%
Revenue beat(16)8
Avg Revenue beat(16)0.59%
PT rev (1m)0%
PT rev (3m)15.28%
EPS NQ rev (1m)2.43%
EPS NQ rev (3m)84.17%
EPS NY rev (1m)0.23%
EPS NY rev (3m)23.25%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.94%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.5 | ||
| Fwd PE | 10.02 | ||
| P/S | 0.13 | ||
| P/FCF | 4.86 | ||
| P/OCF | 1.71 | ||
| P/B | 1.12 | ||
| P/tB | 9.2 | ||
| EV/EBITDA | 3.99 |
EPS(TTM)0.44
EY6.9%
EPS(NY)0.64
Fwd EY9.98%
FCF(TTM)1.31
FCFY20.59%
OCF(TTM)3.73
OCFY58.46%
SpS49.16
BVpS5.67
TBVpS0.69
PEG (NY)N/A
PEG (5Y)N/A
Graham Number7.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.78% | ||
| ROE | 6.08% | ||
| ROCE | 5.99% | ||
| ROIC | 4.73% | ||
| ROICexc | 5.53% | ||
| ROICexgc | 6.67% | ||
| OM | 4.15% | ||
| PM (TTM) | 0.7% | ||
| GM | 12% | ||
| FCFM | 2.67% |
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 Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.86 | ||
| Debt/FCF | 16.82 | ||
| Debt/EBITDA | 3.71 | ||
| Cap/Depr | 62.6% | ||
| Cap/Sales | 4.91% | ||
| Interest Coverage | 1.45 | ||
| Cash Conversion | 63.2% | ||
| Profit Quality | 381.17% | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z | 1.52 |
F-Score8
WACC7.44%
ROIC/WACC0.64
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)158.82%
EPS 3Y-17.85%
EPS 5Y-20.64%
EPS Q2Q%10.53%
EPS Next Y-16%
EPS Next 2Y11.74%
EPS Next 3Y28.88%
EPS Next 5Y25.47%
Revenue 1Y (TTM)-6.73%
Revenue growth 3Y5.9%
Revenue growth 5Y-1.28%
Sales Q2Q%-5.89%
Revenue Next Year-4.77%
Revenue Next 2Y-2.66%
Revenue Next 3Y-0.47%
Revenue Next 5Y0.85%
EBIT growth 1Y2.58%
EBIT growth 3Y-2.49%
EBIT growth 5Y-9.31%
EBIT Next Year179.35%
EBIT Next 3Y52.39%
EBIT Next 5Y25.13%
FCF growth 1Y-23.47%
FCF growth 3Y-16.99%
FCF growth 5Y10.25%
OCF growth 1Y11.04%
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 of AMERICAN AXLE & MFG HOLDINGS (AXL) stock?
ChartMill assigns a valuation rating of 6 / 10 to AMERICAN AXLE & MFG HOLDINGS (AXL). This can be considered as Fairly Valued.
How profitable is AMERICAN AXLE & MFG HOLDINGS (AXL) stock?
AMERICAN AXLE & MFG HOLDINGS (AXL) has a profitability rating of 3 / 10.
Can you provide the financial health for AXL stock?
The financial health rating of AMERICAN AXLE & MFG HOLDINGS (AXL) is 2 / 10.