AXTA NYSE Russell 1000 Earnings call
Axalta (AXTA) · Q2 2026 results and valuation
Share price: $37.07 · 2026-11-11
Results Q2 2026 vs Q1 2026 · previous quarter · published 28 Jul 2026 and 30 Apr 2026
Net income down 1.1% on the previous quarter. Management sounded upbeat, though noticeably less so answering analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
−1.1%
Net income vs Q1 2026
Outlook given
Net income 89.0M vs 90.0M
Revenue +7.3%
2 · How management spoke
Upbeat
More upbeat than 79% of company calls
Answers to analysts: restrained, but clearly less so than the script.
Last call it was different: script and answers matched.
3 · What stood out
Guidance
Volumes expected to be slightly up in the second half.
Valuation
Is Axalta undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At 1.6% growth a year (3-year revenue growth), the model's fair value is $14.92 a share — the stock trades 149% above it. Today's price assumes 9.8% growth a year.
Current price
$37.07
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+9.8% for 10 yrs
Fair value / share
$14.92
Buy below
$11.19
Price vs fair value
Overvalued 149%
Price vs buy-below price
Overvalued >200%
Read between the lines
-
Guidance
Third-quarter net sales expected to rise a low single-digit percentage year over year.
Source quote
“Specifically, for the third quarter, we expect net sales to increase by low single-digit percent compared to the prior year period, with adjusted EBITDA in the range of $295...”
-
Figure
Net sales increased 3% year-over-year to just under $1.35 billion, marking the highest quarterly sales performance over the past several quarters.
Source quote
“Net sales were up 3% year-over-year, coming in at just under $1.35 billion, the highest quarterly sales performance over the past...”
-
Fading
Per-share profit beat the outlook by 12% thanks to lower interest expense, yet adjusted EBITDA and margin both declined year over year.
Source quote
“Adjusted diluted earnings per share was $0.56, exceeding our outlook by 12%, supported by lower interest expense and stronger overall... Adjusted EBITDA in the quarter was $259 million, resulting in an adjusted EBITDA margin of 20.6%, while both metrics were lower year-on-year, we did perform above expectations as reductions in operating expenses and variable costs helped to offset lower volumes in Performance Coatings. Our momentum in cash generation remains strong.”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Management sounded noticeably less positive answering analysts than in its prepared script — a bigger drop than in 93% of calls. Scripts are polished in advance; a drop under questioning often marks the topics analysts pressed on, so the answers deserve a closer read than the script.
Sentences that drove the tone
“Because of your efforts, we're well positioned to capitalize on growth opportunities, maintain industry-leading profitability and maximize the value of our proposed combination with AkzoNobel for our shareholders.”
“Well-defined a plan targets that put our customers first, purpose-driven innovation and profitable growth, fueled by outstanding operational performance and a global team that is second to none put us...”
“In Industrial, we're far outperforming our expectations for profitability with 13 quarters of adjusted EBITDA margin expansion, despite the choppy macro environment in North America.”
Full figures
USD · ROIC.AI fundamentals (NYSE:AXTA, period end 2026-06-30)
| Metric | Q2 2026period end 2026-06-30 | Q1 2026period end 2026-03-31 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 1.35B | 1.25B | +7.3% | 1.30B | +3.1% |
| Gross profit | 465.0M | 416.0M | +11.8% | 457.0M | +1.8% |
| Operating income | 167.0M | 146.0M | +14.4% | 193.0M | −13.5% |
| Net income | 89.0M | 90.0M | −1.1% | 110.0M | −19.1% |
| EPS | 0.42 | 0.42 | −1.0% | 0.50 | −16.8% |
| P/E today 19.1 | — | 16.2 | — | 14.6 | — |
Topics
Most discussed now
- Across the portfolio, the disciplined execution and operational excellence, Axalta has worked on perfecting over the last several years…
- The Axalta team has driven growth control the controllables and significantly improved the balance sheet.
- Axalta's performance exceeded expectations due to favorable business mix, supported by increased sales in Performance Coatings and…
- Axalta's momentum and cash generation remained consistent again in the second quarter.
- If I look at peak inflation, though, peak inflation really hits us more in Q3 and a bit in Q4.
Faded since Q1 2026
- Fading This period marked the 12th consecutive quarter of year-over-year profitability improvement in Axalta's industrial business, while Mobility…
- Fading These results reflect disciplined execution and a focus on the levers within Axalta's control.
- Fading Axalta delivered strong results and exceeded expectations across its financial metrics.
- Fading This was partially offset by favorable foreign currency translation largely due to a stronger euro.
Latest announcements
Official filings, newest first.
- Shareholder vote results; Other events · SEC 8-K
- Other events · SEC 8-K
- Results of operations · SEC 8-K
- Material agreement; Other events · SEC 8-K
- Shareholder vote results · SEC 8-K
- Material agreement · SEC 8-K
- Results of operations · SEC 8-K
- Results of operations · SEC 8-K