Griffon (GFF) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future. Shares of this garage door and building products maker have returned -2.5% over the past month versus the Zacks S&P 500 composite's +6.1% change. The Zacks Diversified Operations industry, to which Griffon belongs, has gained 9.1% over this period. Now the key question is: Where could the stock be heade ...

Core Thesis - The topline decline for Griffon Corporation is expected to continue into the second half of FY24, primarily due to weaker demand in the CPP segment in the U.S. and the UK, although growth in door volume and residential orders may offset this impact [1][7][11] - Long-term demand prospects remain favorable due to demographic housing trends, which are anticipated to drive demand for the company's products in the coming years [1][8] Business Overview - Griffon Corporation operates primarily in two segments: Home and Building Products (HPB) and Consumer and Professional Products (CPP) [2] - The HPB segment focuses on manufacturing and marketing garage doors and rolling steel, while the CPP segment produces landscaping and garden tools [2] Last Quarter Performance - The company reported a second-quarter revenue of $673 million, down approximately 5.4% year-over-year, marking the fifth consecutive quarter of topline decline [3] - The CPP segment experienced a double-digit revenue decline due to reduced demand, while the HPB segment saw a 1% decrease driven by an unfavorable product mix [3] Segment Performance - Despite the topline decline, the CPP segment achieved a 2% growth in EBITDA, with its margin increasing by 100 basis points to 7.2% year-over-year [4] - The HPB segment's adjusted EBITDA margin was 32.9%, reflecting a slight decline of 30 basis points due to increased labor and distribution costs [4] Outlook - Sales are expected to remain under pressure due to weak demand in the CPP segment, which accounts for about 70% of total segment sales [7] - The HPB segment is experiencing better-than-expected growth in residential door volume, which may help offset the negative impact from the CPP segment [7] Long-Term Demand Drivers - Long-term demand is supported by global macro trends such as underbuilt housing stock, rising repair and remodeling activity, and increasing demand in commercial construction [8][9] - The company is investing in product innovation and technology, and is exploring potential mergers and acquisitions for future growth [9] Valuation - The company's stock is currently trading at a forward P/E ratio of 13.62, which is approximately 30% lower than the sector median [12][15] - The stock has more than doubled in the past year, reaching an all-time high of $77.99 in April, driven by margin expansion [12] Conclusion - The company is expected to maintain a flat or low single-digit decline in topline revenue in 2024, but long-term demand prospects are promising due to demographic trends [18] - The company has experienced good margin growth, which is expected to continue, supporting bottom-line expansion and improving valuation [18]

JodiJacobson/E+ via Getty Images Investment Thesis Griffon Corporation (GFF) has restructured its business to be more profitable and less vulnerable to market downturns. The future growth expectations by the market may not match the potential outcome for the company, making an expected expansion of EBITDA margins an opportunity for investors to potentially cash in on a stock that has already delivered incredible returns for shareholders over the past year. The stock has the potential to beat the market and ...

Griffon currently has an average brokerage recommendation (ABR) of 1.00, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by three brokerage firms. An ABR of 1.00 indicates Strong Buy. Of the three recommendations that derive the current ABR, three are Strong Buy, representing 100% of all recommendations. Brokerage Recommendation Trends for GFF Check price target & stock forecast for Griffon here>>> The recommendations of Wall Stre ...

Shares of Griffon (GFF) have gained 3.9% over the past four weeks to close the last trading session at $69.29, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $87 indicates a potential upside of 25.6%. The average comprises three short-term price targets ranging from a low of $85 to a high of $90, with a standard deviation of $2.65. While the lowest estimate indicates an increas ...

Griffon (GFF) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company. Analysts' growing optimism on the earnings prospects of this garage door and building products maker is driving estimates higher, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earni ...

Company Overview - Griffon (GFF) currently holds a Momentum Style Score of A, indicating strong potential for momentum investing [3] - The company is rated 2 (Buy) by the Zacks Rank, which has a history of outperforming the market [4] Price Performance - Over the past week, GFF shares increased by 2.84%, while the Zacks Diversified Operations industry rose by only 0.14% [6] - In the last month, GFF's price change was 5.18%, outperforming the industry's 3.01% [6] - Over the past quarter, GFF shares rose by 4.48%, and they have increased by 131.34% over the last year, compared to the S&P 500's gains of 4.25% and 27.92%, respectively [7] Trading Volume - GFF's average 20-day trading volume is 369,636 shares, which serves as a price-to-volume baseline for assessing market interest [8] Earnings Outlook - In the last two months, one earnings estimate for GFF has increased, while none have decreased, raising the consensus estimate from $4.58 to $4.80 [10] - For the next fiscal year, one estimate has also moved upwards with no downward revisions during the same period [10] Conclusion - Considering the positive price trends and earnings outlook, GFF is positioned as a strong momentum pick for investors [11]

While "the trend is your friend" when it comes to short-term investing or trading, timing entries into the trend is a key determinant of success. And increasing the odds of success by making sure the sustainability of a trend isn't easy.The trend often reverses before exiting the trade, leading to a short-term capital loss for investors. So, for a profitable trade, one should confirm factors such as sound fundamentals, positive earnings estimate revisions, etc. that could keep the momentum in the stock aliv ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 1-06620 GRIFFON CORPORATION (Exact name of registrant as specified in its charter) | Title of each class | Trading Symbol(s) | Name of each exchang ...

Griffon (GFF) came out with quarterly earnings of $1.35 per share, beating the Zacks Consensus Estimate of $0.94 per share. This compares to earnings of $1.21 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 43.62%. A quarter ago, it was expected that this garage door and building products maker would post earnings of $0.78 per share when it actually produced earnings of $1.07, delivering a surprise of 37.18%.Over the last four ...