Is AZZ a Good Value After Its 11.5% June Pullback?

Simply Wall St.10-25

Trying to figure out whether to buy, hold, or sell AZZ? You’re definitely not alone. The stock has turned a lot of heads across 2024, offering up exactly the kind of mix of long-term growth and short-...

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The stock has turned a lot of heads across 2024, offering up exactly the kind of mix of long-term growth and short-...</p>\n\n<a href=\"https://simplywall.st/stocks/us/capital-goods/nyse-azz/azz/news/is-azz-a-good-value-after-its-115-june-pullback\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Is AZZ a Good Value After Its 11.5% June Pullback?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIs AZZ a Good Value After Its 11.5% June Pullback?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2025-10-25 06:36 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/capital-goods/nyse-azz/azz/news/is-azz-a-good-value-after-its-115-june-pullback><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Trying to figure out whether to buy, hold, or sell AZZ? You’re definitely not alone. The stock has turned a lot of heads across 2024, offering up exactly the kind of mix of long-term growth and short-...</p>\n\n<a href=\"https://simplywall.st/stocks/us/capital-goods/nyse-azz/azz/news/is-azz-a-good-value-after-its-115-june-pullback\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"FCF","symbol_name":"第一联邦金融","start_time":0,"source_url":"https://simplywall.st/stocks/us/capital-goods/nyse-azz/azz/news/is-azz-a-good-value-after-its-115-june-pullback","article_id":"2578527226","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/3052000-choice2-main-header/1585186800829"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/capital-goods/nyse-azz/azz/news/is-azz-a-good-value-after-its-115-june-pullback","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2578527226","pubTimestamp":1761345373,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"Trying to figure out whether to buy, hold, or sell AZZ? You’re definitely not alone. The stock has turned a lot of heads across 2024, offering up exactly the kind of mix of long-term growth and short-term volatility that keeps market watchers glued to the ticker. Over the past year, AZZ has delivered a 30.0% gain. If you zoom out to a three- or five-year view, you see the real story: a 155.1% and 212.8% return, respectively. Even so, it’s not been a straight line upward. June saw shares dip...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"FCF":"第一联邦金融","BK4211":"区域性银行","BK4086":"建筑产品","DCF":"Dreyfus Alcentra Global Credit Income 2024 Target Term Fund, Inc","BK4182":"重型电气设备","AZZ":"Azz Inc"},"translate_title":"AZZ在6月份回调11.5%后是否物有所值？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"FCF":1,"DCF":1,"AZZ":1.5},"content_text":"Trying to figure out whether to buy, hold, or sell AZZ? You’re definitely not alone. The stock has turned a lot of heads across 2024, offering up exactly the kind of mix of long-term growth and short-term volatility that keeps market watchers glued to the ticker. Over the past year, AZZ has delivered a 30.0% gain. If you zoom out to a three- or five-year view, you see the real story: a 155.1% and 212.8% return, respectively. Even so, it’s not been a straight line upward. June saw shares dip by 11.5% in a single month, a reminder that sentiment and external factors are never far away. Recently, industry chatter about infrastructure modernization and expanded domestic manufacturing incentives has given AZZ some fresh momentum, as investors weigh its position at the intersection of engineering and energy solutions. So, is the stock’s recent pullback an opportunity or a red flag? On a pure numbers basis, AZZ has a valuation score of 4 out of 6, reflecting that it screens as undervalued on four key metrics used by analysts. But are these traditional valuation checks painting the whole picture? Up next, we’ll dig into each approach, and I’ll share a perspective on how you can go beyond the basic numbers to really evaluate the company’s worth. AZZ delivered 30.0% returns over the last year. See how this stacks up to the rest of the Building industry. AdvertisementApproach 1: AZZ Discounted Cash Flow (DCF) Analysis The Discounted Cash Flow (DCF) model projects a company’s future cash flows and discounts them back to today’s value. This approach aims to estimate an intrinsic share price based on realistic, long-term financial expectations. For AZZ, this method focuses on its ability to generate Free Cash Flow (FCF) over the coming years, using both analyst estimates and extended projections to create a complete financial picture. Currently, AZZ’s Free Cash Flow is $404.6 million. Analyst forecasts and Simply Wall St's extrapolations indicate that FCF may gradually decline to around $115.4 million by 2035. The model incorporates these projections and considers expected changes in the company’s operating environment and market trends over the next decade. Based on this analysis, AZZ’s estimated intrinsic value per share is $70.19. When compared with the current share price, this suggests the stock is approximately 40.6% above its fair value as indicated by the DCF model. This assessment means it is considered significantly overvalued at this time. Result: OVERVALUED Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for AZZ. AZZ Discounted Cash Flow as at Oct 2025 Our Discounted Cash Flow (DCF) analysis suggests AZZ may be overvalued by 40.6%. Find undervalued stocks or create your own screener to find better value opportunities. Approach 2: AZZ Price vs Earnings The Price-to-Earnings (PE) ratio is a go-to valuation tool for profitable companies like AZZ because it connects a stock’s share price to its earnings power. Investors favor the PE ratio as it quickly tells you how much they’re willing to pay for each dollar of the company’s profits. This is an especially helpful benchmark when earnings are positive and reliable. However, what counts as a “normal” or “fair” PE ratio isn’t set in stone. Higher growth prospects and less risk usually justify higher PE multiples, while slow growth or high uncertainty tend to drag them down. Context is key, so it’s important to compare AZZ not just in isolation, but against industry averages, peers, and its own fundamentals. At the moment, AZZ is trading at a PE ratio of 9.44x, which is notably lower than the Building industry average of 19.76x and its peer group’s average of 30.44x. That seems relatively cheap on the surface. To dig deeper, Simply Wall St’s proprietary “Fair Ratio” model takes into account earnings growth, profit margins, industry trends, company size, and risk factors to arrive at a benchmark PE for AZZ. For AZZ, the Fair Ratio works out to 11.18x. This tailored approach is more insightful than a simple peer comparison. By weighing all the relevant data, it helps avoid valuation traps caused by sector extremes or unusual competitors. With AZZ’s current PE sitting just below its Fair Ratio, the valuation appears close to fair value. The slight difference suggests the market is pricing AZZ about right in the context of its prospects and risk profile. Result: ABOUT RIGHT NYSE:AZZ PE Ratio as at Oct 2025 PE ratios tell one story, but what if the real opportunity lies elsewhere? Discover companies where insiders are betting big on explosive growth. Upgrade Your Decision Making: Choose your AZZ Narrative Earlier, we alluded to a better way to understand valuation, so let’s introduce you to Narratives. A Narrative is your story behind the numbers, a personalized view that connects your beliefs about AZZ’s future (like projected revenue, earnings, and margins) to a financial forecast and, ultimately, your own estimate of fair value. Narratives go beyond static ratios; they let you explain why you think AZZ will outperform or face challenges, tying together business updates, forecasts, and valuation in one place. On Simply Wall St’s Community page, millions of investors are already sharing their Narratives, making it easier for you to see how others interpret the same set of facts. Narratives help you decide when to buy, hold, or sell by comparing your fair value estimate to the current price. Since they update automatically with new earnings or news, your perspective stays fresh and relevant. For AZZ, one investor might focus on growing production and set their fair value near the highest analyst target of $141.00. Another might worry about margin declines and pick a more cautious value around $105.00. Whether you’re bullish or bearish, Narratives empower you to clarify your thinking and make smarter decisions based on the story you believe in. Do you think there's more to the story for AZZ? Create your own Narrative to let the Community know! NYSE:AZZ Community Fair Values as at Oct 2025  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.New: Manage All Your Stock Portfolios in One PlaceWe've created the ultimate portfolio companion for stock investors, and it's free.• Connect an unlimited number of Portfolios and see your total in one currency• Be alerted to new Warning Signs or Risks via email or mobile• Track the Fair Value of your stocksTry a Demo Portfolio for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. 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