Last Updated: 14 Nov 2024
Executive Summary
Jeld-Wen Holding Inc. (JELD) is a leading manufacturer of doors and windows with a global presence. Despite recent challenges, the company's fundamentals remain strong. The stock price currently trades at $10.25, below its analyst target price of $12.7. While the short-term outlook is uncertain, the long-term prospects for JELD appear positive.
Company Overview
Jeld-Wen designs, manufactures, and sells doors and windows primarily in North America, Europe, and Australasia. The company's products are used in residential, commercial, and industrial applications. JELD is headquartered in Charlotte, North Carolina, and has a market capitalization of approximately $901.2 million.
Fundamental Analysis
JELD's financial performance has been mixed in recent quarters. Revenue declined by 13.2% year-over-year in the latest quarter, while earnings per share (EPS) fell by 15.2%. The company's profit margin is currently negative, and its return on equity is below industry average. However, JELD's balance sheet is strong, with ample liquidity and low debt levels.
Technical Analysis
The technical analysis of JELD's stock price indicates a downtrend. The stock has broken below its 50-day and 200-day moving averages, and the relative strength index (RSI) is below 30. This suggests that the stock is oversold and may be due for a rebound.
Short Term Outlook
The short-term outlook for JELD is uncertain. The company faces challenges from rising input costs, supply chain disruptions, and a slowing housing market. These factors could continue to weigh on the company's financial performance in the near term.
Long Term Outlook
The long-term outlook for JELD is more positive. The company has a strong brand, a diversified product portfolio, and a global presence. As the housing market recovers and supply chain disruptions ease, JELD is well-positioned to benefit from increased demand for its products.
Analyst Recommendations
Analysts have a mixed view of JELD's stock. Eight analysts rate the stock as a "hold," one as a "buy," and one as a "sell." The average analyst target price is $12.7, which suggests a potential upside of 23.9% from the current price.
Conclusion
Jeld-Wen Holding Inc. is a well-established company with a strong brand and a diversified product portfolio. While the company faces some challenges in the short term, the long-term outlook is positive. The stock is currently trading below its analyst target price, making it a potentially attractive investment for long-term investors.
