QUANEX BUILDING PRODUCTS (NX) Stock Fundamental Analysis
USA - NYSE:NX - US7476191041 - Common Stock
15.11 USD
-0.4 (-2.58%)
15.41 USD
+0.3 (+1.99%)
Taking everything into account, NX scores 4 out of 10 in our fundamental rating. NX was compared to 41 industry peers in the Building Products industry. NX may be in some trouble as it scores bad on both profitability and health. NX has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
NX had positive earnings in the past year.
NX had a positive operating cash flow in the past year.
NX had positive earnings in each of the past 5 years.
In the past 5 years NX always reported a positive cash flow from operatings.
1.2 Ratios
NX's Return On Assets of -14.41% is on the low side compared to the rest of the industry. NX is outperformed by 85.37% of its industry peers.
NX's Return On Equity of -39.63% is on the low side compared to the rest of the industry. NX is outperformed by 82.93% of its industry peers.
NX has a worse Return On Invested Capital (3.54%) than 78.05% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NX is below the industry average of 12.64%.
The last Return On Invested Capital (3.54%) for NX is well below the 3 year average (10.24%), which needs to be investigated, but indicates that NX had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.41% | ||
| ROE | -39.63% | ||
| ROIC | 3.54% |
ROA(3y)7.85%
ROA(5y)7.41%
ROE(3y)12.47%
ROE(5y)12.36%
ROIC(3y)10.24%
ROIC(5y)10.17%
1.3 Margins
In the last couple of years the Profit Margin of NX has declined.
Looking at the Operating Margin, with a value of 4.02%, NX is doing worse than 78.05% of the companies in the same industry.
NX's Operating Margin has declined in the last couple of years.
The Gross Margin of NX (26.02%) is worse than 65.85% of its industry peers.
NX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.02% | ||
| PM (TTM) | N/A | ||
| GM | 26.02% |
OM growth 3Y-18.09%
OM growth 5Y-5.04%
PM growth 3Y-21.34%
PM growth 5YN/A
GM growth 3Y2.14%
GM growth 5Y1.4%
2. Health
2.1 Basic Checks
NX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, NX has more shares outstanding
Compared to 5 years ago, NX has more shares outstanding
Compared to 1 year ago, NX has a worse debt to assets ratio.
2.2 Solvency
NX has an Altman-Z score of 1.70. This is a bad value and indicates that NX is not financially healthy and even has some risk of bankruptcy.
NX has a worse Altman-Z score (1.70) than 85.37% of its industry peers.
NX has a debt to FCF ratio of 26.28. This is a negative value and a sign of low solvency as NX would need 26.28 years to pay back of all of its debts.
With a Debt to FCF ratio value of 26.28, NX is not doing good in the industry: 70.73% of the companies in the same industry are doing better.
A Debt/Equity ratio of 0.97 indicates that NX is somewhat dependend on debt financing.
NX has a worse Debt to Equity ratio (0.97) than 75.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 26.28 | ||
| Altman-Z | 1.7 |
ROIC/WACC0.41
WACC8.57%
2.3 Liquidity
A Current Ratio of 2.20 indicates that NX has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.20, NX is in the better half of the industry, outperforming 63.41% of the companies in the same industry.
NX has a Quick Ratio of 1.18. 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 (1.18) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.2 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
The earnings per share for NX have decreased strongly by -17.06% in the last year.
The Earnings Per Share has been growing by 18.07% on average over the past years. This is quite good.
The Revenue has grown by 70.18% in the past year. This is a very strong growth!
The Revenue has been growing slightly by 7.41% on average over the past years.
EPS 1Y (TTM)-17.06%
EPS 3Y7.8%
EPS 5Y18.07%
EPS Q2Q%-5.48%
Revenue 1Y (TTM)70.18%
Revenue growth 3Y6.03%
Revenue growth 5Y7.41%
Sales Q2Q%76.67%
3.2 Future
NX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.12% yearly.
Based on estimates for the next years, NX will show a quite strong growth in Revenue. The Revenue will grow by 13.96% on average per year.
EPS Next Y-4.8%
EPS Next 2Y2.07%
EPS Next 3Y8.12%
EPS Next 5YN/A
Revenue Next Year42.59%
Revenue Next 2Y19.7%
Revenue Next 3Y13.96%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NX is valuated cheaply with a Price/Earnings ratio of 7.23.
Based on the Price/Earnings ratio, NX is valued cheaper than 100.00% of the companies in the same industry.
NX is valuated cheaply when we compare the Price/Earnings ratio to 27.08, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 6.65 indicates a rather cheap valuation of NX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NX indicates a rather cheap valuation: NX is cheaper than 100.00% of the companies listed in the same industry.
NX is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.23 | ||
| Fwd PE | 6.65 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NX indicates a rather cheap valuation: NX is cheaper than 90.24% of the companies listed in the same industry.
NX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.23 | ||
| EV/EBITDA | 7.63 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.4
EPS Next 2Y2.07%
EPS Next 3Y8.12%
5. Dividend
5.1 Amount
NX has a Yearly Dividend Yield of 2.10%. Purely for dividend investing, there may be better candidates out there.
The stock price of NX dropped by -22.79% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 1.24, NX pays a better dividend. On top of this NX pays more dividend than 95.12% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.30, NX has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.1% |
5.2 History
The dividend of NX decreases each year by -1.38%.
NX has paid a dividend for at least 10 years, which is a reliable track record.
NX has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-1.38%
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.
DP-5.37%
EPS Next 2Y2.07%
EPS Next 3Y8.12%
15.11
-0.4 (-2.58%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners102.96%
Inst Owner Change-0.29%
Ins Owners1.03%
Ins Owner Change0.77%
Market Cap693.25M
Revenue(TTM)1.84B
Net Income(TTM)-284294000
Analysts86
Price Target28.56 (89.01%)
Short Float %4.55%
Short Ratio3.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.1% |
Yearly Dividend0.3
Dividend Growth(5Y)-1.38%
DP-5.37%
Div Incr Years0
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.4%
Min EPS beat(2)-20.49%
Max EPS beat(2)23.29%
EPS beat(4)3
Avg EPS beat(4)949.59%
Min EPS beat(4)-20.49%
Max EPS beat(4)3789.32%
EPS beat(8)7
Avg EPS beat(8)489.34%
EPS beat(12)10
Avg EPS beat(12)334.51%
EPS beat(16)14
Avg EPS beat(16)260.05%
Revenue beat(2)0
Avg Revenue beat(2)-1.1%
Min Revenue beat(2)-2.2%
Max Revenue beat(2)0%
Revenue beat(4)1
Avg Revenue beat(4)-0.8%
Min Revenue beat(4)-2.68%
Max Revenue beat(4)1.67%
Revenue beat(8)2
Avg Revenue beat(8)-1.03%
Revenue beat(12)4
Avg Revenue beat(12)-0.94%
Revenue beat(16)8
Avg Revenue beat(16)0.72%
PT rev (1m)0%
PT rev (3m)-17.04%
EPS NQ rev (1m)-0.78%
EPS NQ rev (3m)-46.08%
EPS NY rev (1m)0%
EPS NY rev (3m)-22.87%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-6.33%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.23 | ||
| Fwd PE | 6.65 | ||
| P/S | 0.38 | ||
| P/FCF | 25.23 | ||
| P/OCF | 8.44 | ||
| P/B | 0.97 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.63 |
EPS(TTM)2.09
EY13.83%
EPS(NY)2.27
Fwd EY15.03%
FCF(TTM)0.6
FCFY3.96%
OCF(TTM)1.79
OCFY11.85%
SpS40.1
BVpS15.64
TBVpS-2.46
PEG (NY)N/A
PEG (5Y)0.4
Graham Number27.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.41% | ||
| ROE | -39.63% | ||
| ROCE | 4.33% | ||
| ROIC | 3.54% | ||
| ROICexc | 3.69% | ||
| ROICexgc | 7.46% | ||
| OM | 4.02% | ||
| PM (TTM) | N/A | ||
| GM | 26.02% | ||
| FCFM | 1.49% |
ROA(3y)7.85%
ROA(5y)7.41%
ROE(3y)12.47%
ROE(5y)12.36%
ROIC(3y)10.24%
ROIC(5y)10.17%
ROICexc(3y)11.21%
ROICexc(5y)11.1%
ROICexgc(3y)19.09%
ROICexgc(5y)19.49%
ROCE(3y)12.52%
ROCE(5y)12.43%
ROICexgc growth 3Y-37.63%
ROICexgc growth 5Y-18.59%
ROICexc growth 3Y-44.12%
ROICexc growth 5Y-22.16%
OM growth 3Y-18.09%
OM growth 5Y-5.04%
PM growth 3Y-21.34%
PM growth 5YN/A
GM growth 3Y2.14%
GM growth 5Y1.4%
F-Score4
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 26.28 | ||
| Debt/EBITDA | 3.88 | ||
| Cap/Depr | 51.97% | ||
| Cap/Sales | 2.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 45.84% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.2 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 1.7 |
F-Score4
WACC8.57%
ROIC/WACC0.41
Cap/Depr(3y)77.09%
Cap/Depr(5y)68.38%
Cap/Sales(3y)2.97%
Cap/Sales(5y)2.84%
Profit Quality(3y)120.93%
Profit Quality(5y)130.73%
High Growth Momentum
Growth
EPS 1Y (TTM)-17.06%
EPS 3Y7.8%
EPS 5Y18.07%
EPS Q2Q%-5.48%
EPS Next Y-4.8%
EPS Next 2Y2.07%
EPS Next 3Y8.12%
EPS Next 5YN/A
Revenue 1Y (TTM)70.18%
Revenue growth 3Y6.03%
Revenue growth 5Y7.41%
Sales Q2Q%76.67%
Revenue Next Year42.59%
Revenue Next 2Y19.7%
Revenue Next 3Y13.96%
Revenue Next 5YN/A
EBIT growth 1Y-25.97%
EBIT growth 3Y-13.15%
EBIT growth 5Y2%
EBIT Next Year105.68%
EBIT Next 3Y33.72%
EBIT Next 5YN/A
FCF growth 1Y-76.02%
FCF growth 3Y-1.77%
FCF growth 5Y-6.27%
OCF growth 1Y-45.5%
OCF growth 3Y4.16%
OCF growth 5Y-1.63%
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 6 / 10 to QUANEX BUILDING PRODUCTS (NX). This can be considered as Fairly Valued.
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 -4.8% in the next year.