📊 AYI Key Takeaways
Investment Thesis
Acuity demonstrates solid operational fundamentals with strong revenue growth (13.1% YoY) and healthy profitability margins, supported by robust cash flow generation and a conservative capital structure. However, declining net income and EPS despite top-line growth, combined with modest return metrics (ROE 4.3%, ROA 2.6%), suggest margin pressure and capital efficiency concerns that warrant caution.
AYI Strengths
- Strong revenue growth of 13.1% YoY demonstrates market demand and business expansion
- Robust free cash flow of $114.8M with 10% FCF margin indicates quality earnings and cash generation ability
- Conservative balance sheet with 0.29x debt-to-equity ratio and 12.4x interest coverage ratio provides financial flexibility
- Healthy liquidity position with 2.07x current ratio and $376.1M cash
- Solid gross margin of 48.4% reflects pricing power and operational efficiency
AYI Risks
- Net income declining 6.2% YoY despite 13.1% revenue growth indicates margin compression and cost inflation concerns
- Diluted EPS declined 6.8% YoY, signaling profitability deterioration and potential shareholder value concerns
- Low return on equity (4.3%) and return on assets (2.6%) suggest inefficient capital deployment relative to asset base
- Operating margin of 14% is moderate, leaving limited flexibility for cost pressures or competitive challenges
- High insider trading activity (9 Form 4 filings in 90 days) warrants monitoring for potential adverse signaling
Key Metrics to Watch
- Operating margin trend and gross margin stability
- Net income growth reconciliation with revenue growth
- Free cash flow sustainability and capital allocation decisions
- Return on equity improvement trajectory
- Debt levels and leverage ratios given capital-intensive industry
AYI Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 2.07x current ratio provides a solid financial cushion.
AYI Profitability Ratios
AYI vs Default Sector
How ACUITY INC. (DE) compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
AYI Balance Sheet & Liquidity
AYI 5-Year Financial Trend
5-Year Trend Summary: ACUITY INC. (DE)'s revenue has grown significantly by 18% over the 5-year period, indicating strong business expansion. The most recent EPS of $10.76 reflects profitable operations.
AYI Growth Metrics (YoY)
AYI Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $951.6M | $106.7M | $3.35 |
| Q3 2025 | $968.1M | $77.5M | $3.12 |
| Q2 2025 | $905.9M | $77.5M | $2.45 |
| Q1 2025 | $934.7M | $100.6M | $3.21 |
| Q3 2024 | $968.1M | $74.9M | $3.28 |
| Q2 2024 | $905.9M | $74.9M | N/A |
| Q1 2024 | $934.7M | $74.9M | N/A |
| Q3 2023 | $1.0B | $74.9M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
AYI Capital Allocation
AYI SEC Filings
Access official SEC EDGAR filings for ACUITY INC. (DE) (CIK: 0001144215)
📋 Recent SEC Filings
❓ Frequently Asked Questions about AYI
What is the AI rating for AYI?
ACUITY INC. (DE) (AYI) has an AI rating of HOLD with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are AYI's key strengths?
Strong revenue growth of 13.1% YoY demonstrates market demand and business expansion. Robust free cash flow of $114.8M with 10% FCF margin indicates quality earnings and cash generation ability.
What are the risks of investing in AYI?
Net income declining 6.2% YoY despite 13.1% revenue growth indicates margin compression and cost inflation concerns. Diluted EPS declined 6.8% YoY, signaling profitability deterioration and potential shareholder value concerns.
What is AYI's revenue and growth?
ACUITY INC. (DE) reported revenue of $1.1B.
Does AYI pay dividends?
ACUITY INC. (DE) pays dividends, with $5.3M distributed to shareholders in the trailing twelve months.
Where can I find AYI SEC filings?
Official SEC filings for ACUITY INC. (DE) (CIK: 0001144215) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AYI's EPS?
ACUITY INC. (DE) has a diluted EPS of $3.82.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.