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Tecnoglass Inc (TGLS)
NYSE:TGLS
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Tecnoglass (TGLS) AI Stock Analysis

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TGLS

Tecnoglass

(NYSE:TGLS)

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Outperform 77 (OpenAI - 4o)
Rating:77Outperform
Price Target:
$82.00
▲(20.87% Upside)
Tecnoglass's strong financial performance and positive earnings call sentiment are the primary drivers of its solid stock score. While technical indicators suggest a bearish trend, the company's robust growth and strategic initiatives provide a positive outlook. Valuation is fair, supporting the overall score.
Positive Factors
Revenue Growth
Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability and market position.
Strategic Acquisitions
Strategic acquisitions enhance competitive advantage by expanding capabilities and market reach, supporting sustained growth and diversification.
Margin Improvement
Improved margins reflect efficient operations and cost management, contributing to profitability and financial resilience over the long term.
Negative Factors
Rising Debt Levels
Increasing debt levels may strain financial flexibility and cash flow, potentially impacting long-term investment and growth opportunities.
Decline in Free Cash Flow Growth
A decline in free cash flow growth can limit the company's ability to invest in new projects and manage debt, affecting future expansion and stability.
Impact of Tariffs
Tariffs increase operational costs, potentially squeezing margins and affecting competitiveness, requiring strategic adjustments to maintain profitability.

Tecnoglass (TGLS) vs. SPDR S&P 500 ETF (SPY)

Tecnoglass Business Overview & Revenue Model

Company DescriptionTecnoglass Inc., through its subsidiaries, designs, produces, markets, and installs architectural systems for the commercial and residential construction industries in Colombia, the United States, Panama, and internationally. The company offers low emissivity, laminated/thermo-laminated, thermo-acoustic, tempered, silk-screened, curved, and digital print glass products. It also provides aluminum products, including bars, plates, profiles, rods, and tubes that are used in the manufacture of architectural glass settings, such as windows, doors, spatial separators, and related products. In addition, the company offers curtain wall/floating facades, windows and doors, interior dividers and commercial display windows, hurricane-proof windows, and stick facade systems; and other products comprising awnings, structures, automatic doors, and other components of architectural systems. It markets and sells its products primarily under the Tecnoglass, ESWindows, and Alutions brands through internal and independent sales representatives, as wells as directly to distributors. The company was founded in 1984 and is headquartered in Barranquilla, Colombia. Tecnoglass Inc. is a subsidiary of Energy Holding Corporation.
How the Company Makes MoneyTecnoglass generates revenue through the sale of its glass and window products to various sectors, including commercial, residential, and industrial construction. The company operates a vertically integrated business model, which allows it to control the entire manufacturing process, from raw material procurement to final product delivery. Key revenue streams include the direct sale of glass products, framing systems, and installation services. Additionally, Tecnoglass benefits from strategic partnerships with construction firms, architects, and builders, which help in securing large contracts and projects. The company also focuses on expanding its market presence both domestically in Colombia and internationally, particularly in the United States, which significantly contributes to its earnings.

Tecnoglass Earnings Call Summary

Earnings Call Date:Aug 07, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 10, 2025
Earnings Call Sentiment Positive
The earnings call reflects a strong positive sentiment with record-breaking revenue and significant growth in both single-family residential and multifamily commercial sectors. The company's strategic acquisitions and expanded geographic reach contribute to its positive outlook. Despite challenges related to tariffs and economic uncertainty, Tecnoglass has successfully mitigated these impacts through pricing and supply chain adjustments.
Q2-2025 Updates
Positive Updates
Record-Breaking Revenue and Growth
Tecnoglass reported record total revenues of $255.5 million for Q2 2025, reflecting a 16.3% year-over-year increase. This growth was driven by strong double-digit organic growth in both single-family residential and multifamily commercial businesses.
Strong Performance in Single-Family Residential Business
The single-family residential business achieved record revenues of $109.6 million, marking a 14.5% increase year-over-year. There was also a 29% sequential growth in customer orders compared to Q1 2025.
Multifamily and Commercial Business Growth
The multifamily and commercial businesses delivered a 17.8% year-over-year revenue growth to $145.9 million, driven by demand for luxury mid- to high-rise projects in Florida.
Record Backlog and Strategic Acquisitions
The company ended the quarter with a record backlog of $1.2 billion, representing 33 consecutive quarters of year-over-year backlog expansion. The acquisition of Continental Glass Systems further strengthens Tecnoglass' capabilities and diversifies its production footprint.
Improved Margin and Efficiency
Gross margin improved by 400 basis points to 44.7%, driven by increased production, favorable product mix, and cost control actions. Adjusted EBITDA increased to $79.8 million, with a margin of 31.2%.
Expanded Geographic Reach and Product Line
Tecnoglass expanded its dealer network by 15% to 20% and commenced actions to open a new showroom in California to promote the legacy aluminum product line, with encouraging order momentum.
Negative Updates
Impact of Tariffs and Elevated Costs
SG&A expenses increased due to tariffs, including approximately $5.9 million in aluminum tariffs, and nonrecurring expenses associated with the Continental acquisition. The company took pricing actions to mitigate these impacts.
Seasonal and Economic Challenges
The company mentioned ongoing macroeconomic uncertainty and higher cost environments, with July and August being slower months due to seasonal factors such as vacations.
Company Guidance
During Tecnoglass Inc.'s Second Quarter 2025 Earnings Conference Call, the company reported record total revenues of $255.5 million, marking a 16.3% increase year-over-year, driven by robust organic growth in both single-family residential and multifamily commercial sectors. The single-family residential business achieved a second-quarter record of $109.6 million, reflecting a 14.5% growth, while multifamily and commercial revenues grew 17.8% to $145.9 million. The company's backlog reached an all-time high of $1.2 billion, providing exceptional visibility into future projects. Tecnoglass reported a gross margin of 44.7%, a 400 basis point improvement from the previous year, with an adjusted EBITDA of $79.8 million, reflecting a margin of 31.2%. The company narrowed its full-year revenue guidance to a range of $980 million to $1.02 billion, with adjusted EBITDA expected between $310 million and $325 million. Despite macroeconomic uncertainties, the company remains confident in its trajectory, supported by a strong balance sheet, a substantial cash position, and strategic geographic expansion.

Tecnoglass Financial Statement Overview

Summary
Tecnoglass exhibits strong financial health with consistent revenue growth and robust profitability margins. The balance sheet is solid with low leverage and high return on equity, although the increase in debt should be monitored. Cash flow generation is generally healthy, but the recent decline in free cash flow growth needs attention.
Income Statement
85
Very Positive
Tecnoglass has demonstrated strong revenue growth with a 3.9% increase in TTM, following a consistent upward trend over the past few years. The company maintains healthy margins, with a gross profit margin of 44.7% and a net profit margin of 19.1% in TTM. While EBIT and EBITDA margins have slightly decreased compared to previous years, they remain robust at 21.1% and 22.9% respectively, indicating efficient cost management and profitability.
Balance Sheet
78
Positive
The balance sheet reflects a solid financial position with a low debt-to-equity ratio of 0.15 in TTM, showcasing prudent leverage management. Return on equity is strong at 27.4%, indicating effective utilization of shareholder funds. The equity ratio stands at 62.3%, highlighting a stable capital structure. However, the slight increase in total debt over the years warrants monitoring.
Cash Flow
70
Positive
Tecnoglass's cash flow performance is mixed, with a decline in free cash flow growth by 13.4% in TTM. The operating cash flow to net income ratio is moderate at 0.54, suggesting adequate cash generation relative to earnings. The free cash flow to net income ratio is healthy at 0.84, indicating good cash conversion, although the recent decline in free cash flow growth is a concern.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue955.73M890.18M833.26M716.57M496.79M374.92M
Gross Profit427.60M379.97M390.93M349.50M202.58M139.25M
EBITDA292.19M259.06M289.44M253.32M124.11M77.68M
Net Income182.82M161.31M182.88M155.74M68.15M23.88M
Balance Sheet
Total Assets1.18B1.02B962.72M734.31M591.56M532.02M
Cash, Cash Equivalents and Short-Term Investments140.85M137.53M132.41M105.72M86.99M70.06M
Total Debt109.23M109.31M170.01M169.48M199.06M224.49M
Total Liabilities445.21M385.46M414.70M383.98M346.87M319.06M
Stockholders Equity736.00M631.18M548.02M348.82M243.86M212.38M
Cash Flow
Free Cash Flow115.16M90.97M60.87M70.59M65.74M53.11M
Operating Cash Flow173.63M170.53M138.83M141.92M117.25M71.43M
Investing Cash Flow-101.86M-77.29M-76.02M-72.58M-50.76M-18.06M
Financing Cash Flow-61.69M-84.55M-42.77M-44.80M-43.79M-33.54M

Tecnoglass Technical Analysis

Technical Analysis Sentiment
Negative
Last Price67.84
Price Trends
50DMA
73.56
Negative
100DMA
77.13
Negative
200DMA
75.65
Negative
Market Momentum
MACD
-1.69
Positive
RSI
40.80
Neutral
STOCH
17.47
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TGLS, the sentiment is Negative. The current price of 67.84 is below the 20-day moving average (MA) of 70.37, below the 50-day MA of 73.56, and below the 200-day MA of 75.65, indicating a bearish trend. The MACD of -1.69 indicates Positive momentum. The RSI at 40.80 is Neutral, neither overbought nor oversold. The STOCH value of 17.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TGLS.

Tecnoglass Risk Analysis

Tecnoglass disclosed 56 risk factors in its most recent earnings report. Tecnoglass reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Tecnoglass Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
624.80M10.2216.39%7.21%3.95%27.28%
77
Outperform
$3.15B17.2527.89%0.83%16.89%24.91%
76
Outperform
2.71B22.14%0.54%
76
Outperform
7.54B16.7930.36%0.43%0.88%-4.17%
71
Outperform
190.44M15.8324.46%32.97%160.17%
58
Neutral
1.00B13.606.97%-33.46%-32.34%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TGLS
Tecnoglass
67.84
-0.42
-0.62%
CPAC
Cementos Pacasmayo SAA
6.95
1.64
30.89%
EXP
Eagle Materials
232.26
-54.12
-18.90%
LOMA
Loma Negra Compania Industrial Argentina Sociedad Anonima
7.62
-0.44
-5.46%
SMID
Smith-Midland
35.90
2.51
7.52%
TTAM
Titan America SA
14.68
-1.64
-10.05%

Tecnoglass Corporate Events

Business Operations and StrategyPrivate Placements and Financing
Tecnoglass Secures New $500M Credit Agreement
Positive
Sep 5, 2025

On September 4, 2025, Tecnoglass Inc. entered into a new Credit Agreement with Wells Fargo Bank and other lenders, establishing a $500 million five-year secured revolving credit facility. This facility replaces the previous agreement with PNC Bank and offers reduced borrowing costs and extended maturity to 2030. The new facility, supported by a premier U.S. banking syndicate, enhances Tecnoglass’s financial flexibility, enabling it to capitalize on growth opportunities, particularly in the U.S. market, while maintaining a strong balance sheet.

The most recent analyst rating on (TGLS) stock is a Buy with a $77.00 price target. To see the full list of analyst forecasts on Tecnoglass stock, see the TGLS Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 13, 2025