In the latest trading session, Acuity Brands (AYI) closed at $136.95, marking a -1.47% move from the previous day. This change lagged the S&P 500's daily gain of 0.29%. At the same time, the Dow added 0.17%, and the tech-heavy Nasdaq gained 0.3%.
Heading into today, shares of the lighting maker had gained 12.5% over the past month, outpacing the Construction sector's gain of 6.13% and the S&P 500's gain of 2.99% in that time.
Wall Street will be looking for positivity from AYI as it approaches its next earnings report date. The company is expected to report EPS of $2.84, up 5.97% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.03 billion, down 2.8% from the year-ago period.
Investors should also note any recent changes to analyst estimates for AYI. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. AYI is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, AYI is holding a Forward P/E ratio of 13.47. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 13.47.
We can also see that AYI currently has a PEG ratio of 1.28. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Building Products - Lighting industry currently had an average PEG ratio of 1.01 as of yesterday's close.
The Building Products - Lighting industry is part of the Construction sector. This group has a Zacks Industry Rank of 244, putting it in the bottom 5% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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