Armstrong World Industries Stock Profit Margin

AWI Stock  USD 157.09  2.68  1.74%   
Armstrong World Industries fundamentals help investors to digest information that contributes to Armstrong World's financial success or failures. It also enables traders to predict the movement of Armstrong Stock. The fundamental analysis module provides a way to measure Armstrong World's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Armstrong World stock.
Last ReportedProjected for Next Year
Net Profit Margin 0.17  0.18 
As of now, Armstrong World's Pretax Profit Margin is increasing as compared to previous years. The Armstrong World's current Operating Profit Margin is estimated to increase to 0.26, while Gross Profit Margin is projected to decrease to 0.23.
  
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Armstrong World Industries Company Profit Margin Analysis

Armstrong World's Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.

Profit Margin

 = 

Net Income

Revenue

X

100

More About Profit Margin | All Equity Analysis

Current Armstrong World Profit Margin

    
  0.18 %  
Most of Armstrong World's fundamental indicators, such as Profit Margin, 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 Profit Margin 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 Profit Margin. 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.
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
Competition

Armstrong Pretax Profit Margin

Pretax Profit Margin

0.24

As of now, Armstrong World's Pretax Profit Margin is increasing as compared to previous years.
Based on the latest financial disclosure, Armstrong World Industries has a Profit Margin of 0.1795%. This is 81.49% lower than that of the Building Products sector and significantly higher than that of the Industrials industry. The profit margin for all United States stocks is 114.13% lower than that of the firm.

Armstrong Profit Margin 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 Profit Margin 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 profit margin category among its peers.

Armstrong World ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Armstrong World's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Armstrong World's managers, analysts, and investors.
Environmental
Governance
Social

Armstrong Fundamentals

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.

Currently Active Assets on Macroaxis

When determining whether Armstrong World Indu offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Armstrong World's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Armstrong World Industries Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Armstrong World Industries Stock:
Check out Armstrong World Piotroski F Score and Armstrong World Altman Z Score analysis.
You can also try the Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Is Building Products space 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
0.122
Dividend Share
1.148
Earnings Share
5.67
Revenue Per Share
31.742
Quarterly Revenue Growth
0.113
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.