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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#1781
Positioning
Market Dominance
Manufacturing
Chemicals
$163M
Eric G. Wintemute
American Vanguard Corporation develops, manufactures, and markets specialty chemicals for agricultural, commercial, and consumer uses. It manufactures and formulates chemicals, including insecticides, fungicides, herbicides, molluscicides, soil health, plant nutrition, growth regulators, and soil fumigants. The company was incorporated in 1969 and is headquartered in Newport Beach, California.
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| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$UL UNILEVER PLC | 78 | 96 | 98 | 59 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ASML ASML HOLDING NV | 77 | 89 | 86 | 83 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ESLT ELBIT SYSTEMS LTD | 76 | 81 | 87 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$MT ArcelorMittal | 75 | 71 | 98 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$AMAT APPLIED MATERIALS INC /DE | 75 | 85 | 87 | 84 | 20.9x | 13.6x | 32.9% | 20.5% | 48.8% | 30.6% | 24.4% | 7.7% | 0.9% | 32.0x | $148.6B | VS | |
$SIMO Silicon Motion Technology CORP | 75 | 84 | 86 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$CODA Coda Octopus Group, Inc. | 74 | 83 | 90 | 79 | 16.3x | 11.9x | 7.4% | 7.5% | 68.3% | 19.5% | 18.2% | 29.0% | 0.0% | 0.0x | $84M | VS | |
$GSK GSK plc | 74 | 84 | 90 | 70 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$EFXT Enerflex Ltd. | 74 | 80 | 91 | 83 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$BUD Anheuser-Busch InBev SA/NV | 74 | 84 | 97 | 63 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$AVD AMERICAN VANGUARD CORP | 52 | 49 | 55 | 41 | - | - | -21.4% | -7.2% | 25.2% | -7.4% | -10.0% | -6.9% | 0.0% | 196.0x | $163M | ||
| SECTOR BENCH | - | - | - | - | - | 22.3x | 11.5x | -1.9% | 0.9% | 44.1% | 2.5% | 1.0% | 6.7% | 0.0% | 0.2x | - | REF |
AMERICAN VANGUARD CORP (AVD) receives a "Hold" rating with a composite score of 51.5/100. It ranks #1781 out of 7,333 stocks in our coverage universe and carries a 3-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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In-line with peers — no strong momentum signal
Fair valuation relative to peers
Average quality profile
Low volatility — smoother ride and historically better risk-adjusted returns
Aggressive spending — empire-building risk, dilutive growth
Mid-range overall rating
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Relative valuation derived from Manufacturing sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
No analyst ratings for AVD.
View All Ratings| Factor | Global | Sector | Tilt |
|---|---|---|---|
| PROFITABILITY | 49 | 42 | +7ALPHA |
| MOMENTUM | 41 | 31 | +10ALPHA |
| VALUATION | 55 | 45 | +10ALPHA |
| INVESTMENT | 31 | 42 | -11DRAG |
| STABILITY | 65 | 64 | +1NEUTRAL |
| SHORT INT | 39 | 33 | +6ALPHA |
Global = full universe. Sector = relative to industry peers. Positive tilt indicates idiosyncratic strength.
ROIC -2.9% vs WACC 5.4% (spread -8.3%)
GM 25% vs sector 44%, OM -7% vs sector 3%
Capital turnover 0.67x, R&D intensity 4.7%
Rev growth -7%, 10yr history
Interest coverage -1.3x
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate AMERICAN VANGUARD CORP (AVD) as a Hold with a composite score of 51.5/100 at a current price of $5.00. The stock presents a mixed quantitative picture — neither compelling enough to warrant new accumulation nor weak enough to justify selling.
AMERICAN VANGUARD CORP holds a top-quartile position (#0 of 50) within the Manufacturing sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 51.5/100 places it at rank #1781 in our full universe.
No Moat
High
Poor
Fair Value
Stable competitive position in a defensive sector.
Leverage of 196% D/E amplifies downside risk.
Vulnerability to macroeconomic shocks and interest rate volatility.
AMERICAN VANGUARD CORP represents a hold based on multi-factor quantitative performance.
Our model assigns AMERICAN VANGUARD CORP a Hold rating, with a composite score of 51.5/100 and 3 out of 5 stars. Ranked #1781 of 7,333 stocks, AVD presents a mixed quantitative picture — neither compelling enough to initiate new positions nor weak enough to warrant selling. Investors already holding may consider maintaining their position while monitoring for changes in the factor profile.
With a quality score of 49/100, AVD shows adequate but unremarkable business quality. The company reports a return on equity of -21.4% (sector avg: -1.9%), gross margins of 25.2% (sector avg: 44.1%), net margins of -10.0% (sector avg: 1.0%). This suggests the company generates acceptable returns but may lack the competitive positioning or operational efficiency to stand out from peers.
AVD's value score of 55/100 indicates the stock is fairly valued based on its current fundamentals. Key valuation metrics include a P/B ratio of 0.68x. At this level, neither a clear bargain nor overpriced, the stock's attractiveness depends more on forward growth expectations and qualitative factors.
AMERICAN VANGUARD CORP's investment score of 31/100 suggests limited reinvestment activity. Key growth metrics include revenue growth of -6.9% vs. a sector average of 6.7% and a return on assets of -7.2% (sector: 0.9%). While this can be positive for mature, cash-generative businesses returning capital to shareholders, it may also signal a lack of growth opportunities or management conservatism.
AVD is currently showing below-average momentum at 41/100, which may indicate weakening institutional interest or negative sentiment shifts. Revenue growth stands at -6.9% year-over-year, while a beta of 0.83 reflects its sensitivity to broader market moves. Investors should note that declining momentum can precede further price weakness, though contrarian opportunities sometimes emerge at these levels.
AVD shows good financial stability with a score of 65/100. Key stability metrics include a beta of 0.83 and a debt-to-equity ratio of 196.00x (sector avg: 0.2x). This suggests manageable leverage and moderate price volatility, making it appropriate for investors seeking a balance between growth potential and capital preservation.
AMERICAN VANGUARD CORP's short interest score of 39/100 reveals significant bearish positioning, suggesting institutional investors are actively betting against the stock. Specific risk factors include elevated leverage (D/E: 196.00x), micro-cap liquidity risk. At $163M (micro-cap), AVD carries meaningful risk and is best suited for investors with high risk tolerance who have thoroughly evaluated the bear thesis.
AMERICAN VANGUARD CORP is a micro-cap company in the Manufacturing sector, ranked #0 of 50 in its sector (100th percentile) and #1781 of 7,333 overall (76th percentile). Key comparisons include ROE of -21.4% trailing the -1.9% sector median and operating margins of -7.4% below the 2.5% sector average. This top-quartile standing reflects exceptional competitive strength relative to Manufacturing peers.
While AVD currently exhibits a HOLD profile, superior opportunities exist within the MANUFACTURING sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
View Top Manufacturing Alpha →Quant Factor Profile
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Investment (31) is the limiting factor — improvement here would lift the composite score most.
ROE 1029% ABOVE SECTOR MEDIAN (FAVORABLE)
Gross Margin 43% BELOW SECTOR MEDIAN
Op. Margin 397% BELOW SECTOR MEDIAN
American Vanguard Corporation announced the integration of its OHP Inc. subsidiary into AMVAC Environmental Products (AEP) to create a unified non-crop business entity. This move is part of AVD’s long-term strategy to expand its non-crop market presence through portfolio expansion, innovation, licensing, and acquisition, leveraging OHP’s biosolutions within AEP. The integration also includes leadership changes, with OHP's long-time leader Dan Stahl retiring and Troy Bettner taking over OHP’s commercial leadership.

American Vanguard's (AVD) U.S. crop business registers strong sales of granular soil insecticides, herbicides and cotton and peanut products in Q1.

Lower selling prices and product mix as well as reduced volumes weigh on Quaker Chemical's (KWR) top line in Q1.

American Vanguard (NYSE: AVD) is an agrochemical company whose stock has significantly underperformed the S&P 500, dropping by 6.3% over the past year due to margin pressures and restructuring costs. Despite this, the company exhibits strong free cash flow and a management strategy focused on turnaround through inventory reduction, asset impairments, and a shift towards high-value biorational products. Analysts are bullish, with a consensus "Strong Buy" rating and a significant upside potential if the company successfully executes its strategic goals.

American Vanguard (AVD) discussed various financial and operational aspects in its latest earnings transcript. The company reported reduced operating costs and a decrease in net debt, along with an extension of its credit facility. Management addressed product liability claims, US crop performance, and the future outlook, including potential acquisitions and a growing product pipeline.
Above 50MA
37.18%
Net New Highs
+51081