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CENX Stock Analysis - CENTURY ALUMINUM CO AI Rating

CENX Nasdaq Primary Production of Aluminum DE CIK: 0000949157
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-12-31
AI Rating
HOLD
62% Confidence

📊 CENX Key Takeaways

Revenue: $2.5B
Net Margin: 1.7%
Free Cash Flow: $84.8M
Current Ratio: 1.97x
Debt/Equity: 0.53x
EPS: $0.42
AI Rating: HOLD with 62% confidence

Investment Thesis

Century Aluminum demonstrates solid operational leverage with revenue growth of 13.9% YoY and strong free cash flow generation of $84.8M, supporting its capital-intensive business model. However, profitability margins remain compressed at 1.7% net margin with concerning diluted EPS decline of 87.2% YoY, indicating margin pressure despite top-line growth. The company maintains adequate financial health with a healthy current ratio of 1.97x and moderate leverage, but elevated capital expenditure requirements and thin operating margins typical of the commodity aluminum sector warrant cautious positioning.

CENX Strengths

  • + Revenue growth of 13.9% YoY demonstrates demand strength in core markets
  • + Positive free cash flow of $84.8M (3.4% FCF margin) supports debt servicing and capital investment
  • + Solid liquidity position with current ratio of 1.97x and adequate interest coverage of 8.1x
  • + Moderate leverage with debt-to-equity of 0.53x provides financial flexibility
  • + Strong operating cash flow of $185.0M validates cash generation capability

CENX Risks

  • ! Net margin of only 1.7% reflects commodity pricing pressure and operational challenges in aluminum production
  • ! Diluted EPS collapsed 87.2% YoY despite revenue growth, signaling significant per-share value destruction
  • ! Gross margin of 10.1% is razor-thin, leaving minimal room for cost management or price declines
  • ! Capital intensity with capex of $100.2M annually (4% of revenue) constrains shareholder returns
  • ! Exposure to volatile aluminum commodity prices creates earnings unpredictability

Key Metrics to Watch

CENX Financial Metrics

Revenue
$2.5B
Net Income
$41.8M
EPS (Diluted)
$0.42
Free Cash Flow
$84.8M
Total Assets
$2.3B
Cash Position
$134.2M

💡 AI Analyst Insight

The relatively thin 3.4% FCF margin may limit capital allocation flexibility.

CENX Profitability Ratios

Gross Margin 10.1%
Operating Margin 6.3%
Net Margin 1.7%
ROE 5.2%
ROA 1.8%
FCF Margin 3.4%

CENX vs Default Sector

How CENTURY ALUMINUM CO compares to Default sector averages

Net Margin
CENX 1.7%
vs
Sector Avg 12.0%
CENX Sector
ROE
CENX 5.2%
vs
Sector Avg 15.0%
CENX Sector
Current Ratio
CENX 2.0x
vs
Sector Avg 1.8x
CENX Sector
Debt/Equity
CENX 0.5x
vs
Sector Avg 0.7x
CENX Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CENX Balance Sheet & Liquidity

Current Ratio
1.97x
Quick Ratio
0.98x
Debt/Equity
0.53x
Debt/Assets
53.9%
Interest Coverage
8.11x
Long-term Debt
$430.9M

CENX 5-Year Financial Trend

CENX 5-year financial data: Year 2021: Revenue $2.2B, Net Income -$80.8M, EPS $-0.91. Year 2022: Revenue $2.8B, Net Income -$123.3M, EPS $-1.38. Year 2023: Revenue $2.8B, Net Income -$167.1M, EPS $-1.85. Year 2024: Revenue $2.8B, Net Income -$14.1M, EPS $-0.15. Year 2025: Revenue $2.5B, Net Income -$43.1M, EPS $-0.47.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CENTURY ALUMINUM CO's revenue has grown significantly by 14% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.47 indicates the company is currently unprofitable.

CENX Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
3.4%
Free cash flow / Revenue

CENX Quarterly Performance

Quarterly financial performance data for CENTURY ALUMINUM CO including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $539.1M $14.9M $0.15
Q2 2025 $560.8M -$2.5M $-0.03
Q1 2025 $489.5M $29.7M $0.29
Q2 2024 $560.8M -$2.5M $-0.03
Q1 2024 $489.5M -$38.6M $-0.42
Q3 2023 $545.2M -$42.0M $0.43
Q2 2023 $575.5M $7.5M $0.07
Q1 2023 $552.4M $17.7M $0.18

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CENX Capital Allocation

Operating Cash Flow
$185.0M
Cash generated from operations
Capital Expenditures
$100.2M
Investment in assets
Dividends
None
No dividend program

CENX SEC Filings

Access official SEC EDGAR filings for CENTURY ALUMINUM CO (CIK: 0000949157)

📋 Recent SEC Filings

Date Form Document Action
Mar 17, 2026 4 xslF345X05/wk-form4_1773783338.xml View →
Mar 13, 2026 4 xslF345X05/wk-form4_1773436438.xml View →
Mar 13, 2026 4 xslF345X05/wk-form4_1773436098.xml View →
Mar 6, 2026 4 xslF345X05/wk-form4_1772837922.xml View →
Mar 4, 2026 4 xslF345X05/wk-form4_1772667310.xml View →

Frequently Asked Questions about CENX

What is the AI rating for CENX?

CENTURY ALUMINUM CO (CENX) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CENX's key strengths?

Revenue growth of 13.9% YoY demonstrates demand strength in core markets. Positive free cash flow of $84.8M (3.4% FCF margin) supports debt servicing and capital investment.

What are the risks of investing in CENX?

Net margin of only 1.7% reflects commodity pricing pressure and operational challenges in aluminum production. Diluted EPS collapsed 87.2% YoY despite revenue growth, signaling significant per-share value destruction.

What is CENX's revenue and growth?

CENTURY ALUMINUM CO reported revenue of $2.5B.

Does CENX pay dividends?

CENTURY ALUMINUM CO does not currently pay dividends.

Where can I find CENX SEC filings?

Official SEC filings for CENTURY ALUMINUM CO (CIK: 0000949157) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CENX's EPS?

CENTURY ALUMINUM CO has a diluted EPS of $0.42.

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.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 22, 2026 | Data as of: 2025-12-31 | Powered by Claude AI