Energizer Holdings (ENR) AI Stock Analysis

• Market Cap: $1.72B
• Dividend Yield: 5.03%
• Average Volume (3M): 641.67K
• Price to Earnings (P/E): 35.1
• Beta (1Y): 0.31
• Revenue Growth: 0.39%
• EPS Growth: -37.01%
• Country: US
• Employees: 5,600
• Sector: Industrials
• Sector Strength: 77
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.67
• Shares Outstanding: 72,191,930
• 10 Day Avg. Volume: 673,375
• 30 Day Avg. Volume: 641,674
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 3.24
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 5.06
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $29.00
• Price Target Upside: 32.30% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

Energizer Holdings' overall stock score reflects a mixed financial outlook with strong operational efficiency but high leverage and low equity. Technical indicators show bearish trends, while the valuation suggests potential overvaluation. Despite these challenges, the company has shown resilience through strategic investments, organic growth, and improved margins in certain segments. The earnings call provided some positive insights, but ongoing risks in consumer sentiment and tariff exposure weigh on the outlook.

Positive Factors

Distribution Expansion

Battery & Lights volume increased +1.9% driven by new and expanded distribution.

E-commerce Growth

Accelerating e-commerce growth in the US and internationally by enhancing its digital capabilities and external partnerships is expected to boost ENR's future performance.

Sales and Product Launches

FY2025 guidance was increased on organic sales, driven by distribution gains and strong performance from new product launches.

Negative Factors

Debt and Valuation Risk

Energizer Holdings faces risk exacerbated by high debt leverage, although it seems priced into valuation.

Guidance and Market Uncertainty

Q3 guided well below expectations and FY2025 guidance lowered given the uncertain macro environment and consumer.

Macro Environment Impact

The company expects Q3 organic sales growth to be flat to down 2% driven by tariff uncertainty and economic volatility impacting consumers.

Energizer Holdings Business Overview & Revenue Model

Company Description

Energizer Holdings, Inc., together with its subsidiaries, manufactures, markets, and distributes household batteries, specialty batteries, and lighting products worldwide. It offers lithium, alkaline, carbon zinc, nickel metal hydride, zinc air, and silver oxide batteries under the Energizer and Eveready brands, as well as primary, rechargeable, specialty, and hearing aid batteries. The company also provides headlights, lanterns, and children's and area lights, as well as flash lights under the Energizer, Eveready, Rayovac, Hard Case, Dolphin, Varta, and WeatherReady brands. In addition, it licenses the Energizer and Eveready brands to companies developing consumer solutions in gaming, automotive batteries, portable power for critical devices, LED light bulbs, generators, power tools, household light bulbs, and other lighting products. Further, the company designs and markets automotive fragrance and appearance products, including protectants, wipes, tire and wheel care products, glass cleaners, leather care products, air fresheners, and washes to clean, shine, refresh, and protect interior and exterior automobile surfaces under the brand names of Armor All, Nu Finish, Refresh Your Car!, LEXOL, Eagle One, California Scents, Driven, and Bahama & Co; STP branded fuel and oil additives, functional fluids, and other performance chemical products; and do-it-yourself automotive air conditioning recharge products under the A/C PRO brand name, as well as other refrigerant and recharge kits, sealants, and accessories. It sells its products through direct sales force, distributors, and wholesalers; and through various retail and business-to-business channels, including mass merchandisers, club, electronics, food, home improvement, dollar store, auto, drug, hardware, e-commerce, convenience, sporting goods, hobby/craft, office, industrial, medical, and catalog. Energizer Holdings, Inc. was incorporated in 2015 and is headquartered in Saint Louis, Missouri.

How the Company Makes Money

Energizer Holdings generates revenue through the sale of its diverse range of battery products, lighting solutions, and auto care products. The company's primary revenue stream is its battery segment, which includes popular products under the Energizer and Eveready brands. This segment benefits from strong brand recognition and widespread distribution networks, allowing it to capture a significant share of the global battery market. In addition to batteries, Energizer's auto care segment contributes to its earnings through the sale of automotive appearance and performance products. The company often engages in strategic partnerships and distribution agreements to expand its market reach and enhance product availability. Energizer's ability to innovate and adapt to consumer preferences, along with efficient supply chain management, also plays a crucial role in sustaining its revenue growth.

Energizer Holdings Financial Statement Overview

Summary

Energizer Holdings presents a mixed financial outlook with solid operational performance and efficiency. Despite stable margins and strong cash flow conversion, the company faces challenges with high leverage and low equity, which may impact financial flexibility and risk profile. The company needs to focus on improving net profit margins and reducing debt levels to enhance long-term financial health.

Income Statement

The income statement shows moderate revenue growth with a slight increase in total revenue from the previous year. Gross profit margin is stable at approximately 38%, indicating consistent cost management. However, net profit margin remains low at 2.0% TTM, reflecting challenges in controlling non-operational expenses. The EBIT margin is strong at 17.4% TTM, demonstrating efficiency in core operations, but there is room for improvement in EBITDA margin, which is relatively low at 12.6% TTM.

Balance Sheet

The balance sheet reflects high leverage with a debt-to-equity ratio of 22.95, posing a potential risk in financial stability. Stockholders' equity is relatively low compared to total assets, resulting in an equity ratio of only 3.3%. Despite the high debt, the return on equity is 41.6% TTM, indicating that the company is generating significant returns on its equity base.

Cash Flow

Cash flow analysis reveals strong operating cash flow relative to net income, with a ratio of 5.61 TTM, highlighting effective cash generation from operations. Free cash flow growth has been negative, but the free cash flow to net income ratio is favorable at 3.79 TTM, suggesting that the company is converting its earnings into cash efficiently.

Breakdown
Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
2.89B	2.96B	3.05B	3.02B	2.74B
	Gross Profit
1.10B	1.12B	1.12B	1.16B	1.08B
	EBIT
546.40M	516.60M	394.80M	421.50M	362.60M
	EBITDA
330.00M	493.10M	-28.00M	427.80M	370.30M
	Net Income Common Stockholders
38.10M	140.50M	-231.50M	160.90M	46.80M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
216.90M	223.30M	205.30M	238.90M	459.80M
	Total Assets
4.34B	4.51B	4.57B	5.01B	5.73B
	Total Debt
3.31B	3.45B	3.62B	3.57B	4.28B
	Net Debt
3.09B	3.23B	3.42B	3.33B	3.82B
	Total Liabilities
4.21B	4.30B	4.44B	4.65B	5.42B
	Stockholders Equity
135.80M	210.70M	130.60M	355.70M	309.10M
Cash Flow		Free Cash Flow
331.70M	338.40M	-91.50M	114.80M	311.10M
	Operating Cash Flow
429.60M	395.20M	1.00M	179.70M	376.40M
	Investing Cash Flow
-114.00M	-56.10M	-90.90M	-126.40M	216.90M
	Financing Cash Flow
-300.30M	-309.40M	79.10M	-1.07B	393.10M

Energizer Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 21.92
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ENR, the sentiment is Negative. The current price of 21.92 is below the 20-day moving average (MA) of 26.36, below the 50-day MA of 28.41, and below the 200-day MA of 31.34, indicating a bearish trend. The MACD of -1.13 indicates Positive momentum. The RSI at 17.10 is Positive, neither overbought nor oversold. The STOCH value of 7.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ENR.

Energizer Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POWL	77 Outperform	$2.29B	14.58	37.08%	0.55%	27.43%	67.93%
AEIS	73 Outperform	$4.04B	56.86	6.36%	0.37%	0.06%	-28.32%
ENS	67 Neutral	$3.58B	11.23	18.36%	1.04%	-2.94%	22.32%
Sector *	64 Neutral	$4.25B	11.69	5.23%	249.83%	4.04%	-9.46%
ENR	59 Neutral	$1.72B	35.13	33.46%	5.03%	0.39%	-37.01%
ENVX	44 Neutral	$1.17B	―	-85.86%	―	1429.35%	-36.13%
ADSE	42 Neutral	$728.77M	―	-279.62%	―	173.83%	-76.24%

Energizer Holdings Corporate Events

Energizer Holdings Refinances Debt for Financial Flexibility

On March 19, 2025, Energizer Holdings announced the successful refinancing and extension of its $760 million Term Loan and $500 million Revolving Credit Facility. This move extends the maturity dates of these facilities, strengthens the company’s debt capital structure, and provides enhanced financial flexibility. The new Term Loan matures in 2032, while the Revolving Credit Facility matures in 2030, both bearing interest rates tied to the Secured Overnight Financing Rate (SOFR). This refinancing is seen as a testament to Energizer’s strong operating performance and commitment to debt reduction, offering benefits to stakeholders by maintaining a cost-efficient and flexible debt structure.