Equities Analysts Offer Predictions for AWI Q2 Earnings

Key Points

• Zacks Research slightly lowered its Q2 2026 EPS estimate for Armstrong World Industries to $2.34 from $2.35, while keeping a broadly constructive longer-term outlook with full-year 2026 EPS near $8.29.
• Armstrong World Industries recently missed Q1 earnings expectations, reporting $1.69 EPS versus $1.82 expected, but revenue was roughly in line at $409.9 million and rose 7.1% year over year.
• Wall Street sentiment remains generally positive: the stock has an average “Moderate Buy” rating with a consensus target price of $211.86, even though some firms trimmed price targets.

Armstrong World Industries, Inc. (NYSE:AWI - Free Report) - Zacks Research reduced their Q2 2026 earnings per share (EPS) estimates for Armstrong World Industries in a report released on Tuesday, May 12th. Zacks Research analyst Team now anticipates that the construction company will post earnings of $2.34 per share for the quarter, down from their previous forecast of $2.35. The consensus estimate for Armstrong World Industries' current full-year earnings is $8.32 per share. Zacks Research also issued estimates for Armstrong World Industries' Q4 2026 earnings at $1.96 EPS, FY2026 earnings at $8.29 EPS and Q4 2027 earnings at $2.15 EPS.

Armstrong World Industries (NYSE:AWI - Get Free Report) last issued its earnings results on Tuesday, April 28th. The construction company reported $1.69 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.82 by ($0.13). Armstrong World Industries had a return on equity of 36.71% and a net margin of 18.59%.The business had revenue of $409.90 million for the quarter, compared to the consensus estimate of $409.46 million. During the same quarter in the previous year, the company earned $1.66 earnings per share. The firm's revenue was up 7.1% on a year-over-year basis. Armstrong World Industries has set its FY 2026 guidance at 8.150-8.450 EPS.

A number of other brokerages also recently commented on AWI. UBS Group reduced their price objective on shares of Armstrong World Industries from $200.00 to $195.00 and set a "neutral" rating for the company in a research note on Wednesday, April 29th. Jefferies Financial Group reaffirmed a "hold" rating on shares of Armstrong World Industries in a research report on Wednesday, February 25th. Bank of America cut their price target on Armstrong World Industries from $216.00 to $210.00 and set a "buy" rating on the stock in a report on Monday, April 20th. Evercore set a $200.00 price objective on Armstrong World Industries in a research note on Tuesday, April 28th. Finally, Weiss Ratings reaffirmed a "buy (b)" rating on shares of Armstrong World Industries in a research report on Monday, April 20th. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $211.86.

Armstrong World Industries Price Performance

NYSE AWI opened at $160.20 on Friday. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.04 and a current ratio of 1.54. The firm's 50 day moving average price is $168.86 and its 200-day moving average price is $182.21. Armstrong World Industries has a 52-week low of $149.06 and a 52-week high of $206.08. The company has a market cap of $6.84 billion, a PE ratio of 22.72, a P/E/G ratio of 1.71 and a beta of 1.21.

Armstrong World Industries Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, May 26th. Shareholders of record on Monday, May 11th will be paid a $0.339 dividend. This represents a $1.36 annualized dividend and a yield of 0.8%. The ex-dividend date is Monday, May 11th. Armstrong World Industries's dividend payout ratio (DPR) is 19.29%.

Hedge Funds Weigh In On Armstrong World Industries

A number of large investors have recently made changes to their positions in the business. Alps Advisors Inc. increased its holdings in shares of Armstrong World Industries by 1,317.0% during the third quarter. Alps Advisors Inc. now owns 36,418 shares of the construction company's stock valued at $7,138,000 after acquiring an additional 33,848 shares in the last quarter. Public Sector Pension Investment Board boosted its stake in Armstrong World Industries by 10.8% in the 3rd quarter. Public Sector Pension Investment Board now owns 208,870 shares of the construction company's stock worth $40,941,000 after purchasing an additional 20,280 shares in the last quarter. Cookson Peirce & Co. Inc. purchased a new stake in Armstrong World Industries during the 3rd quarter worth approximately $1,153,000. Allspring Global Investments Holdings LLC purchased a new stake in Armstrong World Industries during the 4th quarter worth approximately $84,143,000. Finally, American Century Companies Inc. increased its stake in Armstrong World Industries by 66.4% during the 3rd quarter. American Century Companies Inc. now owns 235,018 shares of the construction company's stock valued at $46,066,000 after purchasing an additional 93,770 shares in the last quarter. 98.93% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Armstrong World Industries

Here are the key news stories impacting Armstrong World Industries this week:

• Positive Sentiment: Zacks Research increased its earnings outlook for several future periods, including FY2027 EPS to $9.16 from $9.01 and FY2028 EPS to $9.91 from $9.77, indicating stronger long-term profit potential.
• Positive Sentiment: The firm also lifted near- and medium-term quarterly estimates, including Q3 2026, Q1 2027, Q2 2027, and Q3 2027, which can reinforce confidence in Armstrong World Industries’ operating trend.
• Neutral Sentiment: Zacks slightly cut Q2 2026 EPS to $2.34 from $2.35, a small change that does not materially alter the broader earnings picture.
• Neutral Sentiment: The company recently reported quarterly EPS of $1.69 versus analyst expectations of $1.82, but revenue came in roughly in line and was up 7.1% year over year, so the latest analyst changes appear to be focused more on future earnings than the prior miss.
• Negative Sentiment: Armstrong World Industries is also facing a shareholder investigation announcement from Johnson Fistel, which could create headline risk and add some pressure on sentiment.

About Armstrong World Industries

Armstrong World Industries, Inc is a leading global manufacturer of commercial ceiling and wall solutions. The company offers a diverse portfolio of acoustical, decorative and specialty ceiling systems designed to enhance interior environments in offices, healthcare facilities, schools, retail outlets and other non-residential settings. Through its focus on performance, aesthetics and sustainability, Armstrong World Industries addresses both functional and design requirements for architects, contractors and building owners.

Armstrong's product range includes mineral fiber, fiberglass, wood wool, metal and stone wool ceiling panels, as well as suspension and grid systems.

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