AZZ Relative Valuation
AZZ's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, AZZ is overvalued; if below, it's undervalued.
Historical Valuation
AZZ Inc (AZZ) is now in the Fair zone, suggesting that its current forward PE ratio of 17.70 is considered Fairly compared with the five-year average of 14.16. The fair price of AZZ Inc (AZZ) is between 102.23 to 131.56 according to relative valuation methord.
Relative Value
Fair Zone
102.23-131.56
Current Price：109.83
Fair
17.70
PE
1Y
3Y
5Y
10.58
EV/EBITDA
AZZ Inc. (AZZ) has a current EV/EBITDA of 10.58. The 5-year average EV/EBITDA is 8.39. The thresholds are as follows: Strongly Undervalued below 4.47, Undervalued between 4.47 and 6.43, Fairly Valued between 10.35 and 6.43, Overvalued between 10.35 and 12.31, and Strongly Overvalued above 12.31. The current Forward EV/EBITDA of 10.58 falls within the Overvalued range.
14.30
EV/EBIT
AZZ Inc. (AZZ) has a current EV/EBIT of 14.30. The 5-year average EV/EBIT is 11.42. The thresholds are as follows: Strongly Undervalued below 6.07, Undervalued between 6.07 and 8.75, Fairly Valued between 14.10 and 8.75, Overvalued between 14.10 and 16.78, and Strongly Overvalued above 16.78. The current Forward EV/EBIT of 14.30 falls within the Overvalued range.
1.95
PS
AZZ Inc. (AZZ) has a current PS of 1.95. The 5-year average PS is 1.19. The thresholds are as follows: Strongly Undervalued below 0.33, Undervalued between 0.33 and 0.76, Fairly Valued between 1.63 and 0.76, Overvalued between 1.63 and 2.06, and Strongly Overvalued above 2.06. The current Forward PS of 1.95 falls within the Overvalued range.
13.05
P/OCF
AZZ Inc. (AZZ) has a current P/OCF of 13.05. The 5-year average P/OCF is 8.76. The thresholds are as follows: Strongly Undervalued below 2.99, Undervalued between 2.99 and 5.87, Fairly Valued between 11.64 and 5.87, Overvalued between 11.64 and 14.53, and Strongly Overvalued above 14.53. The current Forward P/OCF of 13.05 falls within the Overvalued range.
18.32
P/FCF
AZZ Inc. (AZZ) has a current P/FCF of 18.32. The 5-year average P/FCF is 14.02. The thresholds are as follows: Strongly Undervalued below 4.29, Undervalued between 4.29 and 9.15, Fairly Valued between 18.89 and 9.15, Overvalued between 18.89 and 23.76, and Strongly Overvalued above 23.76. The current Forward P/FCF of 18.32 falls within the Historic Trend Line -Fairly Valued range.
AZZ Inc (AZZ) has a current Price-to-Book (P/B) ratio of 2.53. Compared to its 3-year average P/B ratio of 2.11 , the current P/B ratio is approximately 19.72% higher. Relative to its 5-year average P/B ratio of 1.98, the current P/B ratio is about 27.65% higher. AZZ Inc (AZZ) has a Forward Free Cash Flow (FCF) yield of approximately 12.34%. Compared to its 3-year average FCF yield of 6.18%, the current FCF yield is approximately 99.84% lower. Relative to its 5-year average FCF yield of 6.16% , the current FCF yield is about 100.47% lower.
2.53
P/B
Median3y
2.11
Median5y
1.98
12.34
FCF Yield
Median3y
6.18
Median5y
6.16
Competitors Valuation Multiple
The average P/S ratio for AZZ's competitors is 1.97, providing a benchmark for relative valuation. AZZ Inc Corp (AZZ) exhibits a P/S ratio of 1.95, which is -0.76% above the industry average. Given its robust revenue growth of 5.47%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of AZZ increased by 28.02% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 8.32 to 9.65.
The secondary factor is the P/E Change, contributed 6.56%to the performance.
Overall, the performance of AZZ in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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Frequently Asked Questions
Is AZZ Inc (AZZ) currently overvalued or undervalued?
AZZ Inc (AZZ) is now in the Fair zone, suggesting that its current forward PE ratio of 17.70 is considered Fairly compared with the five-year average of 14.16. The fair price of AZZ Inc (AZZ) is between 102.23 to 131.56 according to relative valuation methord.
What is AZZ Inc (AZZ) fair value?
AZZ's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of AZZ Inc (AZZ) is between 102.23 to 131.56 according to relative valuation methord.
How does AZZ's valuation metrics compare to the industry average?
The average P/S ratio for AZZ's competitors is 1.97, providing a benchmark for relative valuation. AZZ Inc Corp (AZZ) exhibits a P/S ratio of 1.95, which is -0.76% above the industry average. Given its robust revenue growth of 5.47%, this premium appears unsustainable.
What is the current P/B ratio for AZZ Inc (AZZ) as of Jan 08 2026?
As of Jan 08 2026, AZZ Inc (AZZ) has a P/B ratio of 2.53. This indicates that the market values AZZ at 2.53 times its book value.
What is the current FCF Yield for AZZ Inc (AZZ) as of Jan 08 2026?
As of Jan 08 2026, AZZ Inc (AZZ) has a FCF Yield of 12.34%. This means that for every dollar of AZZ Inc’s market capitalization, the company generates 12.34 cents in free cash flow.
What is the current Forward P/E ratio for AZZ Inc (AZZ) as of Jan 08 2026?
As of Jan 08 2026, AZZ Inc (AZZ) has a Forward P/E ratio of 17.70. This means the market is willing to pay $17.70 for every dollar of AZZ Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for AZZ Inc (AZZ) as of Jan 08 2026?
As of Jan 08 2026, AZZ Inc (AZZ) has a Forward P/S ratio of 1.95. This means the market is valuing AZZ at $1.95 for every dollar of expected revenue over the next 12 months.