Armstrong World Industries (NYSE:AWI) Reaches New 12-Month High Following Analyst Upgrade

Key Points

• Armstrong World Industries' stock hit a new 52-week high of $201.72 after Bank of America raised its price target from $205.00 to $220.00, reflecting a buy rating.
• Analyst sentiments are mixed, with five firms rating the stock as a buy and four issuing holds, while the average price target is set at $187.75.
• The company reported strong quarterly earnings, with a net margin of 18.95% and a year-over-year revenue increase of 16.3%, contributing to positive analyst outlooks.

Shares of Armstrong World Industries, Inc. (NYSE:AWI - Get Free Report) reached a new 52-week high on Tuesday after Bank of America raised their price target on the stock from $205.00 to $220.00. Bank of America currently has a buy rating on the stock. Armstrong World Industries traded as high as $201.72 and last traded at $198.70, with a volume of 16892 shares trading hands. The stock had previously closed at $199.92.

Several other research firms also recently commented on AWI. JPMorgan Chase & Co. assumed coverage on shares of Armstrong World Industries in a report on Tuesday, June 24th. They set an "overweight" rating and a $200.00 price objective for the company. UBS Group reissued a "neutral" rating and set a $178.00 price target (up from $158.00) on shares of Armstrong World Industries in a research note on Wednesday, July 30th. Truist Financial lifted their price objective on Armstrong World Industries from $195.00 to $230.00 and gave the stock a "buy" rating in a research note on Friday, September 12th. Wall Street Zen downgraded shares of Armstrong World Industries from a "buy" rating to a "hold" rating in a research note on Saturday, September 20th. Finally, Evercore ISI increased their price target on shares of Armstrong World Industries from $157.00 to $182.00 and gave the company an "in-line" rating in a report on Wednesday, July 30th. Five research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat.com, Armstrong World Industries currently has an average rating of "Moderate Buy" and a consensus price target of $187.75.

Hedge Funds Weigh In On Armstrong World Industries

Several institutional investors have recently made changes to their positions in the company. Quantbot Technologies LP bought a new position in Armstrong World Industries during the 1st quarter worth about $2,508,000. Versor Investments LP bought a new position in shares of Armstrong World Industries during the first quarter valued at approximately $596,000. Wealth Enhancement Advisory Services LLC increased its holdings in Armstrong World Industries by 113.6% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 4,773 shares of the construction company's stock valued at $672,000 after buying an additional 2,538 shares during the period. Dynamic Advisor Solutions LLC raised its position in shares of Armstrong World Industries by 194.2% in the 1st quarter. Dynamic Advisor Solutions LLC now owns 4,848 shares of the construction company's stock worth $683,000 after acquiring an additional 3,200 shares in the last quarter. Finally, Andina Capital Management LLC bought a new stake in shares of Armstrong World Industries in the 1st quarter valued at about $455,000. Hedge funds and other institutional investors own 98.93% of the company's stock.

Armstrong World Industries Stock Performance

The company has a current ratio of 1.61, a quick ratio of 1.11 and a debt-to-equity ratio of 0.59. The stock has a market cap of $8.60 billion, a PE ratio of 29.42, a P/E/G ratio of 2.16 and a beta of 1.45. The business's 50-day moving average price is $194.31 and its 200-day moving average price is $166.58.

Armstrong World Industries (NYSE:AWI - Get Free Report) last announced its earnings results on Tuesday, July 29th. The construction company reported $2.09 earnings per share for the quarter, beating the consensus estimate of $1.75 by $0.34. The company had revenue of $424.60 million during the quarter, compared to the consensus estimate of $404.05 million. Armstrong World Industries had a net margin of 18.95% and a return on equity of 39.80%. Armstrong World Industries's revenue was up 16.3% compared to the same quarter last year. During the same period last year, the firm earned $1.62 earnings per share. Armstrong World Industries has set its FY 2025 guidance at 7.150-7.300 EPS. As a group, equities research analysts expect that Armstrong World Industries, Inc. will post 6.18 earnings per share for the current fiscal year.

Armstrong World Industries Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 21st. Shareholders of record on Thursday, August 7th were paid a $0.308 dividend. The ex-dividend date was Thursday, August 7th. This represents a $1.23 dividend on an annualized basis and a yield of 0.6%. Armstrong World Industries's dividend payout ratio (DPR) is 18.20%.

Armstrong World Industries Company Profile

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.

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