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AXL vs LQDT

AXL
American Axle & Manufacturing Holdings, Inc.
NEUTRAL
Price
$8.28
Market Cap
$982.8M
Sector
Consumer Cyclical
AI Confidence
65%
LQDT
Liquidity Services, Inc.
NEUTRAL
Price
$32.60
Market Cap
$1.01B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
AXL
23.66
LQDT
35.43
Forward P/E
AXL
11.85
LQDT
21.31
P/B Ratio
AXL
1.37
LQDT
4.67
P/S Ratio
AXL
0.17
LQDT
2.13
EV/EBITDA
AXL
4.24
LQDT
19.28

Profitability

Gross Margin
AXL
12.31%
LQDT
45.35%
Operating Margin
AXL
4.54%
LQDT
7.73%
Profit Margin
AXL
0.72%
LQDT
6.26%
ROE
AXL
6.28%
LQDT
14.72%
ROA
AXL
2.95%
LQDT
6.78%

Growth

Revenue Growth
AXL
0.0%
LQDT
-0.9%
Earnings Growth
AXL
-12.5%
LQDT
27.8%

Financial Health

Debt/Equity
AXL
3.81
LQDT
0.06
Current Ratio
AXL
1.77
LQDT
1.53
Quick Ratio
AXL
1.24
LQDT
1.36

Dividends

Dividend Yield
AXL
--
LQDT
--
Payout Ratio
AXL
0.0%
LQDT
0.0%

AI Verdict

AXL NEUTRAL

The company exhibits weak fundamental health with a Piotroski F-Score of 4/9, indicating borderline stability, and lacks an Altman Z-Score to confirm financial distress risk. Despite a recent strong price run-up (+44.8% 1Y), profitability is thin, growth is negative, and leverage is extremely high (Debt/Equity: 3.81). Valuation metrics are mixed, with a low P/S of 0.17 suggesting potential undervaluation, but elevated P/E of 23.66 and negative earnings growth raise concerns. Analysts concur with a 'hold' rating, aligning with the uncertain outlook.

Strengths
Low Price/Sales ratio (0.17) suggests potential undervaluation relative to revenue
Recent strong price momentum (+68% over 6 months)
Historically high earnings surprise frequency, especially in 2024
Risks
Piotroski F-Score of 4 indicates weak financial health and limited operational strength
Extremely high Debt/Equity ratio (3.81) far exceeds sector average (1.59), increasing financial risk
Negative earnings growth (YoY: -12.5%, Q/Q: -8%) and declining profitability
LQDT NEUTRAL

LQDT demonstrates exceptional operational health with a Piotroski F-Score of 8/9 and a very low Debt/Equity ratio of 0.06. However, the stock is currently trading at a premium ($32.60) relative to both its Graham Number ($12.03) and its Intrinsic Value ($27.14). While the company has an impressive track record of earnings beats and strong YoY earnings growth (27.8%), this is contrasted by stagnant revenue growth (-0.90%) and aggressive insider selling by the CEO and CFO. The disconnect between strong fundamental health and bearish insider/technical signals suggests the stock is currently overextended.

Strengths
Strong financial health indicated by a Piotroski F-Score of 8/9
Negligible debt levels with a Debt/Equity ratio of 0.06
Exceptional earnings track record with consistent beats over 25 quarters
Risks
Stagnant top-line growth with YoY revenue growth at -0.90%
Heavy insider selling by C-suite executives (CEO and CFO)
Current market price exceeds growth-based intrinsic value ($27.14)

Compare Another Pair

AXL vs LQDT: Head-to-Head Comparison

This page compares American Axle & Manufacturing Holdings, Inc. (AXL) and Liquidity Services, Inc. (LQDT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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