ACUITY INC (AYI) Stock Fundamental Analysis
NYSE:AYI - US00508Y1029 - Common Stock
335.52 USD
+2.49 (+0.75%)
Taking everything into account, AYI scores 7 out of 10 in our fundamental rating. AYI was compared to 93 industry peers in the Electrical Equipment industry. AYI scores excellent points on both the profitability and health parts. This is a solid base for a good stock. AYI is not valued too expensively and it also shows a decent growth rate. These ratings would make AYI suitable for quality investing!
1. Profitability
1.1 Basic Checks
AYI had positive earnings in the past year.
AYI had a positive operating cash flow in the past year.
AYI had positive earnings in each of the past 5 years.
Each year in the past 5 years AYI had a positive operating cash flow.
1.2 Ratios
AYI has a better Return On Assets (8.64%) than 88.17% of its industry peers.
Looking at the Return On Equity, with a value of 15.54%, AYI belongs to the top of the industry, outperforming 89.25% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.84%, AYI belongs to the top of the industry, outperforming 87.10% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for AYI is above the industry average of 10.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.64% | ||
| ROE | 15.54% | ||
| ROIC | 11.84% |
ROA(3y)10.75%
ROA(5y)9.59%
ROE(3y)18.34%
ROE(5y)16.33%
ROIC(3y)13.97%
ROIC(5y)12.72%
1.3 Margins
AYI has a Profit Margin of 9.63%. This is amongst the best in the industry. AYI outperforms 84.95% of its industry peers.
In the last couple of years the Profit Margin of AYI has grown nicely.
AYI has a Operating Margin of 14.14%. This is amongst the best in the industry. AYI outperforms 87.10% of its industry peers.
In the last couple of years the Operating Margin of AYI has grown nicely.
AYI has a better Gross Margin (47.40%) than 93.55% of its industry peers.
AYI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.14% | ||
| PM (TTM) | 9.63% | ||
| GM | 47.4% |
OM growth 3Y5.17%
OM growth 5Y2.68%
PM growth 3Y7.53%
PM growth 5Y4.11%
GM growth 3Y2.86%
GM growth 5Y2.86%
2. Health
2.1 Basic Checks
AYI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, AYI has less shares outstanding
AYI has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, AYI has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.75 indicates that AYI is not in any danger for bankruptcy at the moment.
AYI has a better Altman-Z score (5.75) than 87.10% of its industry peers.
The Debt to FCF ratio of AYI is 1.97, which is an excellent value as it means it would take AYI, only 1.97 years of fcf income to pay off all of its debts.
AYI has a better Debt to FCF ratio (1.97) than 90.32% of its industry peers.
AYI has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.39, AYI is in line with its industry, outperforming 50.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 1.97 | ||
| Altman-Z | 5.75 |
ROIC/WACC1.36
WACC8.68%
2.3 Liquidity
AYI has a Current Ratio of 1.99. This is a normal value and indicates that AYI is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of AYI (1.99) is comparable to the rest of the industry.
A Quick Ratio of 1.38 indicates that AYI should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.38, AYI perfoms like the industry average, outperforming 58.06% of the companies in the same industry.
The current and quick ratio evaluation for AYI 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 Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.48% over the past year.
Measured over the past years, AYI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.15% on average per year.
Looking at the last year, AYI shows a quite strong growth in Revenue. The Revenue has grown by 9.16% in the last year.
The Revenue has been growing slightly by 0.90% on average over the past years.
EPS 1Y (TTM)12.48%
EPS 3Y15.13%
EPS 5Y10.15%
EPS Q2Q%23.37%
Revenue 1Y (TTM)9.16%
Revenue growth 3Y3.53%
Revenue growth 5Y0.9%
Sales Q2Q%21.74%
3.2 Future
AYI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.84% yearly.
Based on estimates for the next years, AYI will show a quite strong growth in Revenue. The Revenue will grow by 8.11% on average per year.
EPS Next Y13.28%
EPS Next 2Y11.7%
EPS Next 3Y10.77%
EPS Next 5Y10.84%
Revenue Next Year13.54%
Revenue Next 2Y11.19%
Revenue Next 3Y9%
Revenue Next 5Y8.11%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.60, the valuation of AYI can be described as rather expensive.
84.95% of the companies in the same industry are more expensive than AYI, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of AYI to the average of the S&P500 Index (27.08), we can say AYI is valued slightly cheaper.
A Price/Forward Earnings ratio of 17.29 indicates a rather expensive valuation of AYI.
87.10% of the companies in the same industry are more expensive than AYI, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of AYI to the average of the S&P500 Index (22.67), we can say AYI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.6 | ||
| Fwd PE | 17.29 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AYI is valued cheaper than 82.80% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AYI indicates a rather cheap valuation: AYI is cheaper than 87.10% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.3 | ||
| EV/EBITDA | 15.49 |
4.3 Compensation for Growth
AYI's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
AYI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.48
PEG (5Y)1.93
EPS Next 2Y11.7%
EPS Next 3Y10.77%
5. Dividend
5.1 Amount
With a yearly dividend of 0.22%, AYI is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.49, AYI pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.22, AYI pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.22% |
5.2 History
The dividend of AYI has a limited annual growth rate of 2.39%.
AYI has been paying a dividend for at least 10 years, so it has a reliable track record.
AYI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.39%
Div Incr Years1
Div Non Decr Years16
5.3 Sustainability
AYI pays out 5.01% of its income as dividend. This is a sustainable payout ratio.
AYI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP5.01%
EPS Next 2Y11.7%
EPS Next 3Y10.77%
NYSE:AYI (8/27/2025, 1:37:05 PM)
335.52
+2.49 (+0.75%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners100.83%
Inst Owner Change3.39%
Ins Owners0.22%
Ins Owner Change-1.57%
Market Cap10.28B
Analysts75.71
Price Target345.54 (2.99%)
Short Float %2.26%
Short Ratio2.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.22% |
Yearly Dividend0.59
Dividend Growth(5Y)2.39%
DP5.01%
Div Incr Years1
Div Non Decr Years16
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.17%
Min EPS beat(2)-0.15%
Max EPS beat(2)14.48%
EPS beat(4)2
Avg EPS beat(4)3.71%
Min EPS beat(4)-0.5%
Max EPS beat(4)14.48%
EPS beat(8)6
Avg EPS beat(8)4.85%
EPS beat(12)9
Avg EPS beat(12)5.63%
EPS beat(16)13
Avg EPS beat(16)7.71%
Revenue beat(2)1
Avg Revenue beat(2)-0.77%
Min Revenue beat(2)-3.15%
Max Revenue beat(2)1.6%
Revenue beat(4)1
Avg Revenue beat(4)-0.82%
Min Revenue beat(4)-3.15%
Max Revenue beat(4)1.6%
Revenue beat(8)1
Avg Revenue beat(8)-1.38%
Revenue beat(12)3
Avg Revenue beat(12)-1.41%
Revenue beat(16)7
Avg Revenue beat(16)-0.16%
PT rev (1m)0%
PT rev (3m)8.83%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.4%
EPS NY rev (1m)0%
EPS NY rev (3m)2.9%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.75%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.6 | ||
| Fwd PE | 17.29 | ||
| P/S | 2.47 | ||
| P/FCF | 20.3 | ||
| P/OCF | 17.94 | ||
| P/B | 3.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.49 |
EPS(TTM)17.12
EY5.1%
EPS(NY)19.4
Fwd EY5.78%
FCF(TTM)16.53
FCFY4.93%
OCF(TTM)18.7
OCFY5.57%
SpS136.06
BVpS84.33
TBVpS-0.55
PEG (NY)1.48
PEG (5Y)1.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.64% | ||
| ROE | 15.54% | ||
| ROCE | 15.33% | ||
| ROIC | 11.84% | ||
| ROICexc | 13.11% | ||
| ROICexgc | 52.1% | ||
| OM | 14.14% | ||
| PM (TTM) | 9.63% | ||
| GM | 47.4% | ||
| FCFM | 12.15% |
ROA(3y)10.75%
ROA(5y)9.59%
ROE(3y)18.34%
ROE(5y)16.33%
ROIC(3y)13.97%
ROIC(5y)12.72%
ROICexc(3y)16.85%
ROICexc(5y)15.41%
ROICexgc(3y)49.26%
ROICexgc(5y)48.03%
ROCE(3y)18.09%
ROCE(5y)16.46%
ROICexcg growth 3Y8%
ROICexcg growth 5Y1.88%
ROICexc growth 3Y10.62%
ROICexc growth 5Y2.06%
OM growth 3Y5.17%
OM growth 5Y2.68%
PM growth 3Y7.53%
PM growth 5Y4.11%
GM growth 3Y2.86%
GM growth 5Y2.86%
F-Score5
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 1.97 | ||
| Debt/EBITDA | 1.43 | ||
| Cap/Depr | 60.93% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 17.76 | ||
| Cash Conversion | 81.99% | ||
| Profit Quality | 126.13% | ||
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 5.75 |
F-Score5
WACC8.68%
ROIC/WACC1.36
Cap/Depr(3y)67.14%
Cap/Depr(5y)59.9%
Cap/Sales(3y)1.59%
Cap/Sales(5y)1.54%
Profit Quality(3y)115.61%
Profit Quality(5y)129.43%
High Growth Momentum
Growth
EPS 1Y (TTM)12.48%
EPS 3Y15.13%
EPS 5Y10.15%
EPS Q2Q%23.37%
EPS Next Y13.28%
EPS Next 2Y11.7%
EPS Next 3Y10.77%
EPS Next 5Y10.84%
Revenue 1Y (TTM)9.16%
Revenue growth 3Y3.53%
Revenue growth 5Y0.9%
Sales Q2Q%21.74%
Revenue Next Year13.54%
Revenue Next 2Y11.19%
Revenue Next 3Y9%
Revenue Next 5Y8.11%
EBIT growth 1Y12.09%
EBIT growth 3Y8.89%
EBIT growth 5Y3.61%
EBIT Next Year24.71%
EBIT Next 3Y14.04%
EBIT Next 5Y11.5%
FCF growth 1Y-8.86%
FCF growth 3Y15.02%
FCF growth 5Y4.68%
OCF growth 1Y-7.89%
OCF growth 3Y14.85%
OCF growth 5Y4.59%