AdvanSix (ASIX) AI Stock Analysis

• Market Cap: $664.95M
• Dividend Yield: 2.58%
• Average Volume (3M): 151.55K
• Price to Earnings (P/E): 7.9
• Beta (1Y): 0.97
• Revenue Growth: 6.03%
• EPS Growth: 5079.05%
• Country: US
• Employees: 1,450
• Sector: Basic Materials
• Sector Strength: 69
• Industry: Chemicals
• EPS (TTM): 0.93
• Shares Outstanding: 26,812,687
• 10 Day Avg. Volume: 186,848
• 30 Day Avg. Volume: 151,552
• PEG Ratio: 0.26
• Price to Book (P/B): 1.44
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.77
• Enterprise Value/Market Cap: 1.90
• Enterprise Value/Revenue: 0.21
• Enterprise Value/Gross Profit: 6.21
• Enterprise Value/Ebitda: 2.52
• 1Y Price Target: $32.00
• Price Target Upside: 27.49% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: $28.00 ▲(11.55%Upside)

AdvanSix's overall score is driven by strong financial performance and a positive earnings outlook. The stock benefits from solid technical indicators and a compelling valuation, suggesting potential for price appreciation. The company's strategic initiatives and successful settlements further enhance its financial resilience, despite challenges in certain segments.

AdvanSix Business Overview & Revenue Model

Company Description

AdvanSix Inc. manufactures and sells polymer resins in the United States and internationally. It offers Nylon 6, a polymer resin, which is a synthetic material used to produce fibers, filaments, engineered plastics and films. The company also provides caprolactam to manufacture polymer resins; ammonium sulfate fertilizers to distributors, farm cooperatives, and retailers; and acetone that are used in the production of adhesives, paints, coatings, solvents, herbicides, and engineered plastic resins, as well as other intermediate chemicals, including phenol, alpha-methyl styrene, cyclohexanone, methyl ethyl ketoxime, acetaldehyde oxime, 2-pentanone oxime, cyclohexanol, sulfuric acid, ammonia, and carbon dioxide. It offers its products under the Aegis, Capra, Sulf-N, Nadone, Naxol, and EZ-Blox brands. The company sells its products directly, as well as through distributors. AdvanSix Inc. was incorporated in 2016 and is headquartered in Parsippany, New Jersey.

How the Company Makes Money

AdvanSix generates revenue primarily through the production and sale of its three main product lines: nylon 6 materials, chemical intermediates, and ammonium sulfate fertilizers. The company's nylon resins and caprolactam are sold to customers in the automotive, electronics, and consumer goods industries, where they are used in the manufacture of high-performance products. AdvanSix's chemical intermediates are utilized in various industrial applications, including solvents and coatings. Additionally, the company derives income from its ammonium sulfate fertilizers, which are sold to agricultural customers to enhance crop yield. The company's financial performance is also influenced by its operational efficiency, strategic partnerships, and the global demand for its products, particularly in regions with robust industrial and agricultural sectors.

AdvanSix Financial Statement Overview

Summary

AdvanSix shows improving profitability with stable balance sheet indicators. The income statement reflects enhanced profit margins despite fluctuating revenues, while the balance sheet has a robust equity position and manageable debt levels. Cash flows are positive, indicating strong operational cash generation. However, growth challenges remain due to inconsistent revenue.

Income Statement

AdvanSix shows a stable gross profit margin of 33.9% for TTM, with a noticeable improvement from the previous annual report. The net profit margin also rose to 5.4% in TTM compared to 2.9% in the last annual report, indicating enhanced profitability. However, revenue growth has been inconsistent, with a decline from 2022 to 2023 but a slight increase in TTM. EBIT and EBITDA margins are improving, suggesting better operational efficiency. Overall, while there are growth challenges, profitability is on an upward trend.

Balance Sheet

AdvanSix's balance sheet demonstrates a strong equity base with an equity ratio of 48.9% in TTM, improving from previous periods. The debt-to-equity ratio is relatively stable at 0.45, indicating manageable leverage. Return on equity (ROE) for TTM is 10.7%, which shows effective use of equity to generate profits. Despite minor fluctuations in total assets and liabilities, the company's financial position remains stable.

Cash Flow

The company's cash flow statement reveals positive developments, with TTM operating cash flow significantly higher than previous periods, leading to improved free cash flow. Free cash flow growth rate is strong, mainly due to a substantial increase from the previous year. The operating cash flow to net income ratio is 2.16, showing effective cash generation relative to profits. While investment in capital expenditures remains high, the overall cash flow position is stable.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.56B	1.52B	1.53B	1.95B	1.68B	1.16B
Gross Profit	203.44M	152.94M	165.09M	314.48M	274.12M	133.75M
EBITDA	134.68M	133.06M	149.72M	297.93M	255.48M	123.66M
Net Income	84.89M	44.15M	54.62M	171.89M	139.79M	46.08M
Balance Sheet
Total Assets	1.63B	1.59B	1.50B	1.50B	1.31B	1.26B
Cash, Cash Equivalents and Short-Term Investments	8.34M	19.56M	29.77M	30.98M	15.10M	10.61M
Total Debt	360.53M	348.89M	266.01M	230.04M	271.71M	389.88M
Total Liabilities	831.61M	820.27M	756.78M	757.15M	710.81M	819.28M
Stockholders Equity	794.37M	774.65M	739.24M	738.18M	601.19M	444.12M
Cash Flow
Free Cash Flow	50.66M	1.69M	10.17M	184.15M	162.04M	28.93M
Operating Cash Flow	183.06M	135.41M	117.55M	273.60M	218.85M	111.85M
Investing Cash Flow	-142.89M	-142.90M	-110.90M	-189.27M	-67.56M	-84.10M
Financing Cash Flow	-52.46M	-2.71M	-7.87M	-68.44M	-146.79M	-24.19M

AdvanSix Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 25.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ASIX, the sentiment is Positive. The current price of 25.1 is above the 20-day moving average (MA) of 24.08, above the 50-day MA of 23.32, and below the 200-day MA of 26.75, indicating a neutral trend. The MACD of 0.26 indicates Negative momentum. The RSI at 62.81 is Neutral, neither overbought nor oversold. The STOCH value of 74.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ASIX.

AdvanSix Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VHI	73 Outperform	$489.22M	4.21	11.76%	1.85%	7.82%	19465.71%
ASIX	72 Outperform	$664.95M	7.95	11.26%	2.58%	6.03%	5079.05%
LXU	55 Neutral	$564.24M	―	-5.28%	―	-4.23%	-259.01%
RYAM	54 Neutral	$267.10M	―	-10.12%	―	2.20%	34.71%
TROX	53 Neutral	$855.70M	―	-8.44%	9.26%	4.15%	57.25%
ORGN	50 Neutral	$77.43M	―	-26.63%	―	-11.91%	-26768.00%
Sector *	44 Neutral	C$967.22M	-6.71	-13.35%	2.72%	17.20%	-32.62%

AdvanSix Corporate Events

AdvanSix Stockholders Approve Key Proposals at Annual Meeting

At the Annual Meeting of Stockholders held on June 18, 2025, AdvanSix Inc. received approval from its stockholders for several key proposals, including the election of directors, ratification of independent accountants, and approval of executive compensation. Notably, the stockholders approved an amendment to the 2016 Stock Incentive Plan, increasing the share reserve by 1,400,000 shares and extending its term to 2035, as well as an amendment to the Certificate of Incorporation to limit officer liability. These decisions are expected to impact the company’s governance and operational strategies moving forward.

The most recent analyst rating on (ASIX) stock is a Buy with a $32.00 price target. To see the full list of analyst forecasts on AdvanSix stock, see the ASIX Stock Forecast page.

AdvanSix Announces Upcoming Board Member Resignations

On April 16, 2025, AdvanSix Inc. announced the upcoming resignations of Board members Farha Aslam and Darrell K. Hughes, effective at the Annual Meeting on June 18, 2025, due to other commitments. Their departures are not due to disagreements with the company. The Board plans to nominate Daniel F. Sansone for re-election, waiving the director age limit, and will reduce the Board size from nine to seven members.