| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 56 | 18.0x | 17.8x | Around median | |
Growth | 47 | 19.7% | 7.1% | Around median | |
Quality | 52 | 2.3% | 4.5% | Around median | |
Safety | 75 | 2.3x | 2.6x | Top tier | |
Capital Return | 26 | 1.33% | 2.12% | Bottom tier | |
Momentum | 60 | -12.1% | 2.9% | Around median | |
Sentiment | 33 | 3 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Worthington Industries, Inc. operates through two main portfolios: Building Products and Consumer Products, generating revenue from solutions that include building envelope, refrigeration, and water components; ASME tanks used in liquid cooling for data centers; and products under brands such as Balloon Time, Amtrol, and Bernzomatic. It also benefits from joint ventures including ClarkDietrich and WAVE, and from the expansion of its building portfolio following the acquisitions of Elgen and LSI. In Q4 fiscal 2026, Building Products accounted for approximately $245 million in sales, compared with $126 million for Consumer Products, equivalent to roughly two-thirds of revenue for the former segment and one-third for the latter.
Revenue for Q4 fiscal 2026 was approximately $371.5 million, up 17% year over year, including $44 million from acquisitions and 3% organic growth. Gross profit was $101.9 million, while the company reported net income of $48.1 million, compared with approximately $4 million a year earlier, and GAAP earnings per share were $0.97. Gross margin declined to 27.4% from 29.3%, while adjusted earnings before interest, taxes, depreciation, and amortization were $83.5 million at a margin of 22.5%, compared with $85.1 million in the comparable period.
In fiscal 2026, the company reported revenue of $1.4 billion, gross profit of $378.3 million, net income of $156.1 million, and earnings per share of $3.14. Annual sales grew 20%, including 9% organically, and adjusted earnings before interest, taxes, depreciation, and amortization rose 12% to $296 million. The company generated free cash flow of $170 million while reducing selling, general, and administrative expenses as a percentage of sales by 200 basis points.
The analyst consensus is “Buy,” with an average price target of $66 and a narrow range of $65 to $67. The average target is close to the upper end of the 52-week range of $66.47, reflecting an expectation of a return to levels near the annual high, but it assumes improvement in margin pressures and moderation in the impact of A2L and ClarkDietrich. No valid price-to-earnings ratio is available in the provided data, so the assessment of the case here is based on the target range, the 52-week range, and the quality of cash flow and operating profitability.
Figures in the text are as of 2026-08-31; the live price is shown at the top of the page.
The most prominent numerically defined driver is the ASME tank business used in liquid-cooling systems for data centers. The company shipped approximately $13 million of these tanks during fiscal 2026 and expects to ship at least the same amount in Q1 fiscal 2027. The company’s teams participate with customers during the solution-design stage, while relying on a network of manufacturing partners to limit the required capital investment. WAVE, ClarkDietrich, Elgen, LSI, and parts of the water business also benefit from data-center construction and operation.
Gross margin declined to 27.4% in Q4 fiscal 2026 from 29.3% a year earlier, despite gross profit increasing to $102 million from $93 million. The company attributed the decline to a less profitable mix within Building Products, the impact of the LSI inventory step-up in acquisition accounting, and input-cost inflation. Pressures included steel, aluminum, brass, freight, and diesel, and the company implemented pricing and mitigation measures to address them. The adjusted earnings before interest, taxes, depreciation, and amortization margin was 22.5% during the same period.
Automated analysis for informational purposes only — not investment advice.
The acquisitions of Elgen and LSI added approximately $44 million to Q4 fiscal 2026 sales, out of total sales of $371 million according to the June 24, 2026 call. They helped increase Building Products sales 28% to $245 million, while the segment’s growth excluding them was 5%. Management said that the integration of both companies was proceeding according to plan on June 24, 2026, and that they expand the company’s solutions across the building envelope. Conversely, the accounting impact of the LSI inventory step-up pressured gross margin during the quarter.
Operating activities generated $72 million in Q4 fiscal 2026, while free cash flow reached $55 million, compared with $49 million a year earlier. Free cash flow for fiscal 2026 reached $170 million, equal to 102% of adjusted net income, despite funding $25 million of elevated modernization investments. The company ended the quarter with net debt of $278 million and a leverage ratio of less than one time, with an undrawn $500 million revolving facility. It also approved a quarterly dividend of $0.20 per share, payable in September 2026, up 5% from the previous quarter.
The company’s share of ClarkDietrich’s earnings was approximately $22 million in fiscal 2026, down nearly $19 million from the previous fiscal year. In Q4 fiscal 2026 alone, its earnings contribution declined by approximately $7 million, pressuring adjusted Building Products earnings. Data centers support ClarkDietrich’s volumes, but management explained on June 24, 2026, that the profitability of this market is lower than that of some of its other end markets. Management described the fiscal 2026 level as a potential trough, but that assessment is conditional on market conditions remaining stable.
Insider activity registered a net selling signal of $2.3 million during the three months ended with the latest listed transaction on June 26, 2026. The data included two sales and no purchases during that period. This signal is weak on its own because insider sales may be executed under prearranged plans unless the data state otherwise. It should therefore be considered alongside the decline in gross margin and pressures at ClarkDietrich, rather than as independent evidence of a change in the company’s fundamentals.
