Research Analysts Offer Predictions for AWI Q3 Earnings

Key Points

• Zacks Research raised Armstrong World Industries’ Q3 2026 EPS estimate to $2.36 from $2.30, with FY2027 and FY2028 forecasts also increased to $9.38 and $10.12, respectively.
• Armstrong recently exceeded quarterly expectations, reporting $2.36 EPS versus the $2.25 consensus and $472 million in revenue, up 11.2% year over year. Management’s FY2026 guidance remains $8.30–$8.50 EPS.
• The company authorized an $800 million share-repurchase program, potentially covering 12.3% of outstanding shares, and maintains a quarterly dividend of $0.339 per share. Analysts collectively rate the stock “Moderate Buy,” with an average price target of $213.

Armstrong World Industries, Inc. (NYSE:AWI - Free Report) - Research analysts at Zacks Research boosted their Q3 2026 earnings estimates for shares of Armstrong World Industries in a research report issued on Tuesday, August 18th. Zacks Research analyst Team now anticipates that the construction company will earn $2.36 per share for the quarter, up from their previous forecast of $2.30. The consensus estimate for Armstrong World Industries' current full-year earnings is $8.39 per share. Zacks Research also issued estimates for Armstrong World Industries' Q4 2026 earnings at $1.97 EPS, Q1 2027 earnings at $2.18 EPS, Q2 2027 earnings at $2.51 EPS, Q3 2027 earnings at $2.49 EPS, Q4 2027 earnings at $2.19 EPS, FY2027 earnings at $9.38 EPS, Q1 2028 earnings at $2.40 EPS, Q2 2028 earnings at $2.67 EPS and FY2028 earnings at $10.12 EPS.

Armstrong World Industries (NYSE:AWI - Get Free Report) last issued its quarterly earnings data on Tuesday, July 28th. The construction company reported $2.36 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.25 by $0.11. The company had revenue of $472.00 million during the quarter, compared to analysts' expectations of $461.67 million. Armstrong World Industries had a return on equity of 37.35% and a net margin of 18.60%.The business's revenue was up 11.2% on a year-over-year basis. During the same quarter in the previous year, the company posted $2.09 earnings per share. Armstrong World Industries has set its FY 2026 guidance at 8.300-8.500 EPS.

AWI has been the topic of a number of other reports. Weiss Ratings lowered Armstrong World Industries from a "buy (b)" rating to a "buy (b-)" rating in a report on Thursday, June 4th. Evercore set a $200.00 target price on Armstrong World Industries in a report on Tuesday, April 28th. UBS Group reissued a "neutral" rating and issued a $203.00 target price on shares of Armstrong World Industries in a research report on Wednesday, July 29th. Finally, Jefferies Financial Group restated a "hold" rating and issued a $190.00 price target on shares of Armstrong World Industries in a research note on Wednesday, July 29th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, Armstrong World Industries has an average rating of "Moderate Buy" and an average price target of $213.00.

Armstrong World Industries Stock Performance

NYSE:AWI opened at $177.68 on Wednesday. The stock has a 50 day simple moving average of $164.72 and a 200 day simple moving average of $169.28. The stock has a market cap of $7.51 billion, a P/E ratio of 24.34, a PEG ratio of 1.77 and a beta of 1.16. Armstrong World Industries has a 1-year low of $150.28 and a 1-year high of $206.08. The company has a current ratio of 1.52, a quick ratio of 1.06 and a debt-to-equity ratio of 0.58.

Armstrong World Industries declared that its board has approved a share repurchase program on Tuesday, July 21st that allows the company to buyback $800.00 million in shares. This buyback authorization allows the construction company to buy up to 12.3% of its shares through open market purchases. Shares buyback programs are generally a sign that the company's board believes its shares are undervalued.

Armstrong World Industries Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Shareholders of record on Wednesday, August 5th will be issued a $0.339 dividend. This represents a $1.36 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend is Wednesday, August 5th. Armstrong World Industries's dividend payout ratio (DPR) is currently 18.63%.

Hedge Funds Weigh In On Armstrong World Industries

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Archer Investment Corp acquired a new stake in shares of Armstrong World Industries during the 2nd quarter worth approximately $134,000. Beacon Pointe Advisors LLC acquired a new stake in shares of Armstrong World Industries in the 2nd quarter valued at $211,000. Empowered Funds LLC acquired a new stake in shares of Armstrong World Industries in the 2nd quarter valued at $801,000. Public Employees Retirement System of Ohio bought a new position in shares of Armstrong World Industries in the 2nd quarter valued at $2,156,000. Finally, Capstone Investment Advisors LLC bought a new position in shares of Armstrong World Industries in the 2nd quarter valued at $244,000. 98.93% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Armstrong World Industries

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

• Positive Sentiment: Zacks Research raised its EPS forecasts across multiple future periods, including Q3 2026 to $2.36 from $2.30, Q2 2027 to $2.51 from $2.42, and Q3 2027 to $2.49 from $2.43.
• Positive Sentiment: Full-year estimates were also increased: FY2027 EPS rose to $9.38 from $9.16, while FY2028 EPS increased to $10.12 from $9.91. Smaller upward revisions were made to Q4 2026, Q1 2027, Q4 2027, Q1 2028 and Q2 2028 forecasts.
• Positive Sentiment: The revisions indicate that Zacks sees stronger-than-previously-expected earnings momentum over the next several years. The current-year consensus remains $8.39 per share, while the company’s FY2026 guidance is $8.30–$8.50 EPS.
• Neutral Sentiment: The estimate increases are relatively modest and apply primarily to future periods, so they may have limited immediate impact unless other analysts follow with similar upgrades.

Armstrong World Industries Company Profile

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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