Acuity Brands, Inc. provides lighting and building management solutions and services for commercial, institutional, industrial, infrastructure, and residential applications in North America and internationally. More Details
Excellent balance sheet and good value.
Share Price & News
How has Acuity Brands's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AYI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: AYI's weekly volatility (4%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: AYI exceeded the US Electrical industry which returned 69.5% over the past year.
Return vs Market: AYI exceeded the US Market which returned 35.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Acuity Brands's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall StCapital Allocation Trends At Acuity Brands (NYSE:AYI) Aren't Ideal
2 weeks ago | Simply Wall StAre Acuity Brands, Inc.'s (NYSE:AYI) Fundamentals Good Enough to Warrant Buying Given The Stock's Recent Weakness?
1 month ago | Simply Wall StCalculating The Fair Value Of Acuity Brands, Inc. (NYSE:AYI)
Is Acuity Brands undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AYI ($175.38) is trading below our estimate of fair value ($219.25)
Significantly Below Fair Value: AYI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: AYI is good value based on its PE Ratio (23.2x) compared to the US Electrical industry average (24.1x).
PE vs Market: AYI is poor value based on its PE Ratio (23.2x) compared to the US market (18x).
Price to Earnings Growth Ratio
PEG Ratio: AYI is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: AYI is good value based on its PB Ratio (3x) compared to the US Electrical industry average (3.3x).
How is Acuity Brands forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AYI's forecast earnings growth (9.3% per year) is above the savings rate (2%).
Earnings vs Market: AYI's earnings (9.3% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: AYI's earnings are forecast to grow, but not significantly.
Revenue vs Market: AYI's revenue (6.1% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: AYI's revenue (6.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AYI's Return on Equity is forecast to be low in 3 years time (17.2%).
How has Acuity Brands performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AYI has high quality earnings.
Growing Profit Margin: AYI's current net profit margins (8.4%) are higher than last year (8%).
Past Earnings Growth Analysis
Earnings Trend: AYI's earnings have declined by 2.4% per year over the past 5 years.
Accelerating Growth: AYI's earnings growth over the past year (4.1%) exceeds its 5-year average (-2.4% per year).
Earnings vs Industry: AYI earnings growth over the past year (4.1%) underperformed the Electrical industry 22%.
Return on Equity
High ROE: AYI's Return on Equity (13.8%) is considered low.
How is Acuity Brands's financial position?
Financial Position Analysis
Short Term Liabilities: AYI's short term assets ($1.5B) exceed its short term liabilities ($671.4M).
Long Term Liabilities: AYI's short term assets ($1.5B) exceed its long term liabilities ($849.8M).
Debt to Equity History and Analysis
Debt Level: AYI's debt to equity ratio (24.4%) is considered satisfactory.
Reducing Debt: AYI's debt to equity ratio has increased from 22.3% to 24.4% over the past 5 years.
Debt Coverage: AYI's debt is well covered by operating cash flow (88.9%).
Interest Coverage: AYI's interest payments on its debt are well covered by EBIT (19x coverage).
What is Acuity Brands's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: AYI's dividend (0.3%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: AYI's dividend (0.3%) is low compared to the top 25% of dividend payers in the US market (3.54%).
Stability and Growth of Payments
Stable Dividend: AYI is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: AYI is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: AYI is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of AYI's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Neil Ashe (53 yo)
Mr. Neil M. Ashe has been President, Chief Executive Officer and Director of Acuity Brands, Inc. since January 31, 2020 and serves as its Chairman. He joined Acuity Brands, Inc in January 8, 2020. He is a ...
CEO Compensation Analysis
Compensation vs Market: Neil's total compensation ($USD20.56M) is above average for companies of similar size in the US market ($USD6.47M).
Compensation vs Earnings: Insufficient data to compare Neil's compensation with company performance.
Experienced Management: AYI's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.
Experienced Board: AYI's board of directors are considered experienced (4.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: AYI insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Acuity Brands, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Acuity Brands, Inc.
- Ticker: AYI
- Exchange: NYSE
- Founded: 2001
- Industry: Electrical Components and Equipment
- Sector: Capital Goods
- Market Cap: US$6.192b
- Shares outstanding: 35.31m
- Website: https://www.acuitybrands.com
Number of Employees
- Acuity Brands, Inc.
- 1170 Peachtree Street, N.E.
- Suite 2300
- United States
Acuity Brands, Inc. provides lighting and building management solutions and services for commercial, institutional, industrial, infrastructure, and residential applications in North America and internation...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/31 05:53|
|End of Day Share Price||2021/07/30 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.