Quanex Building Products Corporation Common Stock (NX)

Turnaround

FairStock Score: 56/100 — STEADY

Key Financials

Current Price$19.36
Market Cap$887M
P/E Ratio19.96
ROE6.2%
Dividend Yield1.59%
SectorIndustrials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for businesses that earn high returns on capital and carry little debt. Quanex is a mixed case. It supplies necessary but unglamorous components—insulating glass spacers, vinyl profiles, screens, seals, hardware—to window and door OEMs. The figures do not show a wide moat: FairStock calculates ROCE of 3.52% and ROE of 6.20%, while debt-to-equity is 1.13. The Lynch category is TURNAROUND — loss in the latest year after earlier profits. In fiscal 2025, the year ended 2025-10-31, revenue was $1.8B and net income was -$250.8M, or -$5.43 per diluted share. That followed fiscal 2024 net income of $33.1M, or $0.90 per diluted share, and fiscal 2023 net income of $82.5M, or $2.50 per diluted share. The recent trend is better: in fiscal Q3 2026, the quarter ended 2026-07-31, revenue was $501.8M and net income was $26.5M, or $0.58 per diluted share. Still, fiscal Q1 2026, the quarter ended 2026-01-31, had a net loss of $4.1M, or -$0.09 per diluted share. At $18.85 on 2026-10-13, FairStock calculates P/E of 19.43, P/B of 1.15, and a Graham Number of $18.84, a margin of safety of about -0.05%. Free cash flow is $90.8M, a 10.5% yield; EV/EBITDA is 7.44. Piotroski is 8/9, but Altman Z is 1.09. I want proof that the recovery lasts and debt falls before calling this cheap.

In plain English: Quanex makes parts for windows, doors, and solar panels that other building-product companies put into their products. The business has swung from a big loss to recent profits, but it still has weak returns and a lot of debt. At the recent price, the stock looks close to fair value based on its profits and assets, not a clear bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-07-31) · fiscal Q2 2026 10-Q (period ended 2026-04-30) · fiscal Q1 2026 10-Q (period ended 2026-01-31) · fiscal Q3 2025 10-Q (period ended 2025-07-31) · FY2025 10-K (period ended 2025-10-31) · FY2024 10-K (period ended 2024-10-31) · FY2023 10-K (period ended 2023-10-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer