AYI Acuity Inc. - Fundamental Analysis
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AYI Stock | Fundamental Analysis & Investment Insights
NYSE
Industrials
Electrical Equipment & Parts
Current Price
Live
$315.25
Analyst Target
$391.25
+24.1%
Upside
52W High
$380.17
52W Low
$216.81
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Jan 24, 2026
Market cap
$9.69B
P/E
23.97
ROE
15.6%
Profit margin
9.0%
Debt/Equity
0.33
Dividend yield
0.22%
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
72%
Analysis Accuracy
Acuity Inc. (AYI) shows mixed financial health with a Piotroski F-Score of 4/9, indicating stable but not strong fundamentals. The company exhibits solid revenue growth and profitability, outperforming sector averages in ROE and operating margin, though the lack of Altman Z-Score raises some uncertainty around financial stability. While valuation metrics suggest a premium pricing relative to earnings, the stock trades below analyst target, supported by consistent earnings beats and strong historical performance. However, bearish technical trends, insider selling, and decelerating recent EPS growth temper optimism despite robust long-term price appreciation.
Key Strengths
Strong revenue growth (20.2% YoY), significantly above sector average (16.47%)
High profitability with gross margin of 48.11% and operating margin of 13.95%
ROE of 15.61% well above sector average of 5.96%
Consistent earnings beat record: 24 out of 25 quarters beat estimates
Low debt/equity ratio of 0.33, indicating conservative capital structure
Key Risks
Piotroski F-Score of 4/9 suggests suboptimal financial health and limited strength in earnings quality and leverage trends
Altman Z-Score not available, creating uncertainty about bankruptcy risk
Insider selling activity: $3.36M in sales over last 6 months with no buys
Bearish technical trend (0/100) and recent price weakness (-15.3% over 1M)
Most recent Q/Q EPS growth declined by 9.8%, signaling potential near-term earnings slowdown
AI Fair Value Estimate
Based on comprehensive analysis
$368.2
+16.8% above current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
62
Strong
55
70
85
60
40
AI Verdict
Neutral with upside potential if growth sustains
Key drivers: Strong historical earnings performance, Premium valuation relative to peers, Low insider sentiment and technical bearishness, Solid profitability and balance sheet
Confidence
75%
Value
55/100
Ref P/E, PEG, Graham Number
Positives
- Forward P/E of 14.48 is reasonable given growth profile
- P/E of 23.97 below sector average of 52.87
Watchpoints
- Current price ($315.25) significantly above Graham Number ($164.63)
- Stock trades at premium to defensive value, relying on growth justification
Future
70/100
Ref Growth rates
Positives
- Revenue growth of 20.2% YoY above peer average
- Earnings growth of 14.0% YoY and strong Q/Q momentum in prior quarters
Watchpoints
- Most recent Q/Q EPS down 9.8%, indicating possible growth deceleration
- PEG Ratio not available limits growth-adjusted valuation insight
Past
85/100
Ref Historical trends
Positives
- 24 out of 25 quarters beat EPS estimates
- Average earnings surprise of 8.33% over last 4 quarters
- 5-year price return of +157.1% reflects strong investor confidence
Watchpoints
- 1-year return of -6.3% underperforms sector momentum
Health
60/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Current ratio of 2.07 and quick ratio of 1.24 indicate adequate liquidity
- Debt/equity of 0.33 is low and manageable
Watchpoints
- Piotroski F-Score of 4/9 indicates only moderate financial strength
- Altman Z-Score not available, limiting distress risk assessment
Dividend
40/100
Ref Yield, Payout
Positives
- Very low payout ratio of 5.23%, indicating high sustainability
Watchpoints
- Dividend yield of 0.22% is negligible for income investors
- Dividend strength score of 25/100 reflects minimal income appeal
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$315.25
Analyst Target
$391.25
Upside/Downside
+24.1%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for AYI and closest competitors.
Updated 2026-01-23
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
AYI
Acuity Inc.
Primary
|
+157.1% | +78.0% | -6.3% | +4.5% | -15.3% | -1.6% |
|
AOS
A. O. Smith Corporation
Peer
|
+39.3% | +26.1% | +3.8% | +1.6% | +6.6% | -0.0% |
|
ASR
Grupo Aeroportuario del Sureste, S. A. B. de C. V.
Peer
|
+162.2% | +35.0% | +32.3% | +11.4% | +2.4% | +4.7% |
|
ARMK
Aramark
Peer
|
+61.1% | +25.2% | +2.9% | -10.4% | +3.5% | -1.4% |
|
AIT
Applied Industrial Technologies, Inc.
Peer
|
+260.2% | +134.7% | +7.9% | +3.3% | +6.0% | -0.4% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
23.97
Forward P/E
14.48
PEG Ratio
N/A
P/B Ratio
3.44
P/S Ratio
2.13
EV/Revenue
2.23
EV/EBITDA
13.43
Market Cap
$9.69B
Profitability
Profit margins and return metrics
Profit Margin
9.04%
Operating Margin
13.95%
Gross Margin
48.11%
ROE
15.61%
ROA
8.88%
Growth
Revenue and earnings growth rates
Revenue Growth
+20.2%
Earnings Growth
+14.0%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+12.9%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
0.33
Low debt
Current Ratio
2.07
Strong
Quick Ratio
1.24
Good
Cash/Share
$12.35
Quarterly Earnings History
EPS performance vs analyst estimates
2026-04-02
$N/A
2026-01-08
$4.69
+2.1% surprise
2025-10-01
$5.2
+7.5% surprise
2025-06-26
$5.12
+15.3% surprise
Industrials Sector Comparison
Comparing AYI against 122 companies in the Industrials sector
(6 bullish, 59 neutral, 57 bearish)
P/E Ratio
23.97
This Stock
vs
73.49
Sector Avg
-67.4%
(Discount)
Return on Equity (ROE)
15.61%
This Stock
vs
7.83%
Sector Avg
+99.3%
(Excellent)
Profit Margin
9.04%
This Stock
vs
57.85%
Sector Avg
-84.4%
(Weaker)
Debt to Equity
0.33
This Stock
vs
5.46
Sector Avg
-94.0%
(Less Debt)
Revenue Growth
20.2%
This Stock
vs
22.8%
Sector Avg
-11.4%
(Slower)
Current Ratio
2.07
This Stock
vs
2.64
Sector Avg
-21.4%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
AYI
Acuity Inc.
|
NEUTRAL | $9.69B | 23.97 | 15.6% | 9.0% | $315.25 | |
|
AOS
A. O. Smith Corporation
|
NEUTRAL | $10.15B | 19.69 | 28.2% | 13.9% | $72.46 | |
|
ASR
Grupo Aeroportuario del...
|
NEUTRAL | $10.2B | 13.07 | 23.0% | 31.7% | $338.17 | |
|
ARMK
Aramark
|
NEUTRAL | $10.28B | 32.3 | 10.5% | 1.8% | $39.08 | |
|
AIT
Applied Industrial...
|
NEUTRAL | $10.58B | 27.17 | 22.1% | 8.6% | $280.14 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2025-10-28 | GOLDMAN BARRY R. | General Counsel | Sale | 4,489 | $1,638,989 |
| 2025-10-24 | ASHE NEIL M | Chief Executive Officer | Stock Award | 50,225 | - |
| 2025-10-24 | HOLCOM KAREN J | Chief Financial Officer | Stock Award | 12,728 | - |
| 2025-10-24 | GOLDMAN BARRY R. | General Counsel | Stock Award | 7,619 | - |
| 2025-10-24 | MILLS DIANNE S | Officer | Stock Award | 6,322 | - |
| 2025-10-24 | GOLDMAN BARRY R. | General Counsel | Option Exercise | 4,687 | $615,472 |
| 2025-10-24 | GOLDMAN BARRY R. | General Counsel | Sale | 4,687 | $1,724,881 |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
8 analysts
Morgan Stanley
2026-01-12
Overweight
Overweight
Morgan Stanley
2025-10-02
Overweight
Overweight
Goldman Sachs
2025-10-02
Neutral
Neutral
Wells Fargo
2025-10-02
Overweight
Overweight
TD Cowen
2025-10-02
Buy
Buy
Oppenheimer
2025-10-02
Outperform
Outperform
Baird
2025-09-25
Neutral
Neutral
Wells Fargo
2025-09-02
Equal-Weight
Overweight
Past News Coverage
Recent headlines mentioning AYI from our newsroom.
Newest → oldest
No matching news yet.