Griffon (NYSE:GFF) Issues Quarterly Earnings Results

Griffon (NYSE:GFF) issued its quarterly earnings results on Wednesday. The conglomerate reported $1.51 EPS for the quarter, topping the consensus estimate of $1.34 by $0.17, FiscalAI reports. Griffon had a net margin of 0.31% and a return on equity of 298.42%. The firm had revenue of $481.37 million for the quarter, compared to analysts’ expectations of $457.70 million. The company’s revenue for the quarter was down 21.5% on a year-over-year basis. During the same period in the previous year, the firm posted $1.50 EPS.

Here are the key takeaways from Griffon’s conference call:

• Third-quarter revenue rose 7% organically to $481 million, while adjusted EBITDA increased 2% to $125 million; adjusted EPS was $1.51 versus $1.39 a year ago.
• Griffon maintained fiscal 2026 guidance of $1.8 billion in revenue and $458 million in adjusted EBITDA, with full-year free cash flow expected to exceed net income.
• The Australasia joint venture closed with $181 million in cash, a $49 million note receivable and a 49% equity stake; proceeds helped repay the remaining $285 million term loan, reducing pro forma net leverage to approximately 2.0 times.
• Residential door volume declined slightly amid soft U.S. housing conditions, although commercial volume was flat and fan volume more than offset the residential weakness; management expects seasonal improvement in the fourth quarter.
• Management expects the recent price increase to offset higher raw-material, labor, energy and logistics costs, supporting EBITDA margins of at least 25%, while longer-term housing recovery and commercial applications such as data centers and pharmaceutical facilities could provide operating leverage.

Griffon Price Performance

Shares of GFF stock traded up $9.10 on Wednesday, reaching $102.68. The company had a trading volume of 785,466 shares, compared to its average volume of 295,306. The business’s 50-day moving average is $91.19 and its 200 day moving average is $85.78. Griffon has a one year low of $65.01 and a one year high of $104.69. The company has a quick ratio of 2.43, a current ratio of 2.86 and a debt-to-equity ratio of 14.77. The stock has a market capitalization of $4.71 billion, a PE ratio of 789.88 and a beta of 1.44.

Griffon Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 16th. Investors of record on Monday, August 31st will be paid a $0.22 dividend. The ex-dividend date of this dividend is Monday, August 31st. This represents a $0.88 annualized dividend and a yield of 0.9%. Griffon’s dividend payout ratio (DPR) is 676.92%.

Analysts Set New Price Targets

Several equities research analysts have issued reports on GFF shares. Robert W. Baird set a $115.00 price target on Griffon in a report on Friday, May 8th. Zacks Research upgraded shares of Griffon from a “strong sell” rating to a “hold” rating in a report on Friday, May 8th. Weiss Ratings lowered shares of Griffon from a “hold (c)” rating to a “hold (c-)” rating in a research report on Monday, May 11th. Finally, Wall Street Zen cut shares of Griffon from a “buy” rating to a “hold” rating in a research note on Saturday, May 16th. One research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $115.00.

Key Stories Impacting Griffon

Here are the key news stories impacting Griffon this week:

• Positive Sentiment: Griffon reported fiscal Q3 adjusted earnings of $1.51 per share, above the $1.33-$1.34 analyst consensus, while revenue of $481.4 million also exceeded expectations. Revenue increased 7% year over year, supported by favorable pricing and product mix and modest volume growth. Griffon Q3 Earnings and Revenues Beat Estimates
• Positive Sentiment: Management reported $124.8 million of adjusted EBITDA, reduced debt by approximately $137 million during the quarter and ended June 30 with net debt leverage of 2.2 times EBITDA. Griffon also repurchased 626,000 shares for $53.2 million, supporting per-share value. Griffon Corporation Announces Third Quarter Results
• Positive Sentiment: Griffon declared a quarterly dividend of $0.22 per share, payable September 16 to shareholders of record August 31. The dividend represents an annualized payout of approximately $0.88 per share and a yield of about 0.9%, reinforcing the company’s shareholder-return program.
• Neutral Sentiment: The company expects fiscal 2026 revenue of approximately $1.8 billion and adjusted EBITDA of $458 million, generally consistent with market expectations. This limits the positive impact from guidance but supports the view that operating performance remains on plan.
• Neutral Sentiment: Griffon recently completed the sale of its AMES Australasia business, reshaping its capital structure and potentially providing additional financial flexibility. Griffon Reshapes Capital Structure After AMES Australasia Sale
• Negative Sentiment: Reported net margin remained very low at approximately 0.31%, and company insiders have largely been sellers over the past six months. That selling activity could temper investor enthusiasm despite the earnings beat.

Insider Buying and Selling

In other Griffon news, COO Robert F. Mehmel sold 7,873 shares of the company’s stock in a transaction dated Thursday, June 25th. The stock was sold at an average price of $96.02, for a total value of $755,965.46. Following the completion of the transaction, the chief operating officer owned 790,352 shares of the company’s stock, valued at $75,889,599.04. This represents a 0.99% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Ronald J. Kramer sold 100,000 shares of the company’s stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $94.92, for a total value of $9,492,000.00. Following the completion of the transaction, the chief executive officer directly owned 1,784,297 shares of the company’s stock, valued at $169,365,471.24. This represents a 5.31% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 129,389 shares of company stock valued at $12,309,525. 10.20% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the company. State Street Corp boosted its stake in shares of Griffon by 0.7% in the 4th quarter. State Street Corp now owns 1,535,473 shares of the conglomerate’s stock valued at $113,088,000 after purchasing an additional 11,169 shares during the last quarter. Fuller & Thaler Asset Management Inc. increased its holdings in Griffon by 41.4% in the fourth quarter. Fuller & Thaler Asset Management Inc. now owns 1,002,513 shares of the conglomerate’s stock worth $73,835,000 after purchasing an additional 293,278 shares in the last quarter. Raymond James Financial Inc. grew its position in shares of Griffon by 7.7% during the 2nd quarter. Raymond James Financial Inc. now owns 719,046 shares of the conglomerate’s stock worth $52,037,000 after buying an additional 51,354 shares during the period. Charles Schwab Investment Management Inc. boosted its stake in Griffon by 1.2% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 548,562 shares of the conglomerate’s stock worth $40,402,000 after acquiring an additional 6,525 shares in the last quarter. Finally, Renaissance Technologies LLC raised its holdings in shares of Griffon by 1.6% during the fourth quarter. Renaissance Technologies LLC now owns 460,251 shares of the conglomerate’s stock valued at $33,897,000 after purchasing an additional 7,300 shares during the period. Institutional investors own 73.22% of the company’s stock.

Griffon Company Profile

Griffon Corporation (NYSE:GFF) is a diversified management and holding company whose subsidiaries design, manufacture and market products for residential, commercial and defense applications. Operating through three primary platforms—Home & Building Products, Defense Electronics and Specialty Industrial—Griffon’s portfolio spans consumer and industrial brands with a focus on long-lived products and recurring aftermarket opportunities.

In the Home & Building Products segment, Griffon’s Clopay Building Products division is a leading North American manufacturer of residential and commercial garage doors, specializing in steel, fiberglass and composite designs as well as decorative carriage-house styles.