Armstrong World Industries Stock Current Valuation
| AWI Stock | USD 114.88 3.97 3.34% |
Valuation analysis of Armstrong World Indu helps investors to measure Armstrong World's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. The Armstrong World's current Enterprise Value Over EBITDA is estimated to increase to 16.10. The Armstrong World's current Enterprise Value Multiple is estimated to increase to 16.10. Fundamental drivers impacting Armstrong World's valuation include:
Price Book 8.6751 | Enterprise Value 5.8 B | Enterprise Value Ebitda 13.4898 | Price Sales 3.9638 | Forward PE 20.4499 |
Overvalued
Today
Please note that Armstrong World's price fluctuation is very steady at this time. Calculation of the real value of Armstrong World Indu is based on 3 months time horizon. Increasing Armstrong World's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Armstrong World Industries is useful when determining the fair value of the Armstrong stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Armstrong World. Since Armstrong World is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Armstrong Stock. However, Armstrong World's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 114.88 | Real 109.71 | Target 85.22 | Hype 114.82 | Naive 116.52 |
The real value of Armstrong Stock, also known as its intrinsic value, is the underlying worth of Armstrong World Indu Company, which is reflected in its stock price. It is based on Armstrong World's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Armstrong World's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Armstrong World's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Armstrong World Industries helps investors to forecast how Armstrong stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Armstrong World more accurately as focusing exclusively on Armstrong World's fundamentals will not take into account other important factors: Armstrong World Industries Company Current Valuation Analysis
Armstrong World's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Armstrong World Current Valuation | 5.78 B |
Most of Armstrong World's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Armstrong World Industries is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Armstrong Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Armstrong World is extremely important. It helps to project a fair market value of Armstrong Stock properly, considering its historical fundamentals such as Current Valuation. Since Armstrong World's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Armstrong World's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Armstrong World's interrelated accounts and indicators.
Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Armstrong World Industries has a Current Valuation of 5.78 B. This is 20.65% lower than that of the Building Products sector and significantly higher than that of the Industrials industry. The current valuation for all United States stocks is 65.24% higher than that of the company.
Armstrong Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Armstrong World's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Armstrong World could also be used in its relative valuation, which is a method of valuing Armstrong World by comparing valuation metrics of similar companies.Armstrong World is currently under evaluation in current valuation category among related companies.
Armstrong Fundamentals
| Return On Equity | 0.4 | ||||
| Return On Asset | 0.0934 | ||||
| Profit Margin | 0.17 % | ||||
| Operating Margin | 0.16 % | ||||
| Current Valuation | 5.78 B | ||||
| Shares Outstanding | 43.81 M | ||||
| Shares Owned By Insiders | 1.34 % | ||||
| Shares Owned By Institutions | 98.66 % | ||||
| Number Of Shares Shorted | 468.79 K | ||||
| Price To Earning | 22.26 X | ||||
| Price To Book | 8.68 X | ||||
| Price To Sales | 3.96 X | ||||
| Revenue | 1.3 B | ||||
| Gross Profit | 449.1 M | ||||
| EBITDA | 323.7 M | ||||
| Net Income | 223.7 M | ||||
| Cash And Equivalents | 106 M | ||||
| Cash Per Share | 1.90 X | ||||
| Total Debt | 640.4 M | ||||
| Debt To Equity | 1.38 % | ||||
| Current Ratio | 1.66 X | ||||
| Book Value Per Share | 13.48 X | ||||
| Cash Flow From Operations | 233.5 M | ||||
| Short Ratio | 1.06 X | ||||
| Earnings Per Share | 4.99 X | ||||
| Price To Earnings To Growth | 1.66 X | ||||
| Target Price | 118.89 | ||||
| Number Of Employees | 3.1 K | ||||
| Beta | 1.11 | ||||
| Market Capitalization | 5.21 B | ||||
| Total Asset | 1.67 B | ||||
| Retained Earnings | 1.35 B | ||||
| Working Capital | 118.5 M | ||||
| Current Asset | 880.8 M | ||||
| Current Liabilities | 436.3 M | ||||
| Annual Yield | 0.01 % | ||||
| Net Asset | 1.67 B | ||||
| Last Dividend Paid | 1.07 |
About Armstrong World Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Armstrong World Industries's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Armstrong World using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Armstrong World Industries based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Armstrong World
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Armstrong World position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Armstrong World will appreciate offsetting losses from the drop in the long position's value.Moving together with Armstrong Stock
| 0.78 | NX | Quanex Building Products Financial Report 6th of June 2024 | PairCorr |
| 0.78 | TT | Trane Technologies plc Buyout Trend | PairCorr |
| 0.81 | DOOR | Masonite International Financial Report 13th of May 2024 | PairCorr |
The ability to find closely correlated positions to Armstrong World could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Armstrong World when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Armstrong World - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Armstrong World Industries to buy it.
The correlation of Armstrong World is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Armstrong World moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Armstrong World Indu moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Armstrong World can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Armstrong World Piotroski F Score and Armstrong World Altman Z Score analysis. You can also try the Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
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When running Armstrong World's price analysis, check to measure Armstrong World's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Armstrong World is operating at the current time. Most of Armstrong World's value examination focuses on studying past and present price action to predict the probability of Armstrong World's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Armstrong World's price. Additionally, you may evaluate how the addition of Armstrong World to your portfolios can decrease your overall portfolio volatility.
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Is Armstrong World's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Armstrong World. If investors know Armstrong will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Armstrong World listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.01) | Dividend Share 1.068 | Earnings Share 4.99 | Revenue Per Share 28.975 | Quarterly Revenue Growth 0.026 |
The market value of Armstrong World Indu is measured differently than its book value, which is the value of Armstrong that is recorded on the company's balance sheet. Investors also form their own opinion of Armstrong World's value that differs from its market value or its book value, called intrinsic value, which is Armstrong World's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Armstrong World's market value can be influenced by many factors that don't directly affect Armstrong World's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Armstrong World's value and its price as these two are different measures arrived at by different means. Investors typically determine if Armstrong World is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Armstrong World's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.