4 Analysts Have This To Say About Acuity Brands

Across the recent three months, 4 analysts have shared their insights on Acuity Brands AYI, expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $289.25, a high estimate of $315.00, and a low estimate of $261.00. This upward trend is apparent, with the current average reflecting a 18.91% increase from the previous average price target of $243.25.

Breaking Down Analyst Ratings: A Detailed Examination

An in-depth analysis of recent analyst actions unveils how financial experts perceive Acuity Brands. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Acuity Brands. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Acuity Brands compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Acuity Brands's stock. This comparison reveals trends in analysts' expectations over time.

Capture valuable insights into Acuity Brands's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Acuity Brands analyst ratings.

All You Need to Know About Acuity Brands

Acuity Brands Inc is the parent company of Acuity Brands Lighting and other subsidiaries, which provide lighting products for commercial, institutional, industrial, and residential applications. These products include luminaires, lighting controls, lighting components, and integrated lighting systems that use a combination of light sources. Customers include electrical distributors, electric utilities, retail home improvement centers, and lighting showrooms. A majority of the firms' revenue is generated in the United States.

Unraveling the Financial Story of Acuity Brands

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Growth: Acuity Brands's revenue growth over a period of 3 months has faced challenges. As of 30 November, 2023, the company experienced a revenue decline of approximately -6.33%. This indicates a decrease in the company's top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Acuity Brands's net margin is impressive, surpassing industry averages. With a net margin of 10.76%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Acuity Brands's ROE excels beyond industry benchmarks, reaching 4.93%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Acuity Brands's ROA stands out, surpassing industry averages. With an impressive ROA of 2.93%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: With a below-average debt-to-equity ratio of 0.28, Acuity Brands adopts a prudent financial strategy, indicating a balanced approach to debt management.

Understanding the Relevance of Analyst Ratings

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.