CHICAGO – The AZEK Company Inc. (AZKE) saw its stock close in the red on Monday, June 30, pulling back slightly after flirting with its 52-week high. The building products manufacturer’s stock finished the session at $54.35, a decrease of $0.51 or 0.93%.
The session was marked by significant trading activity, with the stock moving within a day’s range of $53.60 to $54.58. Despite the daily loss, AZEK remains near its peak valuation for the year, with its 52-week high standing at $54.91. This proximity to a major resistance level suggests that the stock is at a critical juncture, with investors weighing its strong performance against its current valuation.
Notably, the trading volume for the day was exceptionally high at over 26.8 million shares, far exceeding the average volume of 3.9 million shares. This surge in volume indicates a high level of investor interest and could signal a potential shift in momentum or a reaction to specific market or company news.
Should You Buy or Sell AZEK Stock Today?
Analyzing the provided data presents a mixed picture for investors:
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For Short-Term Traders: The stock is currently trading slightly above the 1-year analyst target estimate of $53.95. This, combined with the stock being near its 52-week high, could suggest it is fully valued in the short term, and a pullback is possible. The high Beta of 1.82 indicates the stock is significantly more volatile than the market, presenting both risk and reward. Traders might see the failure to break the 52-week high as a bearish signal.
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For Long-Term Investors: AZEK is a profitable company, as shown by its positive Earnings Per Share (EPS) of $1.03. Its high Price-to-Earnings (P/E) ratio of 52.77 suggests that the market has high expectations for future growth. Long-term investors who believe in the company’s business model and the outlook for the housing and remodeling markets might view any significant dip as a buying opportunity.
Our Opinion on AZEK Stock
The AZEK Company is a key player in the outdoor living and building products space. Its stock has had an impressive run, pushing it close to its 52-week peak. However, key indicators suggest a cautious approach is warranted at current levels.
The stock’s valuation is rich, with a P/E ratio over 50 and a price that has surpassed the average analyst target. While momentum has been strong, the failure to set a new high on massive volume could be a sign of exhaustion. We believe that while the long-term fundamentals of the company may be sound, the stock may be due for a period of consolidation or a slight correction before its next leg up. Potential investors should watch to see if it can find support or if it breaks decisively above the $54.91 resistance level.
Frequently Asked Questions (FAQ) about AZEK Stock
1. What is the closing price of The AZEK Company (AZEK) stock?
As of the market close on June 30, the stock price was $54.35, down 0.93% for the day.
2. Is AZEK stock currently trading at a high or low price?
The stock is trading near its 52-week high of $54.91. Its lowest price in the past year was $35.48, so it is currently at the upper end of its annual trading range.
3. What does AZEK’s P/E ratio of 52.77 indicate?
A Price-to-Earnings (P/E) ratio of 52.77 is relatively high. It suggests that investors are willing to pay a premium for the stock based on expectations of strong future earnings growth. It can also indicate that a stock is overvalued.
4. What do analysts predict for AZEK’s stock price?
The 1-year analyst target estimate for AZEK is $53.95. The current price of $54.35 is slightly above this average target, which could imply that analysts, on average, see limited upside from the current level.
5. Why was the trading volume for AZEK so high?
The volume of over 26 million shares is nearly seven times the average. Such high volume can be triggered by significant news, an analyst rating change, inclusion in an index, or large institutional buying or selling. It signifies a day of very high interest in the stock.
6. How volatile is AZEK stock?
The stock has a Beta of 1.82. Since Beta measures volatility relative to the overall market (which has a beta of 1.0), a beta of 1.82 means AZEK stock is historically 82% more volatile than the market average.
7. When will AZEK report its next earnings?
According to the data provided, the next earnings report is expected between August 5, 2025, and August 11, 2025. (Note: This year may be a typo in the source data, as it is far in the future; investors should verify the date with the company’s official investor relations page.)
