AZZ Inc. (NYSE: AZZ) saw its stock plummet 9.09% in a 24-hour period on Wednesday following the release of its fiscal year 2026 second-quarter results, which fell short of analyst expectations. The metal coating and coil coating solutions provider reported mixed performance across its segments, with weakness in its Precoat Metals business overshadowing growth in Metal Coatings.

For the quarter ended August 31, AZZ reported adjusted earnings per share of $1.55, missing the consensus estimate of $1.57. Total sales came in at $417.3 million, up 2% year-over-year but below the expected $426.2 million. The company's adjusted EBITDA of $88.7 million also fell short of analysts' projections of $94.9 million. While the Metal Coatings segment saw a 10.8% increase in sales, driven by higher infrastructure-related spending, the Precoat Metals segment experienced a 4.3% decline due to weaker demand in several end markets, including building construction, HVAC, and appliance.

Despite the disappointing results, AZZ maintained its full-year 2026 guidance, projecting adjusted earnings per share between $5.75 and $6.25 and sales ranging from $1.625 billion to $1.725 billion. However, the significant stock plunge suggests investors are concerned about the company's ability to meet these targets given the current market challenges, particularly in the Precoat Metals segment. The market's reaction also reflects apprehension about AZZ's near-term growth prospects in light of the mixed performance across its business segments.