Armstrong World Industries, Inc. (NYSE:AWI) Stock Has Average Target Price of $203.12 According to Analysts

Shares of Armstrong World Industries, Inc. (NYSE:AWI) have earned an average rating of “Moderate Buy” from the nine brokerages that are presently covering the company, MarketBeat reports. Two analysts have rated the stock with a hold recommendation and seven have assigned a buy recommendation to the company. The average 1-year price target among brokers that have issued ratings on the stock in the last year is $203.12.

A number of equities analysts recently issued reports on the company. Jefferies Financial Group reissued a “hold” rating and set a $190.00 price target on shares of Armstrong World Industries in a report on Wednesday, July 29th. Weiss Ratings raised Armstrong World Industries from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, October 9th. DA Davidson set a $200.00 price target on Armstrong World Industries in a research note on Wednesday. The Goldman Sachs Group reaffirmed a “buy” rating and set a $225.00 price target on shares of Armstrong World Industries in a report on Wednesday. Finally, JPMorgan Chase & Co. dropped their target price on Armstrong World Industries from $220.00 to $200.00 and set an “overweight” rating on the stock in a research report on Wednesday.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of AWI. BlackRock Inc. purchased a new position in Armstrong World Industries during the 2nd quarter valued at about $827,239,000. Bank of America Corp DE lifted its holdings in shares of Armstrong World Industries by 5.2% in the first quarter. Bank of America Corp DE now owns 457,619 shares of the construction company’s stock valued at $75,416,000 after purchasing an additional 22,477 shares in the last quarter. Arrowstreet Capital Limited Partnership lifted its holdings in shares of Armstrong World Industries by 3.1% in the first quarter. Arrowstreet Capital Limited Partnership now owns 387,256 shares of the construction company’s stock valued at $63,820,000 after purchasing an additional 11,645 shares in the last quarter. Cooke & Bieler LP grew its position in shares of Armstrong World Industries by 71.1% in the third quarter. Cooke & Bieler LP now owns 392,406 shares of the construction company’s stock valued at $63,542,000 after purchasing an additional 163,028 shares during the last quarter. Finally, Bank of New York Mellon Corp purchased a new position in shares of Armstrong World Industries during the 2nd quarter worth approximately $43,412,000. Hedge funds and other institutional investors own 98.93% of the company’s stock.

Armstrong World Industries Price Performance

Shares of NYSE AWI opened at $166.42 on Thursday. The company has a current ratio of 1.45, a quick ratio of 1.06 and a debt-to-equity ratio of 0.55. Armstrong World Industries has a twelve month low of $150.28 and a twelve month high of $206.04. The stock has a 50 day moving average of $166.29 and a two-hundred day moving average of $169.85. The stock has a market cap of $6.96 billion, a P/E ratio of 22.22, a P/E/G ratio of 1.65 and a beta of 1.16.

Armstrong World Industries (NYSE:AWI) last announced its earnings results on Tuesday, October 27th. The construction company reported $2.26 EPS for the quarter, missing analysts’ consensus estimates of $2.39 by ($0.13). The business had revenue of $475.80 million during the quarter, compared to analyst estimates of $472.62 million. Armstrong World Industries had a net margin of 18.38% and a return on equity of 38.06%. The business’s revenue was up 11.9% compared to the same quarter last year. During the same period in the previous year, the firm earned $2.05 earnings per share. On average, research analysts forecast that Armstrong World Industries will post 8.32 earnings per share for the current year.

Armstrong World Industries announced that its board has authorized a share buyback plan on Tuesday, July 21st that allows the company to buy back $800 million in shares. This repurchase authorization allows the construction company to reacquire up to 12.3% of its shares through open market purchases. Stock repurchase plans are usually a sign that the company’s management believes its shares are undervalued.

Armstrong World Industries Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, November 19th. Investors of record on Thursday, November 5th will be paid a $0.3730 dividend. This represents a $1.49 dividend on an annualized basis and a dividend yield of 0.9%. This is a boost from Armstrong World Industries’s previous quarterly dividend of $0.3390. The ex-dividend date is Thursday, November 5th. Armstrong World Industries’s dividend payout ratio (DPR) is presently 18.16%.

About Armstrong World Industries

Armstrong World Industries, Inc is a building products company that designs and manufactures ceiling, wall and other architectural solutions. Its products are used in commercial, institutional and residential spaces to support acoustical performance, interior design, comfort and functionality.

The company’s offerings include mineral fiber, fiberglass, metal and wood ceilings; suspension systems; acoustical clouds and canopies; wall systems; partitions; and specialty architectural products.