Armstrong World Industries (NYSE:AWI) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Wednesday. The firm currently has a $65.00 price objective on the construction company’s stock. Zacks Investment Research‘s price objective points to a potential upside of 8.51% from the company’s current price.
According to Zacks, “Armstrong World’s first-quarter adjusted earnings per share and revenues both improved on a year-over-year basis but missed the respective Zacks Consensus Estimate. For 2018, the company expects net sales to grow 5-7% aided by a modest upturn in volume and average unit value (AUV) improvement. The company raised EPS guidance to $3.60-$3.82, reflecting a 19-27% growth year over year. Results will also be supported by price increases, strong repair and remodel activity along with the continuation of positive new building construction activity. Productivity improvements in plants and focus on restructuring activities will aid the bottom line. Also, continued sales leverage and capital investments at Tectum will fortify its Architectural Specialty business. Moreover, investment in new products, segment reclassification and strong balance sheet will drive Armstrong World’s growth. Over the past year, the stock has outperformed the industry.”
Several other brokerages have also recently commented on AWI. Jefferies Group reaffirmed a “hold” rating and set a $66.00 target price on shares of Armstrong World Industries in a report on Wednesday, January 17th. JPMorgan Chase cut shares of Armstrong World Industries from a “neutral” rating to an “underweight” rating in a report on Wednesday, March 7th. Stephens reaffirmed a “hold” rating and set a $64.00 target price on shares of Armstrong World Industries in a report on Thursday, March 1st. SunTrust Banks reaffirmed a “buy” rating and set a $67.00 target price on shares of Armstrong World Industries in a report on Monday, February 26th. Finally, Goldman Sachs raised shares of Armstrong World Industries from a “sell” rating to a “neutral” rating in a research note on Wednesday, April 4th. Two equities research analysts have rated the stock with a sell rating, seven have issued a hold rating and four have given a buy rating to the stock. The company has an average rating of “Hold” and a consensus target price of $62.00.
Armstrong World Industries (NYSE:AWI) last announced its earnings results on Monday, April 30th. The construction company reported $0.79 EPS for the quarter, missing the Thomson Reuters’ consensus estimate of $0.81 by ($0.02). Armstrong World Industries had a return on equity of 41.44% and a net margin of 13.54%. The business had revenue of $227.30 million for the quarter, compared to the consensus estimate of $231.35 million. During the same period in the prior year, the business posted $0.55 earnings per share. The firm’s revenue for the quarter was up 3.4% compared to the same quarter last year. equities analysts predict that Armstrong World Industries will post 3.7 EPS for the current year.
A number of large investors have recently made changes to their positions in AWI. Flinton Capital Management LLC bought a new position in Armstrong World Industries in the first quarter valued at approximately $102,000. Riverhead Capital Management LLC bought a new position in Armstrong World Industries in the first quarter valued at approximately $113,000. Cerebellum GP LLC bought a new position in Armstrong World Industries in the fourth quarter valued at approximately $129,000. Meadow Creek Investment Management LLC bought a new position in Armstrong World Industries in the first quarter valued at approximately $140,000. Finally, Captrust Financial Advisors bought a new position in Armstrong World Industries in the fourth quarter valued at approximately $147,000.
Armstrong World Industries Company Profile
Armstrong World Industries, Inc designs, manufactures, and sells ceiling systems primarily for use in the construction and renovation of residential and commercial buildings worldwide. It principally offers mineral fiber, fiberglass wool, and metal ceiling systems. The company produces suspended mineral fiber and soft fiber ceiling systems; suspension system (grid) and ceiling component products; and acoustical ceiling, wall, and structural solutions.
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