Acuity (NYSE:AYI) Stock Rating Lowered by William Blair

Key Points

• William Blair downgraded Acuity from “outperform” to “market perform,” while the broader analyst consensus remains “Hold” with an average price target of $397.17.
• Acuity’s shares opened at $318.31, down 0.3%, despite the company exceeding quarterly earnings and revenue estimates. Quarterly EPS was $5.31 versus the $5.17 consensus, and revenue rose 1.6% year over year to $1.20 billion.
• Institutional ownership remains very high at 98.21%, with BlackRock establishing a stake worth roughly $1.12 billion; meanwhile, CFO Karen Holcom sold 2,000 shares under a pre-arranged trading plan.

Acuity (NYSE:AYI - Get Free Report) was downgraded by equities research analysts at William Blair from an "outperform" rating to a "market perform" rating in a research report issued to clients and investors on Monday, MarketBeat.com reports.

Other research analysts also recently issued research reports about the company. Wall Street Zen raised Acuity from a "hold" rating to a "buy" rating in a report on Sunday, August 30th. TD Cowen reiterated a "buy" rating on shares of Acuity in a research report on Thursday, June 25th. Oppenheimer set a $465.00 price objective on shares of Acuity in a report on Friday, June 26th. Robert W. Baird lifted their target price on shares of Acuity from $315.00 to $390.00 and gave the stock a "neutral" rating in a report on Friday, June 26th. Finally, The Goldman Sachs Group increased their price target on Acuity from $295.00 to $358.00 and gave the company a "neutral" rating in a research note on Friday, June 26th. Four investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $397.17.

Acuity Stock Down 0.3%

Shares of AYI opened at $318.31 on Monday. The company has a market capitalization of $9.53 billion, a P/E ratio of 21.11, a PEG ratio of 1.56 and a beta of 1.29. Acuity has a one year low of $257.04 and a one year high of $380.17. The business's 50 day simple moving average is $332.70 and its 200-day simple moving average is $310.47. The company has a debt-to-equity ratio of 0.24, a current ratio of 2.05 and a quick ratio of 1.47.

Acuity (NYSE:AYI - Get Free Report) last posted its quarterly earnings data on Thursday, June 25th. The electronics maker reported $5.31 EPS for the quarter, topping analysts' consensus estimates of $5.17 by $0.14. Acuity had a return on equity of 20.26% and a net margin of 10.25%.The company had revenue of $1.20 billion for the quarter, compared to analyst estimates of $1.18 billion. During the same quarter in the previous year, the firm earned $5.12 earnings per share. The business's revenue was up 1.6% on a year-over-year basis. As a group, sell-side analysts predict that Acuity will post 18.49 EPS for the current fiscal year.

Insiders Place Their Bets

In other Acuity news, CFO Karen Holcom sold 2,000 shares of the stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $329.62, for a total value of $659,240.00. Following the completion of the sale, the chief financial officer directly owned 17,447 shares in the company, valued at $5,750,880.14. This represents a 10.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 2.90% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. BlackRock Inc. acquired a new stake in shares of Acuity during the second quarter worth $1,121,983,000. Geode Capital Management LLC boosted its stake in Acuity by 3.8% in the 4th quarter. Geode Capital Management LLC now owns 570,088 shares of the electronics maker's stock worth $205,296,000 after purchasing an additional 20,859 shares during the period. Dimensional Fund Advisors LP increased its holdings in Acuity by 8.2% during the 1st quarter. Dimensional Fund Advisors LP now owns 635,160 shares of the electronics maker's stock worth $177,970,000 after purchasing an additional 47,880 shares in the last quarter. Norges Bank bought a new position in Acuity during the 4th quarter worth about $138,747,000. Finally, Bank of America Corp DE acquired a new stake in shares of Acuity in the 2nd quarter valued at about $106,018,000. Institutional investors own 98.21% of the company's stock.

About Acuity

Acuity, formerly known as Acuity Brands, Inc, is an industrial technology company that develops products and systems for lighting, building management and connected spaces. Its offerings are designed for commercial, institutional, industrial and residential applications, helping customers manage illumination, energy use, occupancy and other aspects of the built environment.

The company's lighting portfolio includes indoor and outdoor fixtures, lighting controls, and related components.

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