Acuity Stock Story

AYI
 Stock
  

USD 186.80  0.94  0.51%   

Acuity Brands Calculated Tax Rate is most likely to drop in the upcoming years. The last year's value of Calculated Tax Rate was reported at 26.09. The current PPandE Turnover is estimated to increase to 15.63, while Net Income Per Employee is projected to decrease to roughly 20.7 K. There are many examples of prices dropping after a drastic change in one of the basic indicators. In this short article, we will concentrate on a few of Acuity Brands' essential fundamentals. We will evaluate why we are still confident in anticipation of a recovery. The entity almost mirrors the market. We can now examine Acuity as a potential investment option for your portfolios.
Published over a month ago
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Are Acuity Brands (NYSE:AYI) fragile basic indicators contributing to the current drop?

Macroaxis provides advice on Acuity Brands to complement and cross-verify current analyst consensus on Acuity Brands. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Acuity Brands income statement, its balance sheet, and the statement of cash flows. Potential Acuity Brands investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Acuity Brands investors may use each financial statement separately, they are all related. The changes in Acuity Brands's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Acuity Brands's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.
The goal of Acuity Brands fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Acuity Brands performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Acuity Brands shares is the value that is considered the true value of the share. If the intrinsic value of Acuity is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Acuity Brands.
Please read more on our fundamental analysis page.

Are Acuity Brands Earnings Expected to grow?

The future earnings power of Acuity Brands involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Acuity Brands factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Acuity Brands stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Acuity expected earnings.

And What about dividends?

A dividend is the distribution of a portion of Acuity Brands earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Acuity Brands dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Acuity one year expected dividend income is about $0.52 per share.
The current Dividend Yield is estimated to increase to 0.003412, while Payment of Dividends and Other Cash Distributions is projected to decrease to (23.7 M).
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-22 M-23.7 M
Dividend Yield 0.0027  0.003412 
Dividends per Basic Common Share 0.47  0.47 
Investing in dividend-paying stocks, such as Acuity Brands is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Acuity Brands must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Acuity Brands. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for Acuity Brands, but it might be worth checking our own buy vs. sell analysis

Acuity Brands Gross Profit

Acuity Brands Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Acuity Brands previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Acuity Brands Gross Profit growth over the last 10 years.
Please check Gross Profit in more details.

Purchase by Laura OShaughnessy of 575 shares of Acuity Brands

Legal trades by Acuity Brands insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Acuity insider trading alert for perchase of common stock by Laura OShaughnessy, the corporate stakeholder, on 29th of July 2022. This event was filed by Acuity Brands Inc with SEC on 2022-07-29. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Details

Institutional investors typically avoid acquiring a high percentage of Acuity Brands stocks because performing such an act may violate securities laws. They are usually not investing their own money, but rather making investments on behalf of their clients. Let's take a look at how the ownership of Acuity is distributed among investors.

Ownership Allocation

Acuity Brands holds a total of thirty-four million five hundred eighty thousand outstanding shares. The majority of Acuity Brands outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Acuity Brands to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Acuity Brands. Please pay attention to any change in the institutional holdings of Acuity Brands as this could imply that something significant has changed or about to change at the company. Please note that no matter how much assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.


Institutions
96.68%
Retail Investors2.74
Insiders0.58
Institutions96.68
 2019 2020 2021 2022 (projected)
Receivables500.3 M571.8 M514.62 M456.89 M
Inventories320.1 M398.7 M358.83 M302.68 M

Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Acuity Brands has an asset utilization ratio of 126.53 percent. This implies that the company is making $1.27 for each dollar of assets. An increasing asset utilization means that Acuity Brands is more efficient with each dollar of assets it utilizes for everyday operations.


Current Assets
1.6 B
Assets Non Current
2.1 B
Goodwill
1.7 B
Current Assets1.63 Billion30.24
Assets Non Current2.06 Billion38.3
Goodwill1.69 Billion31.43
Tax Assets1.75 Million0.0326

Possible July turnaround of Acuity?

Current market risk adjusted performance is at -0.27. Acuity Brands exhibits very low volatility with skewness of -0.54 and kurtosis of 0.94. However, we advise investors to further study Acuity Brands technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Acuity Brands' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Acuity Brands' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Acuity Brands Implied Volatility

Acuity Brands' implied volatility exposes the market's sentiment of Acuity Brands stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Acuity Brands' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Acuity Brands stock will not fluctuate a lot when Acuity Brands' options are near their expiration.

The Current Takeaway on Acuity Brands Investment

While some other firms in the electrical equipment & parts industry are either recovering or due for a correction, Acuity Brands may not be performing as strong as the other in terms of long-term growth potentials. With an optimistic outlook on your 90 days horizon, it may be a good time to buy new shares of Acuity or increase your existing holdings in the Stock as it seems the potential growth has not yet been fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Acuity Brands.

Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Gabriel Shpitalnik do not own shares of Acuity Brands. Please refer to our Terms of Use for any information regarding our disclosure principles.

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