ACUITY INC (AYI) Stock Fundamental Analysis
USA - NYSE:AYI - US00508Y1029 - Common Stock
351.77 USD
+6.53 (+1.89%)
We assign a fundamental rating of 7 out of 10 to AYI. AYI was compared to 91 industry peers in the Electrical Equipment industry. AYI has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. AYI has a correct valuation and a medium growth rate. With these ratings, AYI could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
In the past year AYI was profitable.
In the past year AYI had a positive cash flow from operations.
Each year in the past 5 years AYI has been profitable.
Each year in the past 5 years AYI had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 8.34%, AYI belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
Looking at the Return On Equity, with a value of 14.55%, AYI belongs to the top of the industry, outperforming 86.81% of the companies in the same industry.
The Return On Invested Capital of AYI (12.25%) is better than 86.81% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AYI is above the industry average of 10.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.34% | ||
| ROE | 14.55% | ||
| ROIC | 12.25% |
ROA(3y)9.86%
ROA(5y)9.83%
ROE(3y)16.5%
ROE(5y)16.91%
ROIC(3y)13.42%
ROIC(5y)13.29%
1.3 Margins
With an excellent Profit Margin value of 9.13%, AYI belongs to the best of the industry, outperforming 83.52% of the companies in the same industry.
In the last couple of years the Profit Margin of AYI has grown nicely.
AYI's Operating Margin of 14.10% is amongst the best of the industry. AYI outperforms 86.81% of its industry peers.
In the last couple of years the Operating Margin of AYI has grown nicely.
The Gross Margin of AYI (47.83%) is better than 94.51% of its industry peers.
In the last couple of years the Gross Margin of AYI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.1% | ||
| PM (TTM) | 9.13% | ||
| GM | 47.83% |
OM growth 3Y3.79%
OM growth 5Y4.65%
PM growth 3Y-1.62%
PM growth 5Y4.1%
GM growth 3Y4.63%
GM growth 5Y2.56%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AYI is creating some value.
AYI has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, AYI has less shares outstanding
AYI has a worse debt/assets ratio than last year.
2.2 Solvency
AYI has an Altman-Z score of 5.93. This indicates that AYI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of AYI (5.93) is better than 83.52% of its industry peers.
The Debt to FCF ratio of AYI is 1.68, which is an excellent value as it means it would take AYI, only 1.68 years of fcf income to pay off all of its debts.
AYI has a Debt to FCF ratio of 1.68. This is amongst the best in the industry. AYI outperforms 89.01% of its industry peers.
A Debt/Equity ratio of 0.33 indicates that AYI is not too dependend on debt financing.
The Debt to Equity ratio of AYI (0.33) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.68 | ||
| Altman-Z | 5.93 |
ROIC/WACC1.44
WACC8.5%
2.3 Liquidity
A Current Ratio of 1.95 indicates that AYI should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.95, AYI is in the better half of the industry, outperforming 60.44% of the companies in the same industry.
AYI has a Quick Ratio of 1.33. This is a normal value and indicates that AYI is financially healthy and should not expect problems in meeting its short term obligations.
AYI has a Quick ratio of 1.33. This is in the better half of the industry: AYI outperforms 60.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
AYI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.88%, which is quite good.
The Earnings Per Share has been growing by 16.88% on average over the past years. This is quite good.
Looking at the last year, AYI shows a quite strong growth in Revenue. The Revenue has grown by 13.14% in the last year.
Measured over the past years, AYI shows a small growth in Revenue. The Revenue has been growing by 5.49% on average per year.
EPS 1Y (TTM)15.88%
EPS 3Y11.82%
EPS 5Y16.88%
EPS Q2Q%20.93%
Revenue 1Y (TTM)13.14%
Revenue growth 3Y2.75%
Revenue growth 5Y5.49%
Sales Q2Q%17.13%
3.2 Future
The Earnings Per Share is expected to grow by 9.11% on average over the next years. This is quite good.
Based on estimates for the next years, AYI will show a small growth in Revenue. The Revenue will grow by 6.30% on average per year.
EPS Next Y11.54%
EPS Next 2Y10.61%
EPS Next 3Y10.3%
EPS Next 5Y9.11%
Revenue Next Year9.35%
Revenue Next 2Y7.23%
Revenue Next 3Y6.24%
Revenue Next 5Y6.3%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
AYI is valuated rather expensively with a Price/Earnings ratio of 19.52.
Based on the Price/Earnings ratio, AYI is valued cheaper than 83.52% of the companies in the same industry.
AYI is valuated rather cheaply when we compare the Price/Earnings ratio to 25.46, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 17.50, which indicates a rather expensive current valuation of AYI.
AYI's Price/Forward Earnings ratio is rather cheap when compared to the industry. AYI is cheaper than 82.42% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.39, AYI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.52 | ||
| Fwd PE | 17.5 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AYI indicates a rather cheap valuation: AYI is cheaper than 81.32% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AYI is valued cheaper than 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.22 | ||
| EV/EBITDA | 14.82 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of AYI may justify a higher PE ratio.
PEG (NY)1.69
PEG (5Y)1.16
EPS Next 2Y10.61%
EPS Next 3Y10.3%
5. Dividend
5.1 Amount
With a yearly dividend of 0.19%, AYI is not a good candidate for dividend investing.
AYI's Dividend Yield is a higher than the industry average which is at 3.52.
Compared to an average S&P500 Dividend Yield of 2.44, AYI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.19% |
5.2 History
The dividend of AYI has a limited annual growth rate of 4.77%.
AYI has been paying a dividend for at least 10 years, so it has a reliable track record.
AYI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.77%
Div Incr Years1
Div Non Decr Years16
5.3 Sustainability
AYI pays out 5.19% 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.
DP5.19%
EPS Next 2Y10.61%
EPS Next 3Y10.3%
NYSE:AYI (11/19/2025, 2:57:49 PM)
351.77
+6.53 (+1.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners97%
Inst Owner Change-7.7%
Ins Owners0.22%
Ins Owner Change12.23%
Market Cap10.78B
Revenue(TTM)4.35B
Net Income(TTM)396.60M
Analysts77.14
Price Target407.56 (15.86%)
Short Float %1.91%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.19% |
Yearly Dividend0.67
Dividend Growth(5Y)4.77%
DP5.19%
Div Incr Years1
Div Non Decr Years16
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.44%
Min EPS beat(2)6.41%
Max EPS beat(2)14.48%
EPS beat(4)3
Avg EPS beat(4)5.44%
Min EPS beat(4)-0.15%
Max EPS beat(4)14.48%
EPS beat(8)6
Avg EPS beat(8)4.95%
EPS beat(12)9
Avg EPS beat(12)5.41%
EPS beat(16)13
Avg EPS beat(16)7.27%
Revenue beat(2)1
Avg Revenue beat(2)-0.6%
Min Revenue beat(2)-2.81%
Max Revenue beat(2)1.6%
Revenue beat(4)1
Avg Revenue beat(4)-1.45%
Min Revenue beat(4)-3.15%
Max Revenue beat(4)1.6%
Revenue beat(8)1
Avg Revenue beat(8)-1.51%
Revenue beat(12)2
Avg Revenue beat(12)-1.8%
Revenue beat(16)6
Avg Revenue beat(16)-0.46%
PT rev (1m)14.36%
PT rev (3m)17.95%
EPS NQ rev (1m)-1.87%
EPS NQ rev (3m)2.98%
EPS NY rev (1m)2.98%
EPS NY rev (3m)3.59%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.05%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.52 | ||
| Fwd PE | 17.5 | ||
| P/S | 2.48 | ||
| P/FCF | 20.22 | ||
| P/OCF | 17.92 | ||
| P/B | 3.96 | ||
| P/tB | 82.66 | ||
| EV/EBITDA | 14.82 |
EPS(TTM)18.02
EY5.12%
EPS(NY)20.1
Fwd EY5.71%
FCF(TTM)17.4
FCFY4.95%
OCF(TTM)19.63
OCFY5.58%
SpS141.83
BVpS88.93
TBVpS4.26
PEG (NY)1.69
PEG (5Y)1.16
Graham Number189.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.34% | ||
| ROE | 14.55% | ||
| ROCE | 15.68% | ||
| ROIC | 12.25% | ||
| ROICexc | 13.74% | ||
| ROICexgc | 53.67% | ||
| OM | 14.1% | ||
| PM (TTM) | 9.13% | ||
| GM | 47.83% | ||
| FCFM | 12.27% |
ROA(3y)9.86%
ROA(5y)9.83%
ROE(3y)16.5%
ROE(5y)16.91%
ROIC(3y)13.42%
ROIC(5y)13.29%
ROICexc(3y)16.41%
ROICexc(5y)15.82%
ROICexgc(3y)53.29%
ROICexgc(5y)50.03%
ROCE(3y)17.17%
ROCE(5y)17%
ROICexgc growth 3Y7.33%
ROICexgc growth 5Y2.88%
ROICexc growth 3Y-4.26%
ROICexc growth 5Y1.69%
OM growth 3Y3.79%
OM growth 5Y4.65%
PM growth 3Y-1.62%
PM growth 5Y4.1%
GM growth 3Y4.63%
GM growth 5Y2.56%
F-Score5
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.68 | ||
| Debt/EBITDA | 1.2 | ||
| Cap/Depr | 51.39% | ||
| Cap/Sales | 1.57% | ||
| Interest Coverage | 15.13 | ||
| Cash Conversion | 80.63% | ||
| Profit Quality | 134.39% | ||
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 5.93 |
F-Score5
WACC8.5%
ROIC/WACC1.44
Cap/Depr(3y)64.4%
Cap/Depr(5y)59.31%
Cap/Sales(3y)1.64%
Cap/Sales(5y)1.52%
Profit Quality(3y)137.86%
Profit Quality(5y)120.07%
High Growth Momentum
Growth
EPS 1Y (TTM)15.88%
EPS 3Y11.82%
EPS 5Y16.88%
EPS Q2Q%20.93%
EPS Next Y11.54%
EPS Next 2Y10.61%
EPS Next 3Y10.3%
EPS Next 5Y9.11%
Revenue 1Y (TTM)13.14%
Revenue growth 3Y2.75%
Revenue growth 5Y5.49%
Sales Q2Q%17.13%
Revenue Next Year9.35%
Revenue Next 2Y7.23%
Revenue Next 3Y6.24%
Revenue Next 5Y6.3%
EBIT growth 1Y10.16%
EBIT growth 3Y6.64%
EBIT growth 5Y10.39%
EBIT Next Year24.83%
EBIT Next 3Y13.03%
EBIT Next 5Y10.9%
FCF growth 1Y-4%
FCF growth 3Y27.07%
FCF growth 5Y3.45%
OCF growth 1Y-2.87%
OCF growth 3Y23.89%
OCF growth 5Y3.56%
ACUITY INC / AYI FAQ
What is the fundamental rating for AYI stock?
ChartMill assigns a fundamental rating of 7 / 10 to AYI.
What is the valuation status for AYI stock?
ChartMill assigns a valuation rating of 6 / 10 to ACUITY INC (AYI). This can be considered as Fairly Valued.
What is the profitability of AYI stock?
ACUITY INC (AYI) has a profitability rating of 9 / 10.
What are the PE and PB ratios of ACUITY INC (AYI) stock?
The Price/Earnings (PE) ratio for ACUITY INC (AYI) is 19.52 and the Price/Book (PB) ratio is 3.96.
What is the earnings growth outlook for ACUITY INC?
The Earnings per Share (EPS) of ACUITY INC (AYI) is expected to grow by 11.54% in the next year.