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AMERICAN AXLE & MFG HOLDINGS (AXL) Stock Fundamental Analysis

USA - New York Stock Exchange - NYSE:AXL - US0240611030 - Common Stock

8.28 USD
+0.14 (+1.72%)
Last: 1/23/2026, 8:04:00 PM
8.29 USD
+0.01 (+0.12%)
After Hours: 1/23/2026, 8:04:00 PM
Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to AXL. AXL was compared to 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.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • AXL had positive earnings in the past year.
  • In the past year AXL had a positive cash flow from operations.
  • In multiple years AXL reported negative net income over the last 5 years.
  • In the past 5 years AXL always reported a positive cash flow from operatings.
AXL Yearly Net Income VS EBIT VS OCF VS FCFAXL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M -400M 600M

1.2 Ratios

  • AXL has a Return On Assets of 0.75%. This is comparable to the rest of the industry: AXL outperforms 50.00% of its industry peers.
  • AXL has a better Return On Equity (5.58%) than 71.43% of its industry peers.
  • AXL has a Return On Invested Capital of 4.97%. This is comparable to the rest of the industry: AXL outperforms 50.00% of 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 RankSector 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%
AXL Yearly ROA, ROE, ROICAXL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -50 -100 -150

1.3 Margins

  • AXL has a Profit Margin of 0.69%. This is comparable to the rest of the industry: AXL outperforms 52.38% of its industry peers.
  • AXL's Profit Margin has improved in the last couple of years.
  • AXL has a Operating Margin of 4.39%. This is comparable to the rest of the industry: AXL outperforms 54.76% of its industry peers.
  • AXL's Operating Margin has declined in the last couple of years.
  • The Gross Margin of AXL (12.31%) is worse than 73.81% of its industry peers.
  • In the last couple of years the Gross Margin of AXL has declined.
Industry RankSector 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%
AXL Yearly Profit, Operating, Gross MarginsAXL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10

2

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AXL is destroying value.
  • Compared to 1 year ago, AXL has more shares outstanding
  • AXL has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for AXL has remained at the same level compared to a year ago.
AXL Yearly Shares OutstandingAXL Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
AXL Yearly Total Debt VS Total AssetsAXL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

2.2 Solvency

  • Based on the Altman-Z score of 1.55, we must say that AXL is in the distress zone and has some risk of bankruptcy.
  • The Altman-Z score of AXL (1.55) is worse 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.
  • AXL has a Debt to FCF ratio (16.22) which is in line with its industry peers.
  • A Debt/Equity ratio of 3.61 is on the high side and indicates that AXL has dependencies on debt financing.
  • The Debt to Equity ratio of AXL (3.61) is worse than 85.71% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.61
Debt/FCF 16.22
Altman-Z 1.55
ROIC/WACC0.62
WACC7.99%
AXL Yearly LT Debt VS Equity VS FCFAXL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

2.3 Liquidity

  • AXL has a Current Ratio of 1.77. This is a normal value and indicates that AXL is financially healthy and should not expect problems in meeting its short term obligations.
  • AXL has a Current ratio (1.77) which is comparable to the rest of the industry.
  • AXL has a Quick Ratio of 1.43. This is a normal value and indicates that AXL is financially healthy and should not expect problems in meeting its short term obligations.
  • AXL has a better Quick ratio (1.43) than 71.43% of its industry peers.
Industry RankSector Rank
Current Ratio 1.77
Quick Ratio 1.43
AXL Yearly Current Assets VS Current LiabilitesAXL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

3

3. Growth

3.1 Past

  • The earnings per share for AXL have decreased strongly by -16.67% in the last year.
  • 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 -6.02%.
  • 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)-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
  • Based on estimates for the next years, AXL will show a small growth in Revenue. The Revenue will grow by 1.46% on average per year.
EPS Next Y-15.93%
EPS Next 2Y14.08%
EPS Next 3Y20.6%
EPS Next 5Y30.48%
Revenue Next Year-4.53%
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.
AXL Yearly Revenue VS EstimatesAXL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B
AXL Yearly EPS VS EstimatesAXL Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 1 2 3

5

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 20.70, which indicates a rather expensive current valuation of AXL.
  • Compared to the rest of the industry, the Price/Earnings ratio of AXL is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Earnings ratio of 27.21, AXL is valued a bit cheaper.
  • With a Price/Forward Earnings ratio of 12.48, AXL is valued correctly.
  • AXL's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AXL is cheaper than 64.29% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, AXL is valued a bit cheaper.
Industry RankSector Rank
PE 20.7
Fwd PE 12.48
AXL Price Earnings VS Forward Price EarningsAXL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, AXL is valued cheaper than 92.86% of the companies in the same industry.
  • 95.24% of the companies in the same industry are more expensive than AXL, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 6.09
EV/EBITDA 4.02
AXL Per share dataAXL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

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%

0

5. Dividend

5.1 Amount

  • No dividends for AXL!.
Industry RankSector Rank
Dividend Yield 0%

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 5 / 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 20.7 and the Price/Book (PB) ratio is 1.37.


How financially healthy is AMERICAN AXLE & MFG HOLDINGS?

The financial health rating of AMERICAN AXLE & MFG HOLDINGS (AXL) is 2 / 10.