Zacks Research Downgrades Quanex Building Products (NYSE:NX) to Strong Sell

Key Points

• Zacks Research has downgraded Quanex Building Products from a "hold" rating to a "strong sell," indicating a negative outlook for the company's stock.
• Quanex Building Products reported a quarterly loss with an EPS of $0.69, missing the consensus estimate of $0.85 by $0.16.
• Insider activity includes Director Bradley E. Hughes buying 6,500 shares of the company at an average price of $15.27, reflecting confidence amid recent downgrades.

Quanex Building Products (NYSE:NX - Get Free Report) was downgraded by equities researchers at Zacks Research from a "hold" rating to a "strong sell" rating in a research note issued on Thursday,Zacks.com reports.

Quanex Building Products Trading Down 4.7%

NYSE:NX opened at $14.47 on Thursday. Quanex Building Products has a one year low of $14.39 and a one year high of $32.23. The company has a debt-to-equity ratio of 0.97, a current ratio of 2.20 and a quick ratio of 1.18. The company's 50-day simple moving average is $19.73 and its 200 day simple moving average is $18.79. The firm has a market capitalization of $663.89 million, a P/E ratio of -2.33, a PEG ratio of 0.55 and a beta of 0.99.

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

Insider Buying and Selling

In other Quanex Building Products news, Director Bradley E. Hughes acquired 6,500 shares of the company's stock in a transaction that occurred on Thursday, September 11th. The shares were acquired at an average price of $15.27 per share, with a total value of $99,255.00. Following the completion of the purchase, the director directly owned 6,500 shares of the company's stock, valued at approximately $99,255. The trade was a ∞ increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 2.15% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Allspring Global Investments Holdings LLC lifted its stake in shares of Quanex Building Products by 3.4% in the second quarter. Allspring Global Investments Holdings LLC now owns 3,355,294 shares of the construction company's stock worth $67,509,000 after buying an additional 110,268 shares in the last quarter. Ameriprise Financial Inc. lifted its stake in shares of Quanex Building Products by 7.9% in the second quarter. Ameriprise Financial Inc. now owns 2,275,870 shares of the construction company's stock worth $43,013,000 after buying an additional 166,518 shares in the last quarter. Segall Bryant & Hamill LLC lifted its stake in shares of Quanex Building Products by 31.1% in the first quarter. Segall Bryant & Hamill LLC now owns 1,367,758 shares of the construction company's stock worth $25,427,000 after buying an additional 324,548 shares in the last quarter. Systematic Financial Management LP lifted its stake in shares of Quanex Building Products by 6.7% in the second quarter. Systematic Financial Management LP now owns 1,283,079 shares of the construction company's stock worth $24,250,000 after buying an additional 80,574 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. lifted its stake in shares of Quanex Building Products by 7.7% in the first quarter. Charles Schwab Investment Management Inc. now owns 754,805 shares of the construction company's stock worth $14,032,000 after buying an additional 54,187 shares in the last quarter. Institutional investors own 97.48% of the company's stock.

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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