Hsbc Holdings PLC Takes Position in AZZ Inc. $AZZ

Key Points

• HSBC Holdings purchased 10,061 shares of AZZ worth approximately $1.56 million in the second quarter. Institutional investors and hedge funds collectively own 90.93% of the company.
• Analysts maintain a generally positive outlook, with four Buy ratings and two Holds, producing a “Moderate Buy” consensus and an average price target of $155.25.
• AZZ exceeded quarterly earnings and revenue estimates, reporting $1.85 EPS and $448.53 million in revenue, while raising its quarterly dividend to $0.24 per share.

Hsbc Holdings PLC bought a new stake in AZZ Inc. (NYSE:AZZ - Free Report) in the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 10,061 shares of the industrial products company's stock, valued at approximately $1,564,000.

Several other hedge funds also recently modified their holdings of the business. BlackRock Inc. bought a new stake in AZZ in the second quarter worth $719,876,000. Vanguard Group Inc. increased its holdings in shares of AZZ by 2.4% during the 4th quarter. Vanguard Group Inc. now owns 3,357,370 shares of the industrial products company's stock valued at $359,843,000 after acquiring an additional 80,099 shares during the last quarter. Capital International Investors lifted its holdings in AZZ by 2.5% in the 4th quarter. Capital International Investors now owns 2,009,812 shares of the industrial products company's stock worth $215,412,000 after purchasing an additional 48,565 shares during the last quarter. T. Rowe Price Investment Management Inc. boosted its position in AZZ by 0.9% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 1,783,663 shares of the industrial products company's stock worth $191,174,000 after purchasing an additional 15,744 shares during the period. Finally, Dimensional Fund Advisors LP grew its holdings in AZZ by 4.4% during the fourth quarter. Dimensional Fund Advisors LP now owns 1,182,140 shares of the industrial products company's stock valued at $126,706,000 after purchasing an additional 49,509 shares during the last quarter. Institutional investors and hedge funds own 90.93% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on AZZ. Wells Fargo & Company raised their target price on AZZ from $138.00 to $144.00 and gave the company an "equal weight" rating in a report on Friday, July 10th. Weiss Ratings lowered shares of AZZ from a "buy (b+)" rating to a "buy (b)" rating in a research report on Thursday, July 9th. Wall Street Zen lowered shares of AZZ from a "buy" rating to a "hold" rating in a research report on Sunday, July 12th. Finally, B. Riley Financial raised their price target on shares of AZZ from $169.00 to $170.00 and gave the stock a "buy" rating in a research report on Monday, July 13th. Four analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $155.25.

AZZ Price Performance

AZZ opened at $137.27 on Tuesday. 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 has a market capitalization of $4.12 billion, a P/E ratio of 20.93 and a beta of 1.12. The company's 50 day simple moving average is $148.13 and its 200-day simple moving average is $140.54. AZZ Inc. has a one year low of $92.98 and a one year high of $162.20.

AZZ (NYSE:AZZ - Get Free Report) last released its earnings results on Wednesday, July 8th. The industrial products company reported $1.85 earnings per share for the quarter, topping analysts' consensus estimates of $1.80 by $0.05. AZZ had a return on equity of 14.18% and a net margin of 11.83%.The company had revenue of $448.53 million during the quarter, compared to the consensus estimate of $434.58 million. During the same quarter in the previous year, the company posted $1.78 earnings per share. The firm's quarterly revenue was up 6.3% on a year-over-year basis. AZZ has set its FY 2027 guidance at 6.750-7.150 EPS. Sell-side analysts anticipate that AZZ Inc. will post 6.93 earnings per share for the current fiscal year.

AZZ Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, July 30th. Shareholders of record on Thursday, July 9th were issued a $0.24 dividend. This represents a $0.96 annualized dividend and a dividend yield of 0.7%. This is an increase from AZZ's previous quarterly dividend of $0.20. The ex-dividend date was Thursday, July 9th. AZZ's dividend payout ratio is currently 14.63%.

Insider Transactions at AZZ

In other news, COO Jeffrey Vellines sold 4,220 shares of the stock in a transaction on Tuesday, August 11th. The shares were 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 owned 1,834 shares of the company's stock, valued at $281,610.70. This represents a 69.71% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, COO Bryan Lee Stovall sold 2,677 shares of AZZ stock in a transaction dated 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 in the company, valued at $5,252,450. This represents a 7.11% decrease in their position. The SEC filing for this sale provides additional information. Company insiders own 1.70% of the company's stock.

AZZ Company Profile

AZZ Inc, incorporated in 1956 and headquartered in Fort Worth, Texas, is a leading provider of galvanizing and metal finishing solutions alongside electrical equipment and services. The company supports a diverse range of industries—such as energy, infrastructure, heavy equipment and general industrial markets—by delivering corrosion protection and high-performance electrical solutions designed for demanding environments.

AZZ operates two primary business segments. The Global Coatings & Services segment offers hot-dip galvanizing, metal finishing, painting, powder coating and related value-added services to steel fabricators and original equipment manufacturers.

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