Company Overview - Griffon Corporation has a market capitalization of $3.42 billion and operates within the industrial sector, specifically in the building products industry [3]. Ratings and Analyst Opinions - The Seeking Alpha Quant rating system currently assigns a Sell rating to Griffon Corporation's stock [2]. - In contrast, Seeking Alpha Analysts have an aggregate Buy rating based on coverage from two analysts in the last 90 days [2]. - Wall Street analysts have a Strong Buy rating, with seven analysts providing coverage in the last 90 days [2]. Valuation Metrics - The stock has a Valuation grade of D+, with a PEG to non-GAAP forward ratio of 0.89, significantly lower than the sector average of 1.80, indicating it is severely undervalued [4]. - The price-to-cash flow forward ratio stands at 9.11, compared to the sector average of 16.12, reflecting a 43% discount [4]. Growth and Profitability - The Growth grade is currently C-, with year-over-year revenue growth down nearly 4%, while the sector shows an increase of almost 4% [5]. - Profitability is rated B, with an EBITDA margin of 20.57%, which is higher than the sector average of 14.48% and above its five-year average of 15.36% [5]. Momentum and Revisions - The Momentum grade is C, with a one-year price performance down 8.44%, while the sector is up by 86 basis points [6]. - The Revisions grade is F, with zero up revisions and six down revisions for earnings per share over the last three months, and three up revisions and four down revisions for revenue [7]. Dividend Information - Griffon Corporation pays a dividend with a yield of 1.19% and a five-year growth rate of 20.03% [8]. - The dividend safety grade is B+, with an A for dividend growth, a B+ for yield, and a B for consistency, having paid dividends for 14 years [8].
Griffin Corporation (NYSE:GFF) Stock: Why The Sell Rating? | 2-Minute Analysis