Wall Street Zen Upgrades AZZ (NYSE:AZZ) to Buy

AZZ (NYSE:AZZ) was upgraded by investment analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Saturday, Wall Street Zen reports.

Other equities research analysts have also issued reports about the company. Barclays raised their price objective on AZZ from $140.00 to $145.00 and gave the stock an “equal weight” rating in a research note on Thursday. Weiss Ratings reaffirmed a “buy (b)” rating on shares of AZZ in a research report on Tuesday, October 6th. B. Riley Financial boosted their target price on AZZ from $170.00 to $174.00 and gave the stock a “buy” rating in a research report on Thursday. Robert W. Baird reduced their target price on AZZ from $155.00 to $150.00 and set a “neutral” rating for the company in a report on Thursday. Finally, Wells Fargo & Company increased their price target on AZZ from $144.00 to $145.00 and gave the company an “equal weight” rating in a research report on Thursday. Four research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to data from MarketBeat, AZZ currently has an average rating of “Moderate Buy” and an average target price of $153.20.

AZZ Trading Down 0.2%

Shares of NYSE:AZZ opened at $129.30 on Friday. The stock has a market capitalization of $3.87 billion, a price-to-earnings ratio of 23.30 and a beta of 1.13. AZZ has a 1-year low of $94.61 and a 1-year high of $162.20. The company has a debt-to-equity ratio of 0.33, a quick ratio of 1.27 and a current ratio of 1.79. The company has a 50 day moving average price of $139.03 and a 200 day moving average price of $142.19.

AZZ (NYSE:AZZ) last posted its quarterly earnings results on Tuesday, October 13th. The industrial products company reported $2.00 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.88 by $0.12. The firm had revenue of $486.89 million for the quarter, compared to analyst estimates of $467.14 million. AZZ had a net margin of 9.59% and a return on equity of 14.85%. The firm’s quarterly revenue was up 16.7% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.55 earnings per share. AZZ has set its FY 2027 guidance at 7.000-7.300 EPS. On average, research analysts anticipate that AZZ will post 7.11 EPS for the current fiscal year.

Insider Buying and Selling

In related news, COO Bryan Lee Stovall sold 2,677 shares of the company’s stock in a transaction that occurred 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 owned 35,000 shares in the company, valued at approximately $5,252,450. This represents a 7.11% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, COO Jeffrey Vellines sold 4,220 shares of the firm’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 transaction, the chief operating officer directly owned 1,834 shares of the company’s stock, valued at $281,610.70. This represents a 69.71% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.70% of the stock is owned by insiders.

Institutional Investors Weigh In On AZZ

Institutional investors have recently bought and sold shares of the business. Contravisory Investment Management Inc. lifted its position in shares of AZZ by 3.7% in the second quarter. Contravisory Investment Management Inc. now owns 2,723 shares of the industrial products company’s stock worth $422,000 after purchasing an additional 97 shares in the last quarter. GAMMA Investing LLC grew its position in AZZ by 27.5% during the third quarter. GAMMA Investing LLC now owns 658 shares of the industrial products company’s stock valued at $88,000 after purchasing an additional 142 shares in the last quarter. Tidal Investments LLC increased its stake in AZZ by 0.7% in the 2nd quarter. Tidal Investments LLC now owns 21,919 shares of the industrial products company’s stock valued at $3,399,000 after buying an additional 161 shares during the period. IFP Advisors Inc increased its stake in AZZ by 20.0% in the 2nd quarter. IFP Advisors Inc now owns 1,009 shares of the industrial products company’s stock valued at $156,000 after buying an additional 168 shares during the period. Finally, Kilter Group LLC purchased a new stake in AZZ in the 2nd quarter worth approximately $33,000. 90.93% of the stock is currently owned by institutional investors and hedge funds.

Key AZZ News

Here are the key news stories impacting AZZ this week:

• Positive Sentiment: AZZ reported record quarterly sales of $486.9 million, up 16.7% year over year, while EPS of $2.00 exceeded the $1.82 analyst consensus. Management also raised fiscal 2027 EPS guidance to $7.00–$7.30, supporting the company’s growth outlook. AZZ Analysts Boost Their Forecasts After Upbeat Q2 Results
• Positive Sentiment: Noble Financial raised its AZZ EPS forecasts for fiscal 2027 through fiscal 2031. The firm now expects $7.15 for fiscal 2027, $7.67 for fiscal 2028, $8.00 for fiscal 2029, $8.34 for fiscal 2030 and $8.70 for fiscal 2031, indicating confidence in longer-term earnings growth.
• Positive Sentiment: Wells Fargo increased its price target to $145 from $144, implying meaningful potential upside from the referenced trading level, although it retained an “equal weight” rating.
• Neutral Sentiment: Barclays initiated coverage with an “equal weight” rating and a $140 price target, while Robert W. Baird maintained a “neutral” rating despite reducing its target to $150 from $155. The ratings suggest analysts see upside but remain cautious about valuation and execution. AZZ Lifts Guidance Following Record Sales
• Negative Sentiment: Noble Financial trimmed its fiscal 2027 third- and fourth-quarter EPS estimates to $1.75 and $1.55, respectively. These modest near-term reductions may be weighing on the stock even though full-year and longer-range estimates increased.
• Negative Sentiment: The market’s reaction has remained subdued after the earnings beat, reflecting concerns that the strong results and raised guidance may already be reflected in AZZ’s valuation. The shares also remain below their 50-day and 200-day moving averages, adding technical pressure.

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.