Axalta Coating Systems (NYSE:AXTA) Announces Earnings Results

Key Points

• Axalta Coating Systems reported a quarterly EPS of $0.64, surpassing estimates of $0.61 by $0.03, despite a 3.4% decline in year-over-year revenue to $1.32 billion.
• The company updated its FY 2025 EPS guidance to 2.450-2.550 and Q3 2025 EPS guidance to 0.630-0.670.
• Axalta's stock is currently rated as a Moderate Buy with an average target price of $38.80, although several brokerages have recently lowered their price targets and ratings.

Axalta Coating Systems (NYSE:AXTA - Get Free Report) posted its quarterly earnings results on Wednesday. The specialty chemicals company reported $0.64 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.61 by $0.03, Zacks reports. The company had revenue of $1.32 billion for the quarter, compared to analysts' expectations of $1.33 billion. Axalta Coating Systems had a return on equity of 25.32% and a net margin of 8.58%. The firm's revenue was down 3.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.57 earnings per share. Axalta Coating Systems updated its FY 2025 guidance to 2.450-2.550 EPS and its Q3 2025 guidance to 0.630-0.670 EPS.

Axalta Coating Systems Stock Down 1.8%

Shares of Axalta Coating Systems stock traded down $0.50 on Friday, hitting $27.82. 3,142,912 shares of the company traded hands, compared to its average volume of 2,961,726. The company has a 50-day moving average price of $30.13 and a 200 day moving average price of $32.69. The company has a quick ratio of 1.53, a current ratio of 2.12 and a debt-to-equity ratio of 1.47. Axalta Coating Systems has a 12-month low of $27.58 and a 12-month high of $41.65. The company has a market cap of $6.02 billion, a PE ratio of 13.64, a PEG ratio of 1.35 and a beta of 1.27.

Analyst Upgrades and Downgrades

AXTA has been the topic of several research reports. Morgan Stanley dropped their price target on Axalta Coating Systems from $40.00 to $36.00 and set an "equal weight" rating on the stock in a report on Thursday, May 8th. BNP Paribas raised shares of Axalta Coating Systems from a "neutral" rating to an "outperform" rating and set a $38.00 target price on the stock in a research note on Thursday, April 10th. Wall Street Zen downgraded shares of Axalta Coating Systems from a "buy" rating to a "hold" rating in a research note on Thursday, May 8th. Citigroup reissued a "neutral" rating and set a $34.00 target price (down from $35.00) on shares of Axalta Coating Systems in a research note on Friday, June 13th. Finally, Deutsche Bank Aktiengesellschaft downgraded shares of Axalta Coating Systems from a "buy" rating to a "hold" rating and set a $32.00 target price on the stock. in a research note on Friday, July 18th. Seven analysts have rated the stock with a hold rating, eight have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, Axalta Coating Systems currently has an average rating of "Moderate Buy" and an average price target of $38.00.

Hedge Funds Weigh In On Axalta Coating Systems

A hedge fund recently raised its stake in Axalta Coating Systems stock. Jane Street Group LLC increased its holdings in Axalta Coating Systems Ltd. (NYSE:AXTA - Free Report) by 29.0% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 156,122 shares of the specialty chemicals company's stock after purchasing an additional 35,092 shares during the period. Jane Street Group LLC owned approximately 0.07% of Axalta Coating Systems worth $5,179,000 at the end of the most recent reporting period. Institutional investors and hedge funds own 98.28% of the company's stock.

About Axalta Coating Systems

Axalta Coating Systems Ltd., through its subsidiaries, manufactures, markets, and distributes high-performance coatings systems in North America, Europe, the Middle East, Africa, the Asia Pacific, and Latin America. The company operates through two segments, Performance Coatings and Mobility Coatings.