ARMSTRONG WORLD INDUSTRIES (AWI) Fundamental Analysis & Valuation

NYSE:AWI • US04247X1028

Current stock price

170.17 USD
+2.69 (+1.61%)
At close:
170.17 USD
0 (0%)
After Hours:

This AWI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. AWI Profitability Analysis

1.1 Basic Checks

  • AWI had positive earnings in the past year.
  • In the past year AWI had a positive cash flow from operations.
  • AWI had positive earnings in each of the past 5 years.
  • Each year in the past 5 years AWI had a positive operating cash flow.
AWI Yearly Net Income VS EBIT VS OCF VS FCFAWI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M 200M 300M

1.2 Ratios

  • Looking at the Return On Assets, with a value of 16.04%, AWI belongs to the top of the industry, outperforming 95.24% of the companies in the same industry.
  • AWI's Return On Equity of 34.27% is amongst the best of the industry. AWI outperforms 92.86% of its industry peers.
  • AWI's Return On Invested Capital of 14.76% is amongst the best of the industry. AWI outperforms 83.33% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for AWI is in line with the industry average of 11.91%.
  • The last Return On Invested Capital (14.76%) for AWI is above the 3 year average (13.39%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 16.04%
ROE 34.27%
ROIC 14.76%
ROA(3y)14.6%
ROA(5y)13.31%
ROE(3y)35.69%
ROE(5y)36.05%
ROIC(3y)13.39%
ROIC(5y)11.85%
AWI Yearly ROA, ROE, ROICAWI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40 60 80

1.3 Margins

  • With an excellent Profit Margin value of 19.05%, AWI belongs to the best of the industry, outperforming 97.62% of the companies in the same industry.
  • AWI's Profit Margin has improved in the last couple of years.
  • Looking at the Operating Margin, with a value of 19.67%, AWI belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
  • In the last couple of years the Operating Margin of AWI has grown nicely.
  • AWI has a better Gross Margin (40.65%) than 78.57% of its industry peers.
  • AWI's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 19.67%
PM (TTM) 19.05%
GM 40.65%
OM growth 3Y6.46%
OM growth 5Y1.66%
PM growth 3Y5%
PM growth 5YN/A
GM growth 3Y3.73%
GM growth 5Y2.71%
AWI Yearly Profit, Operating, Gross MarginsAWI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 30 40

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. AWI Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AWI is creating some value.
  • AWI has less shares outstanding than it did 1 year ago.
  • AWI has less shares outstanding than it did 5 years ago.
  • The debt/assets ratio for AWI has been reduced compared to a year ago.
AWI Yearly Shares OutstandingAWI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10M 20M 30M 40M 50M
AWI Yearly Total Debt VS Total AssetsAWI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

2.2 Solvency

  • AWI has an Altman-Z score of 6.99. This indicates that AWI is financially healthy and has little risk of bankruptcy at the moment.
  • AWI's Altman-Z score of 6.99 is amongst the best of the industry. AWI outperforms 85.71% of its industry peers.
  • The Debt to FCF ratio of AWI is 1.81, which is an excellent value as it means it would take AWI, only 1.81 years of fcf income to pay off all of its debts.
  • AWI has a Debt to FCF ratio of 1.81. This is in the better half of the industry: AWI outperforms 73.81% of its industry peers.
  • A Debt/Equity ratio of 0.48 indicates that AWI is not too dependend on debt financing.
  • AWI's Debt to Equity ratio of 0.48 is in line compared to the rest of the industry. AWI outperforms 57.14% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.48
Debt/FCF 1.81
Altman-Z 6.99
ROIC/WACC1.49
WACC9.88%
AWI Yearly LT Debt VS Equity VS FCFAWI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M 400M 600M 800M

2.3 Liquidity

  • A Current Ratio of 1.46 indicates that AWI should not have too much problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 1.46, AWI is doing worse than 76.19% of the companies in the same industry.
  • A Quick Ratio of 1.00 indicates that AWI may have some problems paying its short term obligations.
  • AWI's Quick ratio of 1.00 is on the low side compared to the rest of the industry. AWI is outperformed by 66.67% of its industry peers.
  • The current and quick ratio evaluation for AWI is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.46
Quick Ratio 1
AWI Yearly Current Assets VS Current LiabilitesAWI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. AWI Growth Analysis

3.1 Past

  • AWI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.43%, which is quite good.
  • AWI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.96% yearly.
  • Looking at the last year, AWI shows a quite strong growth in Revenue. The Revenue has grown by 12.11% in the last year.
  • AWI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.59% yearly.
EPS 1Y (TTM)17.43%
EPS 3Y15.98%
EPS 5Y14.96%
EPS Q2Q%7.33%
Revenue 1Y (TTM)12.11%
Revenue growth 3Y9.54%
Revenue growth 5Y11.59%
Sales Q2Q%5.6%

3.2 Future

  • Based on estimates for the next years, AWI will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.05% on average per year.
  • AWI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.43% yearly.
EPS Next Y12.83%
EPS Next 2Y12.57%
EPS Next 3Y13.05%
EPS Next 5YN/A
Revenue Next Year8.18%
Revenue Next 2Y7.42%
Revenue Next 3Y7.43%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
AWI Yearly Revenue VS EstimatesAWI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 500M 1B 1.5B 2B
AWI Yearly EPS VS EstimatesAWI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6 8 10

More info and screens

Find the best growth stocksShow best growing peers

3

4. AWI Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 22.96 indicates a rather expensive valuation of AWI.
  • 61.90% of the companies in the same industry are cheaper than AWI, based on the Price/Earnings ratio.
  • AWI is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.11, which is the current average of the S&P500 Index.
  • A Price/Forward Earnings ratio of 20.35 indicates a rather expensive valuation of AWI.
  • AWI's Price/Forward Earnings is on the same level as the industry average.
  • AWI's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.12.
Industry RankSector Rank
PE 22.96
Fwd PE 20.35
AWI Price Earnings VS Forward Price EarningsAWI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, AWI is valued a bit more expensive than 64.29% of the companies in the same industry.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as AWI.
Industry RankSector Rank
P/FCF 29.62
EV/EBITDA 17.09
AWI Per share dataAWI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • AWI's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • AWI has an outstanding profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as AWI's earnings are expected to grow with 13.05% in the coming years.
PEG (NY)1.79
PEG (5Y)1.53
EPS Next 2Y12.57%
EPS Next 3Y13.05%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. AWI Dividend Analysis

5.1 Amount

  • AWI has a yearly dividend return of 0.82%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.75, AWI pays a bit more dividend than its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.91, AWI's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.82%

5.2 History

  • The dividend of AWI is nicely growing with an annual growth rate of 9.32%!
  • AWI has paid a dividend for at least 10 years, which is a reliable track record.
  • As AWI did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)9.32%
Div Incr Years6
Div Non Decr Years6
AWI Yearly Dividends per shareAWI Yearly Dividends per shareYearly Dividends per share 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8 1

5.3 Sustainability

  • AWI pays out 17.88% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of AWI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP17.88%
EPS Next 2Y12.57%
EPS Next 3Y13.05%
AWI Yearly Income VS Free CF VS DividendAWI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M 200M 300M
AWI Dividend Payout.AWI Dividend Payout, showing the Payout Ratio.AWI Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

AWI Fundamentals: All Metrics, Ratios and Statistics

ARMSTRONG WORLD INDUSTRIES

NYSE:AWI (3/17/2026, 8:04:00 PM)

After market: 170.17 0 (0%)

170.17

+2.69 (+1.61%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)02-24
Earnings (Next)04-27
Inst Owners103.24%
Inst Owner Change5.41%
Ins Owners0.14%
Ins Owner Change0.35%
Market Cap7.29B
Revenue(TTM)1.62B
Net Income(TTM)308.70M
Analysts74.67
Price Target212.83 (25.07%)
Short Float %2.33%
Short Ratio1.7
Dividend
Industry RankSector Rank
Dividend Yield 0.82%
Yearly Dividend1.28
Dividend Growth(5Y)9.32%
DP17.88%
Div Incr Years6
Div Non Decr Years6
Ex-Date03-05
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.48%
Min EPS beat(2)-4.93%
Max EPS beat(2)-0.04%
EPS beat(4)2
Avg EPS beat(4)4.7%
Min EPS beat(4)-4.93%
Max EPS beat(4)16.11%
EPS beat(8)6
Avg EPS beat(8)5.35%
EPS beat(12)10
Avg EPS beat(12)7.2%
EPS beat(16)10
Avg EPS beat(16)3.46%
Revenue beat(2)0
Avg Revenue beat(2)-2.31%
Min Revenue beat(2)-4.11%
Max Revenue beat(2)-0.51%
Revenue beat(4)2
Avg Revenue beat(4)0.4%
Min Revenue beat(4)-4.11%
Max Revenue beat(4)3.98%
Revenue beat(8)5
Avg Revenue beat(8)0.68%
Revenue beat(12)7
Avg Revenue beat(12)0.47%
Revenue beat(16)9
Avg Revenue beat(16)0%
PT rev (1m)0%
PT rev (3m)-1.16%
EPS NQ rev (1m)-4.85%
EPS NQ rev (3m)-4.6%
EPS NY rev (1m)-1.88%
EPS NY rev (3m)-1.88%
Revenue NQ rev (1m)-0.15%
Revenue NQ rev (3m)-0.14%
Revenue NY rev (1m)1.19%
Revenue NY rev (3m)1.19%
Valuation
Industry RankSector Rank
PE 22.96
Fwd PE 20.35
P/S 4.5
P/FCF 29.62
P/OCF 20.5
P/B 8.09
P/tB 28.28
EV/EBITDA 17.09
EPS(TTM)7.41
EY4.35%
EPS(NY)8.36
Fwd EY4.91%
FCF(TTM)5.75
FCFY3.38%
OCF(TTM)8.3
OCFY4.88%
SpS37.84
BVpS21.03
TBVpS6.02
PEG (NY)1.79
PEG (5Y)1.53
Graham Number59.21
Profitability
Industry RankSector Rank
ROA 16.04%
ROE 34.27%
ROCE 19.24%
ROIC 14.76%
ROICexc 15.83%
ROICexgc 27.13%
OM 19.67%
PM (TTM) 19.05%
GM 40.65%
FCFM 15.18%
ROA(3y)14.6%
ROA(5y)13.31%
ROE(3y)35.69%
ROE(5y)36.05%
ROIC(3y)13.39%
ROIC(5y)11.85%
ROICexc(3y)14.19%
ROICexc(5y)12.61%
ROICexgc(3y)24.59%
ROICexgc(5y)21.75%
ROCE(3y)17.46%
ROCE(5y)15.45%
ROICexgc growth 3Y13.14%
ROICexgc growth 5Y10.51%
ROICexc growth 3Y12.81%
ROICexc growth 5Y11.37%
OM growth 3Y6.46%
OM growth 5Y1.66%
PM growth 3Y5%
PM growth 5YN/A
GM growth 3Y3.73%
GM growth 5Y2.71%
F-Score9
Asset Turnover0.84
Health
Industry RankSector Rank
Debt/Equity 0.48
Debt/FCF 1.81
Debt/EBITDA 0.98
Cap/Depr 90.86%
Cap/Sales 6.75%
Interest Coverage 10.73
Cash Conversion 80.94%
Profit Quality 79.72%
Current Ratio 1.46
Quick Ratio 1
Altman-Z 6.99
F-Score9
WACC9.88%
ROIC/WACC1.49
Cap/Depr(3y)88.35%
Cap/Depr(5y)87.42%
Cap/Sales(3y)6.32%
Cap/Sales(5y)6.44%
Profit Quality(3y)72.02%
Profit Quality(5y)65.55%
High Growth Momentum
Growth
EPS 1Y (TTM)17.43%
EPS 3Y15.98%
EPS 5Y14.96%
EPS Q2Q%7.33%
EPS Next Y12.83%
EPS Next 2Y12.57%
EPS Next 3Y13.05%
EPS Next 5YN/A
Revenue 1Y (TTM)12.11%
Revenue growth 3Y9.54%
Revenue growth 5Y11.59%
Sales Q2Q%5.6%
Revenue Next Year8.18%
Revenue Next 2Y7.42%
Revenue Next 3Y7.43%
Revenue Next 5YN/A
EBIT growth 1Y15.76%
EBIT growth 3Y16.61%
EBIT growth 5Y13.43%
EBIT Next Year39.85%
EBIT Next 3Y17.7%
EBIT Next 5YN/A
FCF growth 1Y33.75%
FCF growth 3Y31.75%
FCF growth 5Y8.54%
OCF growth 1Y33.25%
OCF growth 3Y24.91%
OCF growth 5Y10.19%

ARMSTRONG WORLD INDUSTRIES / AWI Fundamental Analysis FAQ

What is the ChartMill fundamental rating of ARMSTRONG WORLD INDUSTRIES (AWI) stock?

ChartMill assigns a fundamental rating of 7 / 10 to AWI.


What is the valuation status for AWI stock?

ChartMill assigns a valuation rating of 3 / 10 to ARMSTRONG WORLD INDUSTRIES (AWI). This can be considered as Overvalued.


How profitable is ARMSTRONG WORLD INDUSTRIES (AWI) stock?

ARMSTRONG WORLD INDUSTRIES (AWI) has a profitability rating of 9 / 10.


Can you provide the PE and PB ratios for AWI stock?

The Price/Earnings (PE) ratio for ARMSTRONG WORLD INDUSTRIES (AWI) is 22.96 and the Price/Book (PB) ratio is 8.09.


Can you provide the dividend sustainability for AWI stock?

The dividend rating of ARMSTRONG WORLD INDUSTRIES (AWI) is 6 / 10 and the dividend payout ratio is 17.88%.