Stock fact sheet · data as of
AZZ Inc. (AZZ): fair value, margin of safety and Wheel Score
Industrials · Industrial - Specialties · United States · Blend
Is AZZ undervalued?
AZZ closed at 130.59 on 16 Oct 2026 against a GLS average fair value of 141.10 - 7.4% below fair value, which our screens read as "fairly priced". 4 of 9 models are above the current price. There is no discount to lean on here, so the margin of safety is not the reason to look at the stock.
There is a wide gap between DDM (12.36) and GLS Growth (341.77). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files AZZ under Blend.
Nine valuation models for AZZ
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 174.44 | +34% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 76.98 | -41% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 96.23 | -26% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 25.48 | -80% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 341.77 | +162% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 197.54 | +51% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 283.09 | +117% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 12.36 | -91% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 62.03 | -53% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -16.01 | -112% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 147.75 | +13% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
AZZ Inc. scores 9 of 9 on the Piotroski F-score, the nine yes/no tests of profitability, leverage and efficiency on the latest annual accounts - a strong reading that passes the Sunday Scan's "6 or more" rule with room to spare. On durability AZZ scores 6.9/10 on the GLS Moat - a middle reading; the Scorecard on the Quote page's Financials tab shows which ten-year lines are steady and which are not.
Returns on capital are high - ROIC 16.9%, ROE 23.7%, ROA 14.3% - with debt at 0.40 times equity and a free-cash-flow yield of 5.5%.
The dividend yield is 0.64% with a payout ratio of 15% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Precoat Metals 53%, Metal Coatings 47% (quarter Q1 FY2027).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 9 / 9 | ROIC | 16.9% |
|---|---|---|---|
| GLS Moat | 6.9 / 10 | ROE | 23.7% |
| Debt / equity | 0.40 | ROA | 14.3% |
| Free-cash-flow yield | 5.5% | Payout ratio | 15% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 80: Prime
With a Wheel Score of 80, AZZ Inc. sits in the Prime band - price, quality and premium all line up for the wheel strategy. The parts: Value 16/25, Health 20/20, Moat 10/15, Premium 20/20, Stability 14/20. A high score is a ranking, not a signal: it says nothing about timing, the earnings date or your position size.
Implied volatility is 39% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 3,015 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 329k shares a day on a market cap of $3.9B, with a beta of 1.13; the Stability part of the Wheel Score gives that 14 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 16 / 25 | 7% margin of safety | |
| Health | 20 / 20 | Piotroski 9/9 | |
| Moat | 10 / 15 | moat 6.9/10 | |
| Premium | 20 / 20 | implied volatility 39% | |
| Stability | 14 / 20 | 329k shares/day, $3.9B cap, beta 1.13 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 6 Jan 2027, 82 days away - outside the window of a 30-45-day put sold today. The shares go ex-dividend on 19 Oct 2026 (0.2400 per share), so a covered call sold before then carries a small early-assignment risk around that date.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Industrial - Specialties
The 12 companies below are the closest to AZZ Inc. by market cap within the Industrial - Specialties industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| CSW CSW Industrials, Inc. | 291.14 | 132.00 | -121% | 50Fair | $4.7B |
| MNTK Montauk Renewables, Inc. | 2.12 | 0.9430 | -125% | 38Weak | $302M |
| APT Alpha Pro Tech, Ltd. | 5.72 | 6.53 | +12% | 66Good | $58M |
| AIR AAR Corp. | 97.98 | 136.04 | +28% | 83Prime | $3.9B |
| BRC Brady Corporation | 84.03 | 71.44 | -18% | 64Fair | $3.9B |
| SITE SiteOne Landscape Supply, Inc. | 89.36 | 90.59 | +1% | 72Good | $3.9B |
| CAR Avis Budget Group, Inc. | 109.77 | - | - | 45Weak | $3.9B |
| KFY Korn Ferry | 73.02 | 98.91 | +26% | 84Prime | $4.0B |
| SEB Seaboard Corporation | 4,033.82 | 3,722.62 | -8% | 39No options | $3.9B |
| GEO The GEO Group, Inc. | 29.33 | 40.63 | +28% | 82Prime | $3.9B |
| CAAP Corporacion America Airports S.A. | 24.66 | 65.37 | +62% | 80Prime | $4.0B |
| FCN FTI Consulting, Inc. | 146.24 | 197.99 | +26% | 83Prime | $4.0B |
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A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the same eight-rule screen, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about AZZ
Is AZZ undervalued right now?
Not meaningfully: at 130.59 the stock trades within a few percent of the GLS average fair value of 141.10 (7.4% below fair value, data as of 16 Oct 2026).
What is the Wheel Score of AZZ and what does it mean?
AZZ scores 80 out of 100 (Prime). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for AZZ?
141.10 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does AZZ Inc. report earnings next?
The next earnings report is due on 6 Jan 2027, 82 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does AZZ have listed options, and how liquid are they?
Yes. The nightly snapshot found 282 listed contracts with 3,015 open interest across all expiries and implied volatility of 39% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.