📊 AXTA Key Takeaways
Investment Thesis
Axalta demonstrates solid operational profitability with a 14.4% operating margin and healthy free cash flow generation of $453M, but faces headwinds from flat revenue growth and margin compression on net income. The company maintains reasonable financial leverage and liquidity positions, though elevated debt levels relative to equity warrant monitoring.
AXTA Strengths
- Strong free cash flow conversion at 8.9% FCF margin with $453M annual generation
- Solid interest coverage ratio of 4.2x provides adequate debt service capability
- Healthy current ratio of 2.06x and quick ratio of 1.50x indicate adequate liquidity
- Respectable ROE of 16.1% demonstrates efficient use of shareholder capital
- Operating margin of 14.4% reflects operational efficiency in manufacturing
AXTA Risks
- Revenue growth stagnation at 0.0% YoY suggests competitive pressures or market maturity challenges
- Net income declining 0.3% YoY despite stable revenue indicates margin compression and cost pressures
- Elevated debt-to-equity ratio of 1.36x with $3.2B long-term debt creates financial leverage risk
- Absence of gross margin data limits visibility into pricing power and input cost management
- EPS declining 2.2% YoY on diluted basis suggests share dilution or profitability headwinds
Key Metrics to Watch
- Revenue growth trajectory and market share trends in paints and coatings sector
- Operating margin sustainability as input costs and competition evolve
- Debt reduction progress and debt-to-equity ratio improvement
- Free cash flow consistency and capital allocation priorities
- Gross margin trends once disclosed to assess pricing versus cost dynamics
AXTA Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 2.06x current ratio provides a solid financial cushion.
AXTA Profitability Ratios
AXTA vs Default Sector
How Axalta Coating Systems Ltd. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
AXTA Balance Sheet & Liquidity
AXTA 5-Year Financial Trend
5-Year Trend Summary: Axalta Coating Systems Ltd.'s revenue has grown significantly by 18% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.21 reflects profitable operations.
AXTA Growth Metrics (YoY)
AXTA Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.3B | $101.0M | $0.46 |
| Q2 2025 | $1.3B | $109.0M | $0.50 |
| Q1 2025 | $1.3B | $41.0M | $0.18 |
| Q3 2024 | $1.3B | $72.0M | $0.33 |
| Q2 2024 | $1.3B | $61.0M | $0.27 |
| Q1 2024 | $1.3B | $41.0M | $0.18 |
| Q3 2023 | $1.2B | $62.4M | $0.28 |
| Q2 2023 | $1.2B | $44.1M | $0.20 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
AXTA Capital Allocation
AXTA SEC Filings
Access official SEC EDGAR filings for Axalta Coating Systems Ltd. (CIK: 0001616862)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Mar 5, 2026 | 4 | xslF345X05/wk-form4_1772752321.xml | View → |
| Mar 5, 2026 | 4 | xslF345X05/wk-form4_1772752289.xml | View → |
| Mar 5, 2026 | 4 | xslF345X05/wk-form4_1772752253.xml | View → |
| Mar 5, 2026 | 4 | xslF345X05/wk-form4_1772752213.xml | View → |
| Mar 5, 2026 | 4 | xslF345X05/wk-form4_1772752185.xml | View → |
❓ Frequently Asked Questions about AXTA
What is the AI rating for AXTA?
Axalta Coating Systems Ltd. (AXTA) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.
What are AXTA's key strengths?
Strong free cash flow conversion at 8.9% FCF margin with $453M annual generation. Solid interest coverage ratio of 4.2x provides adequate debt service capability.
What are the risks of investing in AXTA?
Revenue growth stagnation at 0.0% YoY suggests competitive pressures or market maturity challenges. Net income declining 0.3% YoY despite stable revenue indicates margin compression and cost pressures.
What is AXTA's revenue and growth?
Axalta Coating Systems Ltd. reported revenue of $5.1B.
Does AXTA pay dividends?
Axalta Coating Systems Ltd. does not currently pay dividends.
Where can I find AXTA SEC filings?
Official SEC filings for Axalta Coating Systems Ltd. (CIK: 0001616862) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AXTA's EPS?
Axalta Coating Systems Ltd. has a diluted EPS of $1.74.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.