Armstrong World Industries (NYSE:AWI) Posts Earnings Results, Beats Estimates By $0.34 EPS

Key Points

• Armstrong World Industries reported quarterly earnings of $2.09 EPS, surpassing analyst expectations by $0.35, with a current guidance for FY 2025 set at 7.150-7.300 EPS.
• The company declared a quarterly dividend of $0.308 per share, yielding 0.73%, with an ex-dividend date set for August 7th.
• Institutional investors hold 98.93% of Armstrong World Industries' stock, indicating significant interest from major financial entities.

Armstrong World Industries (NYSE:AWI - Get Free Report) posted its quarterly earnings data on Tuesday. The construction company reported $2.09 EPS for the quarter, topping analysts' consensus estimates of $1.75 by $0.34, Zacks reports. Armstrong World Industries had a return on equity of 39.80% and a net margin of 18.95%. The company had revenue of $424.60 million for the quarter, compared to the consensus estimate of $404.05 million. During the same quarter in the previous year, the business earned $1.62 EPS. The company's quarterly revenue was up 16.3% compared to the same quarter last year. Armstrong World Industries updated its FY 2025 guidance to 7.150-7.300 EPS.

Armstrong World Industries Stock Up 0.1%

Shares of AWI stock traded up $0.17 on Friday, reaching $188.34. 515,067 shares of the company's stock traded hands, compared to its average volume of 318,745. Armstrong World Industries has a 12-month low of $117.92 and a 12-month high of $191.74. The company has a debt-to-equity ratio of 0.59, a quick ratio of 1.10 and a current ratio of 1.61. The company has a market capitalization of $8.15 billion, a P/E ratio of 27.86, a price-to-earnings-growth ratio of 2.32 and a beta of 1.37. The business's 50 day moving average price is $161.86 and its two-hundred day moving average price is $151.40.

Armstrong World Industries Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, August 21st. Stockholders of record on Thursday, August 7th will be issued a dividend of $0.308 per share. The ex-dividend date is Thursday, August 7th. This represents a $1.23 dividend on an annualized basis and a dividend yield of 0.7%. Armstrong World Industries's payout ratio is currently 18.20%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of AWI. Millennium Management LLC grew its stake in Armstrong World Industries by 571.7% in the first quarter. Millennium Management LLC now owns 117,696 shares of the construction company's stock valued at $16,581,000 after purchasing an additional 100,175 shares in the last quarter. Jones Financial Companies Lllp lifted its stake in shares of Armstrong World Industries by 142.0% in the first quarter. Jones Financial Companies Lllp now owns 3,061 shares of the construction company's stock worth $431,000 after buying an additional 1,796 shares during the last quarter. Goldman Sachs Group Inc. grew its stake in Armstrong World Industries by 63.3% in the 1st quarter. Goldman Sachs Group Inc. now owns 125,181 shares of the construction company's stock valued at $17,636,000 after buying an additional 48,544 shares during the last quarter. Finally, Jane Street Group LLC lifted its position in Armstrong World Industries by 144.2% during the 1st quarter. Jane Street Group LLC now owns 70,136 shares of the construction company's stock worth $9,881,000 after acquiring an additional 41,417 shares during the last quarter. Hedge funds and other institutional investors own 98.93% of the company's stock.

Wall Street Analyst Weigh In

A number of analysts have recently commented on AWI shares. Wall Street Zen raised Armstrong World Industries from a "hold" rating to a "buy" rating in a research note on Saturday, July 26th. UBS Group restated a "neutral" rating and issued a $178.00 target price (up from $158.00) on shares of Armstrong World Industries in a report on Wednesday. JPMorgan Chase & Co. started coverage on Armstrong World Industries in a report on Tuesday, June 24th. They issued an "overweight" rating and a $200.00 target price on the stock. Truist Financial set a $195.00 target price on Armstrong World Industries and gave the stock a "buy" rating in a report on Wednesday. Finally, Evercore ISI lifted their target price on Armstrong World Industries from $157.00 to $182.00 and gave the stock an "in-line" rating in a report on Wednesday. Four investment analysts have rated the stock with a hold rating and five have issued a buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $177.13.

About Armstrong World Industries

Armstrong World Industries, Inc, together with its subsidiaries, engages in the design, manufacture, and sale of ceiling and wall solutions in the Americas. It operates through Mineral Fiber and Architectural Specialties segments. The company offers mineral fiber, fiberglass wool, metal, wood, felt, wood fiber, and glass-reinforced-gypsum; ceiling component products, such as ceiling perimeters and trims, as well as grid products that support drywall ceiling systems; ceilings, walls, and facades for use in commercial settings; and manufactures ceiling suspension system (grid) products.