AZZ (NYSE:AZZ) Upgraded to Hold at Barclays

Barclays upgraded shares of AZZ (NYSE:AZZ) to a hold rating in a report published on Wednesday morning,Zacks reports.

Other research analysts also recently issued research reports about the stock. B. Riley Financial boosted their target price on shares of AZZ from $169.00 to $170.00 and gave the company a “buy” rating in a research report on Monday, July 13th. Wall Street Zen cut shares of AZZ from a “buy” rating to a “hold” rating in a report on Sunday, July 12th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of AZZ in a research note on Tuesday, October 6th. Finally, Wells Fargo & Company upped their price objective on shares of AZZ from $138.00 to $144.00 and gave the company an “equal weight” rating in a report on Friday, July 10th. Four equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $152.20.

AZZ Stock Up 0.5%

Shares of AZZ stock opened at $137.39 on Wednesday. AZZ has a one year low of $94.61 and a one year high of $162.20. The company has a debt-to-equity ratio of 0.35, a current ratio of 1.92 and a quick ratio of 1.39. The stock’s 50-day moving average is $139.88 and its 200 day moving average is $142.08. The firm has a market cap of $4.13 billion, a price-to-earnings ratio of 24.76 and a beta of 1.13.

AZZ (NYSE:AZZ) last released its earnings results on Tuesday, October 13th. The industrial products company reported $2.00 EPS for the quarter, topping the consensus estimate of $1.86 by $0.14. The business had revenue of $486.89 million during the quarter, compared to analysts’ expectations of $463.44 million. AZZ had a return on equity of 15.05% and a net margin of 9.59%. The firm’s revenue was up 16.7% on a year-over-year basis. During the same quarter last year, the firm posted $1.55 earnings per share. AZZ has set its FY 2027 guidance at 7.000-7.300 EPS. Equities research analysts anticipate that AZZ will post 7.06 EPS for the current year.

AZZ Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, November 5th. Shareholders of record on Monday, October 19th will be paid a dividend of $0.24 per share. The ex-dividend date is Monday, October 19th. This represents a $0.96 dividend on an annualized basis and a yield of 0.7%. AZZ’s payout ratio is 17.30%.

Insider Buying and Selling

In other AZZ news, COO Jeffrey Vellines sold 4,220 shares of the business’s stock in a transaction that occurred on Tuesday, August 11th. The stock was sold at an average price of $153.55, for a total transaction of $647,981.00. Following the completion of the sale, the chief operating officer directly owned 1,834 shares of the company’s stock, valued at approximately $281,610.70. The trade was a 69.71% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, COO Bryan Lee Stovall sold 2,677 shares of the stock in a transaction on Friday, August 14th. The shares were sold at an average price of $150.07, for a total value of $401,737.39. Following the completion of the sale, the chief operating officer directly owned 35,000 shares of the company’s stock, valued at $5,252,450. The trade was a 7.11% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 1.70% of the company’s stock.

Hedge Funds Weigh In On AZZ

A number of hedge funds and other institutional investors have recently modified their holdings of the business. BlackRock Inc. bought a new position in shares of AZZ during the 2nd quarter valued at approximately $719,876,000. SEB Asset Management AB bought a new stake in shares of AZZ in the 1st quarter worth approximately $45,297,000. Bank of New York Mellon Corp bought a new stake in shares of AZZ in the 2nd quarter worth approximately $35,818,000. Bank of America Corp DE bought a new stake in shares of AZZ in the 2nd quarter worth approximately $32,505,000. Finally, Jupiter Topco LLC purchased a new position in AZZ in the second quarter valued at approximately $14,588,000. Hedge funds and other institutional investors own 90.93% of the company’s stock.

Key AZZ News

Here are the key news stories impacting AZZ this week:

• Positive Sentiment: AZZ reported adjusted EPS of $2.00, beating the $1.86 consensus estimate, while revenue rose 16.7% year over year to $486.9 million, above expectations. Both Metal Coatings and Precoat Metals delivered record quarterly sales, supporting investor confidence in continued operating growth. AZZ fiscal 2027 second-quarter results
• Positive Sentiment: Adjusted EBITDA increased 22.8% to $110.9 million, margins improved, and operating cash flow surged 76.1% to $102.8 million. AZZ also repurchased $20 million of stock and completed the acquisition of Seattle Galvanizing, adding support for shareholder returns and expansion. AZZ tops second-quarter EPS and raises guidance
• Positive Sentiment: Management raised fiscal 2027 guidance to revenue of $1.8 billion-$1.9 billion and EPS of $7.00-$7.30. The midpoint is broadly aligned with analyst expectations, but the guidance increase reinforces the view that demand and execution remain healthy.
• Neutral Sentiment: Barclays upgraded AZZ to “hold” or “equal weight,” which is less bearish than a sell-oriented view but does not provide a strong bullish catalyst. Barclays initiates coverage of AZZ at equal weight
• Negative Sentiment: Robert W. Baird lowered its price target from $155 to $150 and assigned a neutral rating. Although the revised target still implies potential upside, the reduction indicates more limited near-term appreciation after the recent earnings strength.
• Negative Sentiment: Reported GAAP net income and EPS declined year over year because the prior-year period benefited from a one-time equity gain related to AZZ’s AVAIL joint venture. While adjusted earnings improved substantially, the GAAP decline could temper enthusiasm among some investors. AZZ second-quarter profit report

AZZ Company Profile

AZZ Inc is a provider of metal coating solutions serving customers primarily in North America. The company operates through its Metal Coatings and Precoat Metals segments, helping protect and enhance the performance, appearance, and durability of steel and other metal products used across a range of industries.

Through its Metal Coatings segment, AZZ provides hot-dip galvanizing, powder coating, anodizing, plating, and related coating services. These treatments are used for corrosion protection and finishing applications involving infrastructure, construction, industrial, transportation, and other metal products.

Precoat Metals provides coil coating services for steel and aluminum products before they are fabricated.