(AYI) Acuity Brands - Overview
Sector: Industrials | Industry: Electrical Equipment & Parts | Exchange: NYSE (USA) | Market Cap: 8.538m USD | Total Return: 0.6% in 12m
Industry Rotation: -14.4
Avg Turnover: 82.1M
EPS Trend: 70.3%
Qual. Beats: 0
Rev. Trend: 37.2%
Qual. Beats: -1
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Acuity Inc. (NYSE: AYI) is a diversified industrial technology company specializing in lighting solutions and building management systems. The company operates through two primary segments: Acuity Brands Lighting (ABL) and Acuity Intelligent Spaces (AIS). ABL focuses on commercial and industrial luminaires and electronic components, while AIS provides building automation software, HVAC controls, and integrated audio-video platforms.
The business model relies on a multi-channel distribution strategy, selling through electrical distributors, retail chains, and specialized system integrators. In the current market, companies in the Electrical Components & Equipment sub-industry are increasingly shifting toward smart infrastructure, integrating Internet of Things (IoT) sensors into traditional lighting fixtures to improve energy efficiency for enterprise clients.
Headquartered in Atlanta, Georgia, the firm recently rebranded from Acuity Brands, Inc. to Acuity Inc. to reflect its expanding portfolio in digital building technologies and professional audio systems. You can further examine the companys valuation metrics and historical growth trends at ValueRay.
- Non-residential construction spending cycles dictate volume for Acuity Brands Lighting segment
- Expansion of Intelligent Spaces Group margins offsets cyclical lighting hardware volatility
- Adoption of energy-efficient LED retrofits drives replacement demand in aging infrastructure
- Input cost fluctuations in aluminum and electronics impact overall gross profit margins
- Integration of Q-SYS platform expands high-margin software and control systems revenue streams
| Net Income: 429.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.12 > 0.02 and ΔFCF/TA 2.32 > 1.0 |
| NWC/Revenue: 16.94% < 20% (prev 19.14%; Δ -2.20% < -1%) |
| CFO/TA 0.14 > 3% & CFO 639.7m > Net Income 429.7m |
| Net Debt (535.7m) to EBITDA (697.0m): 0.77 < 3 |
| Current Ratio: 2.07 > 1.5 & < 3 |
| Outstanding Shares: last quarter (31.4m) vs 12m ago -1.07% < -2% |
| Gross Margin: 48.73% > 18% (prev 0.47%; Δ 4.83k% > 0.5%) |
| Asset Turnover: 100.4% > 50% (prev 86.39%; Δ 13.98% > 0%) |
| Interest Coverage Ratio: 10.61 > 6 (EBITDA TTM 697.0m / Interest Expense TTM 42.2m) |
| A: 0.17 (Total Current Assets 1.51b - Total Current Liabilities 728.1m) / Total Assets 4.56b |
| B: 0.99 (Retained Earnings 4.49b / Total Assets 4.56b) |
| C: 0.10 (EBIT TTM 447.8m / Avg Total Assets 4.57b) |
| D: 2.58 (Book Value of Equity 4.43b / Total Liabilities 1.72b) |
| Altman-Z'' Score: 7.70 = AAA |
| DSRI: 0.87 (Receivables 579.0m/577.6m, Revenue 4.59b/3.96b) |
| GMI: 0.96 (GM 48.73% / 46.94%) |
| AQI: 1.00 (AQ_t 0.57 / AQ_t-1 0.57) |
| SGI: 1.16 (Revenue 4.59b / 3.96b) |
| TATA: -0.05 (NI 429.7m - CFO 639.7m) / TA 4.56b) |
| Beneish M-Score: -3.10 (Cap -4..+1) = AA |
Over the past week, the price has changed by -5.59%, over one month by -8.25%, over three months by -12.77% and over the past year by +0.61%.
- StrongBuy: 3
- Buy: 2
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 352.5 | 29.6% |
P/E Forward = 13.8504
P/S = 1.8612
P/B = 3.1302
P/EG = 1.2199
Revenue TTM = 4.59b USD
EBIT TTM = 447.8m USD
EBITDA TTM = 697.0m USD
Long Term Debt = 697.1m USD (from longTermDebt, last quarter)
Short Term Debt = 26.3m USD (from shortTermDebt, last quarter)
Debt = 808.2m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 535.7m USD (from netDebt column, last quarter)
Enterprise Value = 9.07b USD (8.54b + Debt 808.2m - CCE 272.5m)
Interest Coverage Ratio = 10.61 (Ebit TTM 447.8m / Interest Expense TTM 42.2m)
EV/FCF = 16.26x (Enterprise Value 9.07b / FCF TTM 558.1m)
FCF Yield = 6.15% (FCF TTM 558.1m / Enterprise Value 9.07b)
FCF Margin = 12.17% (FCF TTM 558.1m / Revenue TTM 4.59b)
Net Margin = 9.37% (Net Income TTM 429.7m / Revenue TTM 4.59b)
Gross Margin = 48.73% ((Revenue TTM 4.59b - Cost of Revenue TTM 2.35b) / Revenue TTM)
Gross Margin QoQ = 49.29% (prev 48.42%)
Tobins Q-Ratio = 1.99 (Enterprise Value 9.07b / Total Assets 4.56b)
Interest Expense / Debt = 0.87% (Interest Expense 7.00m / Debt 808.2m)
Taxrate = 21.24% (26.1m / 122.9m)
NOPAT = 352.7m (EBIT 447.8m * (1 - 21.24%))
Current Ratio = 2.07 (Total Current Assets 1.51b / Total Current Liabilities 728.1m)
Debt / Equity = 0.28 (Debt 808.2m / totalStockholderEquity, last quarter 2.84b)
Debt / EBITDA = 0.77 (Net Debt 535.7m / EBITDA 697.0m)
Debt / FCF = 0.96 (Net Debt 535.7m / FCF TTM 558.1m)
Total Stockholder Equity = 2.74b (last 4 quarters mean from totalStockholderEquity)
RoA = 9.40% (Net Income 429.7m / Total Assets 4.56b)
RoE = 15.71% (Net Income TTM 429.7m / Total Stockholder Equity 2.74b)
RoCE = 13.04% (EBIT 447.8m / Capital Employed (Equity 2.74b + L.T.Debt 697.1m))
RoIC = 9.84% (NOPAT 352.7m / Invested Capital 3.58b)
WACC = 10.24% (E(8.54b)/V(9.35b) * Re(11.15%) + D(808.2m)/V(9.35b) * Rd(0.87%) * (1-Tc(0.21)))
Discount Rate = 11.15% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 20.0 | Cagr: -0.00%
[DCF] Terminal Value 71.94% ; FCFF base≈516.7m ; Y1≈555.7m ; Y5≈681.9m
[DCF] Fair Price = 255.3 (EV 8.27b - Net Debt 535.7m = Equity 7.74b / Shares 30.3m; r=10.24% [WACC]; 5y FCF grow 8.48% → 3.0% )
EPS Correlation: 70.28 | EPS CAGR: 4.42% | SUE: 0.27 | # QB: 0
Revenue Correlation: 37.21 | Revenue CAGR: -0.12% | SUE: -1.34 | # QB: -1
EPS current Quarter (2026-05-31): EPS=5.16 | Chg30d=-2.52% | Revisions=-45% | Analysts=8
EPS current Year (2026-08-31): EPS=19.52 | Chg30d=-1.12% | Revisions=-67% | GrowthEPS=+8.4% | GrowthRev=+6.5%
EPS next Year (2027-08-31): EPS=21.28 | Chg30d=-1.69% | Revisions=-54% | GrowthEPS=+9.0% | GrowthRev=+5.1%
[Analyst] Revisions Ratio: -67%