📊 CENX Key Takeaways
Is Century Aluminum Co (CENX) a Good Investment?
Century Aluminum demonstrates solid operational leverage with revenue growth of 13.9% YoY and strong free cash flow generation of $84.8M, supporting its capital-intensive business model. However, profitability margins remain compressed at 1.7% net margin with concerning diluted EPS decline of 87.2% YoY, indicating margin pressure despite top-line growth. The company maintains adequate financial health with a healthy current ratio of 1.97x and moderate leverage, but elevated capital expenditure requirements and thin operating margins typical of the commodity aluminum sector warrant cautious positioning.
Century Aluminum shows improving scale with 13.9% revenue growth, positive free cash flow, and solid operating cash generation, while liquidity and leverage remain manageable. However, the business still operates with thin net margins, modest returns on capital, and a sharp decline in diluted EPS, which points to uneven earnings quality despite higher net income. Fundamentally, the company looks financially stable but not yet strong enough to justify a more aggressive rating.
Why Buy Century Aluminum Co Stock? CENX Key Strengths
- Revenue growth of 13.9% YoY demonstrates demand strength in core markets
- Positive free cash flow of $84.8M (3.4% FCF margin) supports debt servicing and capital investment
- Solid liquidity position with current ratio of 1.97x and adequate interest coverage of 8.1x
- Moderate leverage with debt-to-equity of 0.53x provides financial flexibility
- Strong operating cash flow of $185.0M validates cash generation capability
- Revenue growth is solid and supported by positive operating income and cash flow generation
- Balance sheet risk appears manageable with a 1.97x current ratio, 0.53x debt-to-equity, and 8.1x interest coverage
- Free cash flow is positive, indicating the business can fund capital needs without obvious near-term stress
CENX Stock Risks: Century Aluminum Co Investment Risks
- Net margin of only 1.7% reflects commodity pricing pressure and operational challenges in aluminum production
- Diluted EPS collapsed 87.2% YoY despite revenue growth, signaling significant per-share value destruction
- Gross margin of 10.1% is razor-thin, leaving minimal room for cost management or price declines
- Capital intensity with capex of $100.2M annually (4% of revenue) constrains shareholder returns
- Exposure to volatile aluminum commodity prices creates earnings unpredictability
- Net margin of 1.7% leaves limited cushion against aluminum price swings, energy costs, or operating disruptions
- Diluted EPS fell 87.2% year over year despite net income growth, suggesting weaker per-share earnings quality
- Returns remain modest with 5.2% ROE and 1.8% ROA, indicating limited efficiency in converting assets and equity into profit
Key Metrics to Watch
- Gross and operating margins trend - any further compression signals deteriorating unit economics
- Free cash flow sustainability and FCF conversion rate given high capex requirements
- Debt levels and refinancing risk given $430.9M long-term debt burden
- Aluminum pricing and realized average selling prices in quarterly filings
- Operating efficiency metrics and production costs per ton
- Operating and net margin progression
- Free cash flow after capital expenditures
Century Aluminum Co (CENX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 3.4% FCF margin may limit capital allocation flexibility.
CENX Profit Margin, ROE & Profitability Analysis
CENX vs Market Sector: How Century Aluminum Co Compares
How Century Aluminum Co compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Century Aluminum Co Stock Overvalued? CENX Valuation Analysis 2026
Based on fundamental analysis, Century Aluminum Co shows some fundamental concerns relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Century Aluminum Co Balance Sheet: CENX Debt, Cash & Liquidity
CENX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Century Aluminum Co's revenue has grown significantly by 14% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.47 indicates the company is currently unprofitable.
CENX Revenue Growth, EPS Growth & YoY Performance
CENX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $539.1M | $14.9M | $0.15 |
| Q2 2025 | $560.8M | -$2.5M | $-0.03 |
| Q1 2025 | $489.5M | $29.7M | $0.29 |
| Q2 2024 | $560.8M | -$2.5M | $-0.03 |
| Q1 2024 | $489.5M | -$38.6M | $-0.42 |
| Q3 2023 | $545.2M | -$42.0M | $0.43 |
| Q2 2023 | $575.5M | $7.5M | $0.07 |
| Q1 2023 | $552.4M | $17.7M | $0.18 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Century Aluminum Co Dividends, Buybacks & Capital Allocation
CENX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Century Aluminum Co (CIK: 0000949157)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Mar 27, 2026 | 4 | xslF345X06/wk-form4_1774647782.xml | View → |
| Mar 17, 2026 | 4 | xslF345X05/wk-form4_1773783338.xml | View → |
| Mar 13, 2026 | 4 | xslF345X05/wk-form4_1773436438.xml | View → |
| Mar 13, 2026 | 4 | xslF345X05/wk-form4_1773436098.xml | View → |
| Mar 6, 2026 | 4 | xslF345X05/wk-form4_1772837922.xml | View → |
❓ Frequently Asked Questions about CENX
What is the AI rating for CENX?
Century Aluminum Co (CENX) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 70% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CENX's key strengths?
Claude: Revenue growth of 13.9% YoY demonstrates demand strength in core markets. Positive free cash flow of $84.8M (3.4% FCF margin) supports debt servicing and capital investment. ChatGPT: Revenue growth is solid and supported by positive operating income and cash flow generation. Balance sheet risk appears manageable with a 1.97x current ratio, 0.53x debt-to-equity, and 8.1x interest coverage.
What are the risks of investing in CENX?
Claude: Net margin of only 1.7% reflects commodity pricing pressure and operational challenges in aluminum production. Diluted EPS collapsed 87.2% YoY despite revenue growth, signaling significant per-share value destruction. ChatGPT: Net margin of 1.7% leaves limited cushion against aluminum price swings, energy costs, or operating disruptions. Diluted EPS fell 87.2% year over year despite net income growth, suggesting weaker per-share earnings quality.
What is CENX's revenue and growth?
Century Aluminum Co reported revenue of $2.5B.
Does CENX pay dividends?
Century Aluminum Co does not currently pay dividends.
Where can I find CENX SEC filings?
Official SEC filings for Century Aluminum Co (CIK: 0000949157) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CENX's EPS?
Century Aluminum Co has a diluted EPS of $0.42.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CENX a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Century Aluminum Co has a HOLD rating with 70% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CENX stock overvalued or undervalued?
Valuation metrics for CENX: ROE of 5.2% (sector avg: 15%), net margin of 1.7% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy CENX stock in 2026?
Our dual AI analysis gives Century Aluminum Co a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CENX's free cash flow?
Century Aluminum Co's operating cash flow is $185.0M, with capital expenditures of $100.2M. FCF margin is 3.4%.
How does CENX compare to other Market stocks?
Vs Default sector averages: Net margin 1.7% (avg: 12%), ROE 5.2% (avg: 15%), current ratio 1.97 (avg: 1.8).