QUANEX BUILDING PRODUCTS (NX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NX - US7476191041 - Common Stock
15.23 USD
-0.21 (-1.36%)
15.23 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to NX. NX was compared to 42 industry peers in the Building Products industry. NX may be in some trouble as it scores bad on both profitability and health. A decent growth rate in combination with a cheap valuation! Better keep an eye on NX.
1. Profitability
1.1 Basic Checks
In the past year NX was profitable.
In the past year NX had a positive cash flow from operations.
Of the past 5 years NX 4 years were profitable.
In the past 5 years NX always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -12.74%, NX is not doing good in the industry: 78.57% of the companies in the same industry are doing better.
NX's Return On Equity of -34.54% is on the low side compared to the rest of the industry. NX is outperformed by 83.33% of its industry peers.
NX has a Return On Invested Capital of 5.52%. This is in the lower half of the industry: NX underperforms 71.43% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NX is significantly below the industry average of 12.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.74% | ||
| ROE | -34.54% | ||
| ROIC | 5.52% |
ROA(3y)-0.46%
ROA(5y)3.75%
ROE(3y)-5.38%
ROE(5y)3.29%
ROIC(3y)6.69%
ROIC(5y)9.3%
1.3 Margins
NX has a Operating Margin of 6.45%. This is in the lower half of the industry: NX underperforms 71.43% of its industry peers.
NX's Operating Margin has been stable in the last couple of years.
NX's Gross Margin of 27.17% is on the low side compared to the rest of the industry. NX is outperformed by 61.90% of its industry peers.
In the last couple of years the Gross Margin of NX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.45% | ||
| PM (TTM) | N/A | ||
| GM | 27.17% |
OM growth 3Y-10.87%
OM growth 5Y-0.35%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.32%
GM growth 5Y3.71%
2. Health
2.1 Basic Checks
NX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
NX has less shares outstanding than it did 1 year ago.
The number of shares outstanding for NX has been increased compared to 5 years ago.
NX has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.77, we must say that NX is in the distress zone and has some risk of bankruptcy.
NX's Altman-Z score of 1.77 is on the low side compared to the rest of the industry. NX is outperformed by 85.71% of its industry peers.
The Debt to FCF ratio of NX is 6.78, which is on the high side as it means it would take NX, 6.78 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.78, NX is in line with its industry, outperforming 40.48% of the companies in the same industry.
A Debt/Equity ratio of 0.92 indicates that NX is somewhat dependend on debt financing.
NX's Debt to Equity ratio of 0.92 is on the low side compared to the rest of the industry. NX is outperformed by 69.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | 6.78 | ||
| Altman-Z | 1.77 |
ROIC/WACC0.55
WACC9.96%
2.3 Liquidity
NX has a Current Ratio of 2.04. This indicates that NX is financially healthy and has no problem in meeting its short term obligations.
NX's Current ratio of 2.04 is fine compared to the rest of the industry. NX outperforms 61.90% of its industry peers.
NX has a Quick Ratio of 1.14. This is a normal value and indicates that NX is financially healthy and should not expect problems in meeting its short term obligations.
NX has a Quick ratio of 1.14. This is comparable to the rest of the industry: NX outperforms 45.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
NX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.96%.
Measured over the past years, NX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.25% on average per year.
The Revenue has grown by 43.81% in the past year. This is a very strong growth!
Measured over the past years, NX shows a quite strong growth in Revenue. The Revenue has been growing by 16.63% on average per year.
EPS 1Y (TTM)5.96%
EPS 3Y-4.83%
EPS 5Y13.25%
EPS Q2Q%36.07%
Revenue 1Y (TTM)43.81%
Revenue growth 3Y14.58%
Revenue growth 5Y16.63%
Sales Q2Q%-0.47%
3.2 Future
NX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.82% yearly.
Based on estimates for the next years, NX will show a small growth in Revenue. The Revenue will grow by 1.75% on average per year.
EPS Next Y-6.48%
EPS Next 2Y3.82%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.23%
Revenue Next 2Y1.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NX is valuated cheaply with a Price/Earnings ratio of 6.59.
NX's Price/Earnings ratio is rather cheap when compared to the industry. NX is cheaper than 97.62% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.61, NX is valued rather cheaply.
A Price/Forward Earnings ratio of 7.05 indicates a rather cheap valuation of NX.
NX's Price/Forward Earnings ratio is rather cheap when compared to the industry. NX is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of NX to the average of the S&P500 Index (24.01), we can say NX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.59 | ||
| Fwd PE | 7.05 |
4.2 Price Multiples
95.24% of the companies in the same industry are more expensive than NX, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, NX is valued cheaper than 97.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.83 | ||
| EV/EBITDA | 5.97 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.5
EPS Next 2Y3.82%
EPS Next 3YN/A
5. Dividend
5.1 Amount
NX has a Yearly Dividend Yield of 1.97%.
NX's Dividend Yield is rather good when compared to the industry average which is at 0.71. NX pays more dividend than 90.48% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, NX has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.97% |
5.2 History
The dividend of NX has a limited annual growth rate of 0.04%.
NX has been paying a dividend for at least 10 years, so it has a reliable track record.
NX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.04%
Div Incr Years0
Div Non Decr Years15
5.3 Sustainability
The earnings of NX are negative and hence is the payout ratio. NX will probably not be able to sustain this dividend level.
NX's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-5.94%
EPS Next 2Y3.82%
EPS Next 3YN/A
15.23
-0.21 (-1.36%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners100.15%
Inst Owner Change-2.41%
Ins Owners1.03%
Ins Owner Change11.64%
Market Cap698.75M
Revenue(TTM)1.84B
Net Income(TTM)-250.81M
Analysts86
Price Target28.56 (87.52%)
Short Float %6.4%
Short Ratio4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.97% |
Yearly Dividend0.32
Dividend Growth(5Y)0.04%
DP-5.94%
Div Incr Years0
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)17.99%
Min EPS beat(2)-20.49%
Max EPS beat(2)56.47%
EPS beat(4)3
Avg EPS beat(4)962.15%
Min EPS beat(4)-20.49%
Max EPS beat(4)3789.32%
EPS beat(8)7
Avg EPS beat(8)492.35%
EPS beat(12)10
Avg EPS beat(12)337.36%
EPS beat(16)14
Avg EPS beat(16)262.76%
Revenue beat(2)1
Avg Revenue beat(2)-0.59%
Min Revenue beat(2)-2.2%
Max Revenue beat(2)1.03%
Revenue beat(4)2
Avg Revenue beat(4)0.12%
Min Revenue beat(4)-2.2%
Max Revenue beat(4)1.67%
Revenue beat(8)3
Avg Revenue beat(8)-0.73%
Revenue beat(12)4
Avg Revenue beat(12)-0.95%
Revenue beat(16)8
Avg Revenue beat(16)0.68%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-146%
EPS NQ rev (3m)-166.34%
EPS NY rev (1m)-4.88%
EPS NY rev (3m)-4.88%
Revenue NQ rev (1m)3.39%
Revenue NQ rev (3m)3.39%
Revenue NY rev (1m)0.64%
Revenue NY rev (3m)0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.59 | ||
| Fwd PE | 7.05 | ||
| P/S | 0.38 | ||
| P/FCF | 6.83 | ||
| P/OCF | 4.24 | ||
| P/B | 0.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.97 |
EPS(TTM)2.31
EY15.17%
EPS(NY)2.16
Fwd EY14.19%
FCF(TTM)2.23
FCFY14.63%
OCF(TTM)3.59
OCFY23.6%
SpS40.05
BVpS15.83
TBVpS-2.06
PEG (NY)N/A
PEG (5Y)0.5
Graham Number28.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.74% | ||
| ROE | -34.54% | ||
| ROCE | 7.03% | ||
| ROIC | 5.52% | ||
| ROICexc | 5.78% | ||
| ROICexgc | 11.78% | ||
| OM | 6.45% | ||
| PM (TTM) | N/A | ||
| GM | 27.17% | ||
| FCFM | 5.56% |
ROA(3y)-0.46%
ROA(5y)3.75%
ROE(3y)-5.38%
ROE(5y)3.29%
ROIC(3y)6.69%
ROIC(5y)9.3%
ROICexc(3y)7.19%
ROICexc(5y)10.09%
ROICexgc(3y)13.35%
ROICexgc(5y)17.83%
ROCE(3y)8.51%
ROCE(5y)11.84%
ROICexgc growth 3Y-23.91%
ROICexgc growth 5Y-6.21%
ROICexc growth 3Y-29.51%
ROICexc growth 5Y-7.67%
OM growth 3Y-10.87%
OM growth 5Y-0.35%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.32%
GM growth 5Y3.71%
F-Score5
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | 6.78 | ||
| Debt/EBITDA | 3 | ||
| Cap/Depr | 60.56% | ||
| Cap/Sales | 3.41% | ||
| Interest Coverage | 2.25 | ||
| Cash Conversion | 74.29% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 1.77 |
F-Score5
WACC9.96%
ROIC/WACC0.55
Cap/Depr(3y)69.75%
Cap/Depr(5y)69.6%
Cap/Sales(3y)3.21%
Cap/Sales(5y)2.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.96%
EPS 3Y-4.83%
EPS 5Y13.25%
EPS Q2Q%36.07%
EPS Next Y-6.48%
EPS Next 2Y3.82%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)43.81%
Revenue growth 3Y14.58%
Revenue growth 5Y16.63%
Sales Q2Q%-0.47%
Revenue Next Year1.23%
Revenue Next 2Y1.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y101.2%
EBIT growth 3Y2.12%
EBIT growth 5Y16.22%
EBIT Next Year39.41%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y97.69%
FCF growth 3Y16.4%
FCF growth 5Y6.37%
OCF growth 1Y85.67%
OCF growth 3Y18.95%
OCF growth 5Y10.34%
QUANEX BUILDING PRODUCTS / NX FAQ
Can you provide the ChartMill fundamental rating for QUANEX BUILDING PRODUCTS?
ChartMill assigns a fundamental rating of 4 / 10 to NX.
What is the valuation status for NX stock?
ChartMill assigns a valuation rating of 7 / 10 to QUANEX BUILDING PRODUCTS (NX). This can be considered as Undervalued.
Can you provide the profitability details for QUANEX BUILDING PRODUCTS?
QUANEX BUILDING PRODUCTS (NX) has a profitability rating of 3 / 10.
Can you provide the financial health for NX stock?
The financial health rating of QUANEX BUILDING PRODUCTS (NX) is 3 / 10.
What is the expected EPS growth for QUANEX BUILDING PRODUCTS (NX) stock?
The Earnings per Share (EPS) of QUANEX BUILDING PRODUCTS (NX) is expected to decline by -6.48% in the next year.