| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 61.58 | 171 |
| Intrinsic value (DCF) | 0.48 | -98 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 3.10 | -86 |
Energizer Holdings, Inc. (NYSE: ENR) is a global leader in the manufacturing and distribution of household batteries, specialty batteries, and lighting products. The company operates under well-known brands such as Energizer, Eveready, Rayovac, and Varta, offering a diverse portfolio including lithium, alkaline, and rechargeable batteries, as well as flashlights, headlights, and automotive care products. Energizer also licenses its brands for use in automotive batteries, portable power solutions, and LED lighting. Additionally, the company provides automotive fragrance and appearance products under brands like Armor All, STP, and A/C PRO. Serving retail and business-to-business channels, Energizer distributes through mass merchandisers, e-commerce platforms, and specialty stores. Headquartered in Saint Louis, Missouri, Energizer maintains a strong market presence with a focus on innovation and sustainability in the electrical equipment and industrial sectors.
Energizer Holdings presents a mixed investment profile. The company benefits from strong brand recognition, a diversified product portfolio, and stable cash flows from its battery and automotive care segments. However, its high total debt of $3.3 billion and modest net income of $38.1 million raise concerns about leverage and profitability. The stock's beta of 0.76 suggests lower volatility compared to the broader market, which may appeal to conservative investors. The dividend yield, supported by a $1.20 per share payout, adds income appeal. Risks include competitive pressures in the battery market, potential margin compression from rising input costs, and reliance on retail distribution channels susceptible to economic downturns.
Energizer Holdings competes in the highly fragmented battery and automotive care markets, where brand strength and distribution networks are critical. The company's competitive advantage lies in its well-established brands (Energizer, Eveready, Armor All) and broad product diversification across batteries and automotive accessories. However, it faces intense competition from larger conglomerates like Procter & Gamble (Duracell) and private-label alternatives, which often compete on price. Energizer's licensing strategy provides additional revenue streams but exposes it to brand dilution risks. In the automotive care segment, the company competes with specialized players and DIY-focused brands. While Energizer's global distribution is a strength, its reliance on traditional retail channels (vs. direct-to-consumer) may limit growth compared to digitally native competitors. The company's high debt load could also constrain R&D and marketing investments relative to peers.