Quanex Building Products (NYSE:NX) Reaches New 12-Month Low - What's Next?

Key Points

• Quanex Building Products reached a new 52-week low of $13.11 during trading, reflecting a drop in investor confidence as the company faces multiple sell ratings from analysts.
• The company reported earnings per share of $0.69, missing expectations significantly, while also posting a negative net margin of 15.45% for the quarter.
• Despite recent struggles, insider trading activity increased, with a director purchasing 6,500 shares at an average price of $15.27, signaling possible faith in the company's future performance.

Quanex Building Products Corporation (NYSE:NX - Get Free Report)'s share price reached a new 52-week low during trading on Monday . The stock traded as low as $13.11 and last traded at $13.46, with a volume of 391241 shares. The stock had previously closed at $13.51.

Analyst Ratings Changes

NX has been the subject of several recent research reports. Zacks Research lowered shares of Quanex Building Products from a "hold" rating to a "strong sell" rating in a research report on Thursday, September 11th. Weiss Ratings reiterated a "sell (d)" rating on shares of Quanex Building Products in a research report on Wednesday, October 8th. Two equities research analysts have rated the stock with a Sell rating, According to data from MarketBeat, the stock presently has a consensus rating of "Sell".

Quanex Building Products Stock Performance

The company has a current ratio of 2.20, a quick ratio of 1.18 and a debt-to-equity ratio of 0.97. The company's 50-day moving average price is $17.61 and its two-hundred day moving average price is $18.02. The company has a market cap of $618.56 million, a P/E ratio of -2.16, a price-to-earnings-growth ratio of 0.49 and a beta of 0.98.

Quanex Building Products (NYSE:NX - Get Free Report) last posted its quarterly earnings data on Thursday, September 4th. The construction company reported $0.69 earnings per share for the quarter, missing the consensus estimate of $0.85 by ($0.16). Quanex Building Products had a negative net margin of 15.45% and a positive return on equity of 10.48%. The business had revenue of $495.27 million for the quarter, compared to the consensus estimate of $491.65 million. During the same quarter last year, the business posted $0.73 EPS. Quanex Building Products has set its FY 2025 guidance at EPS. As a group, equities analysts forecast that Quanex Building Products Corporation will post 2.18 earnings per share for the current year.

Quanex Building Products Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, September 30th. Shareholders of record on Tuesday, September 16th were paid a dividend of $0.08 per share. The ex-dividend date of this dividend was Tuesday, September 16th. This represents a $0.32 dividend on an annualized basis and a yield of 2.4%. Quanex Building Products's dividend payout ratio is currently -5.14%.

Insider Buying and Selling

In other news, Director Bradley E. Hughes acquired 6,500 shares of Quanex Building Products stock in a transaction on Thursday, September 11th. The stock was bought at an average cost of $15.27 per share, with a total value of $99,255.00. Following the completion of the purchase, the director owned 6,500 shares of the company's stock, valued at $99,255. This represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available at this hyperlink. Corporate insiders own 2.15% of the company's stock.

Institutional Trading of Quanex Building Products

Hedge funds have recently made changes to their positions in the stock. Janney Montgomery Scott LLC lifted its position in shares of Quanex Building Products by 9.6% in the first quarter. Janney Montgomery Scott LLC now owns 21,438 shares of the construction company's stock worth $399,000 after purchasing an additional 1,885 shares in the last quarter. GAMMA Investing LLC lifted its position in shares of Quanex Building Products by 106.5% in the first quarter. GAMMA Investing LLC now owns 2,618 shares of the construction company's stock worth $49,000 after purchasing an additional 1,350 shares in the last quarter. Johnson Investment Counsel Inc. purchased a new stake in shares of Quanex Building Products in the first quarter worth approximately $190,000. GSA Capital Partners LLP lifted its position in shares of Quanex Building Products by 195.4% in the first quarter. GSA Capital Partners LLP now owns 55,313 shares of the construction company's stock worth $1,028,000 after purchasing an additional 36,586 shares in the last quarter. Finally, Nisa Investment Advisors LLC lifted its position in shares of Quanex Building Products by 6.6% in the first quarter. Nisa Investment Advisors LLC now owns 16,051 shares of the construction company's stock worth $298,000 after purchasing an additional 997 shares in the last quarter. 97.48% of the stock is owned by hedge funds and other institutional investors.

About Quanex Building Products

Quanex Building Products Corporation, together with its subsidiaries, provides components for the fenestration industry in the United States, rest of Europe, Canada, Asia, the United Kingdom, and internationally. The company operates through three segments: North American Fenestration, European Fenestration, and North American Cabinet Components.

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