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APOGEE ENTERPRISES INC (NASDAQ:APOG) - A GARP Candidate Worth Considering

By Mill Chart

Last update: May 31, 2025

APOGEE ENTERPRISES INC (NASDAQ:APOG) was identified by our Peter Lynch-inspired stock screener as a potential candidate for growth at a reasonable price (GARP) investors. The company operates in the architectural products and services sector, with a focus on sustainable, long-term growth. Below, we examine why APOG fits the criteria for this investment approach.

APOGEE ENTERPRISES stock chart

Key Metrics Aligning with Peter Lynch’s Strategy

  • Earnings Growth: APOG has delivered a 5-year average EPS growth of 15.82%, meeting Lynch’s preference for sustainable but not excessive growth (between 15% and 30%).
  • Reasonable Valuation: With a PEG ratio of 0.49 (well below Lynch’s threshold of 1), the stock appears undervalued relative to its growth.
  • Strong Profitability: The company’s return on equity (ROE) stands at 17.43%, exceeding the 15% minimum Lynch favored.
  • Healthy Balance Sheet: APOG’s debt-to-equity ratio of 0.58 is within Lynch’s recommended range (below 0.6), indicating manageable leverage.
  • Liquidity: A current ratio of 1.55 suggests the company can comfortably meet short-term obligations.

Fundamental Overview

APOG’s financial health is stable, with consistent profitability and a reasonable valuation. The company’s dividend yield of 2.65% is above the industry average, supported by a 10-year track record of dividend growth. While revenue growth has been modest, the firm’s margins have improved in recent years.

For a deeper dive, review the full fundamental analysis of APOG.

Why It Fits a GARP Strategy

APOG combines steady earnings growth with an attractive valuation, making it a candidate for investors seeking balanced exposure to growth and value. The company’s focus on architectural solutions—a stable but often overlooked industry—aligns with Lynch’s preference for "dull" businesses with reliable demand.

Our Peter Lynch Strategy screener lists more stocks that meet these criteria and is updated regularly.

Disclaimer

This is not investing advice. The observations here are based on data available at the time of writing. Always conduct your own research before making investment decisions.

APOGEE ENTERPRISES INC

NASDAQ:APOG (6/5/2025, 5:42:51 PM)

After market: 38.88 0 (0%)

38.88

-0.09 (-0.23%)



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ChartMill News Image6 days ago - ChartmillAPOGEE ENTERPRISES INC (NASDAQ:APOG) - A GARP Candidate Worth Considering

APOGEE ENTERPRISES (NASDAQ:APOG) offers steady growth, solid profitability, and an attractive valuation, making it a candidate for GARP investors following Peter Lynch's principles.

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