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

Shares of Armstrong World Industries, Inc. (NYSE:AWI) have been given an average recommendation of “Moderate Buy” by the nine brokerages that are currently covering the firm, Marketbeat.com reports. Two research analysts have rated the stock with a hold recommendation and seven have given a buy recommendation to the company. The average 1 year price objective among brokerages that have updated their coverage on the stock in the last year is $203.12.

AWI has been the subject of several recent analyst reports. Weiss Ratings raised shares of Armstrong World Industries from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, October 9th. Truist Financial reduced their price target on shares of Armstrong World Industries from $230.00 to $210.00 and set a “buy” rating for the company in a report on Wednesday, October 28th. DA Davidson set a $200.00 price target on shares of Armstrong World Industries in a research note on Wednesday, October 28th. UBS Group dropped their price objective on shares of Armstrong World Industries from $203.00 to $190.00 and set a “neutral” rating on the stock in a report on Wednesday, October 28th. Finally, The Goldman Sachs Group reissued a “buy” rating and set a $225.00 price objective on shares of Armstrong World Industries in a research report on Wednesday, October 28th.

Hedge Funds Weigh In On Armstrong World Industries

A number of institutional investors have recently modified their holdings of the company. BlackRock Inc. purchased a new stake in shares of Armstrong World Industries during the second quarter valued at approximately $827,239,000. Bank of America Corp DE bought a new stake in Armstrong World Industries during the second quarter worth $74,556,000. Cooke & Bieler LP boosted its position in Armstrong World Industries by 71.1% in the third quarter. Cooke & Bieler LP now owns 392,406 shares of the construction company’s stock worth $63,542,000 after purchasing an additional 163,028 shares during the last quarter. Arrowstreet Capital Limited Partnership boosted its position in 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 worth $63,820,000 after purchasing an additional 11,645 shares during the last quarter. Finally, Bank of New York Mellon Corp bought a new position in Armstrong World Industries in the 2nd quarter valued at $43,412,000. 98.93% of the stock is owned by institutional investors and hedge funds.

Armstrong World Industries Stock Performance

AWI stock opened at $176.23 on Thursday. The stock has a 50-day moving average price of $165.91 and a 200-day moving average price of $169.48. Armstrong World Industries has a 1-year low of $150.28 and a 1-year high of $206.04. The company has a current ratio of 1.45, a quick ratio of 0.99 and a debt-to-equity ratio of 0.55. The firm has a market cap of $7.37 billion, a PE ratio of 23.53, a price-to-earnings-growth ratio of 1.69 and a beta of 1.14.

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 the consensus estimate of $2.39 by ($0.13). Armstrong World Industries had a net margin of 18.38% and a return on equity of 38.06%. The business had revenue of $475.80 million for the quarter, compared to the consensus estimate of $472.62 million. During the same quarter in the previous year, the company earned $2.05 EPS. The firm’s revenue for the quarter was up 11.9% on a year-over-year basis. As a group, equities research analysts expect that Armstrong World Industries will post 8.32 earnings per share for the current year.

Armstrong World Industries Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Shareholders 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 yield of 0.8%. This is a boost from Armstrong World Industries’s previous quarterly dividend of $0.3390. The ex-dividend date of this dividend is Thursday, November 5th. Armstrong World Industries’s payout ratio is 19.89%.

Armstrong World Industries announced that its Board of Directors has approved a share buyback plan on Tuesday, July 21st that permits the company to repurchase $800 million in outstanding shares. This repurchase authorization permits the construction company to purchase up to 12.3% of its shares through open market purchases. Share repurchase plans are generally an indication that the company’s management believes its stock is undervalued.

Armstrong World Industries Company Profile

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.