Armstrong World Valuation

AWI Stock  USD 200.13  0.15  0.07%   
At this time, the firm appears to be fairly valued. Armstrong World Indu shows a prevailing Real Value of $195.68 per share. The current price of the firm is $200.13. Our model approximates the value of Armstrong World Indu from analyzing the firm fundamentals such as Profit Margin of 0.19 %, current valuation of 9.04 B, and Return On Equity of 0.38 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Armstrong World's valuation include:
Price Book
9.714
Enterprise Value
B
Enterprise Value Ebitda
16.6493
Price Sales
5.4142
Forward PE
24.3902
Fairly Valued
Today
200.13
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.
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  200.13 Real  195.68 Target  211.1 Hype  200.86
The intrinsic value of Armstrong World's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Armstrong World's stock price.
194.26
Downside
195.68
Real Value
220.31
Upside
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:
Earnings
Estimates
LowProjectedHigh
1.841.901.98
Details
Hype
Prediction
LowEstimatedHigh
199.44200.86202.28
Details
7 Analysts
Consensus
LowTarget PriceHigh
192.10211.10234.32
Details
When choosing an evaluation method for Armstrong World Indu, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using all methods to arrive at a better estimate.

Armstrong World Cash

67.8 Million

Armstrong Revenue by Product

Armstrong World Total Value Analysis

Armstrong World Industries is presently anticipated to have company total value of 9.04 B with market capitalization of 8.66 B, debt of 599.9 M, and cash on hands of 79.3 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Armstrong World fundamentals before making security assessment based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
9.04 B
8.66 B
599.9 M
79.3 M

Armstrong World Investor Information

About 99.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 1.66. Armstrong World Indu recorded earning per share (EPS) of 6.97. The entity last dividend was issued on the 6th of November 2025. Based on the measurements of operating efficiency obtained from Armstrong World's historical financial statements, Armstrong World Industries is performing exceptionally good at this time. It has a great probability to report excellent financial results in March.
Current ValueLast YearChange From Last Year 10 Year Trend
Operating Profit Margin0.180.17
Notably Up
Slightly volatile
Total Cash From Operating Activities207 M306.8 M
Way Down
Slightly volatile
Operating Income329.8 M314.1 M
Sufficiently Up
Slightly volatile

Armstrong World Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Armstrong World has an asset utilization ratio of 78.46 percent. This signifies that the Company is making $0.78 for each dollar of assets. An increasing asset utilization means that Armstrong World Industries is more efficient with each dollar of assets it utilizes for everyday operations.
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes

Armstrong World Profitability Analysis

Based on the measurements of profitability obtained from Armstrong World's financial statements, Armstrong World Industries is yielding more profit at this time then in previous quarter. It has a moderate probability of reporting better profitability numbers in March. Profitability indicators assess Armstrong World's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
2001-09-30
Previous Quarter
87.8 M
Current Value
86.3 M
Quarterly Volatility
183.3 M
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
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 0.18, while Gross Profit is projected to decrease to under 481 M.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.230.36
Way Down
Slightly volatile
Operating Profit Margin0.180.17
Notably Up
Slightly volatile
For Armstrong World profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Armstrong World Indu to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Armstrong World utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Armstrong World's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Armstrong World over time as well as its relative position and ranking within its peers.

Armstrong World Earnings per Share Projection vs Actual

The next projected EPS of Armstrong World is estimated to be 1.9002 with future projections ranging from a low of 1.8385 to a high of 1.98. Armstrong World's most recent 12-month trailing earnings per share (EPS TTM) is at 6.97. Please be aware that the consensus of earnings estimates for Armstrong World Industries is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
Armstrong World is projected to generate 1.9002 in earnings per share on the 31st of March 2026. Armstrong World earnings estimates show analyst consensus about projected Armstrong World EPS (Earning Per Share). It derives the highest and the lowest estimates based on Armstrong World's historical volatility. Many public companies, such as Armstrong World, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Armstrong World Earnings Estimation Breakdown

The calculation of Armstrong World's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Armstrong World is estimated to be 1.9002 with the future projection ranging from a low of 1.8385 to a high of 1.98. Please be aware that this consensus of annual earnings estimates for Armstrong World Industries is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
1.84
Lowest
Expected EPS
1.9002
1.98
Highest

Armstrong World Earnings Projection Consensus

Suppose the current estimates of Armstrong World's value are higher than the current market price of the Armstrong World stock. In this case, investors may conclude that Armstrong World is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Armstrong World's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 31st of March 2026Current EPS (TTM)
988.2%
0.0
1.9002
6.97

Armstrong World Ownership Allocation

Armstrong World holds a total of 43.13 Million outstanding shares. The majority of Armstrong World Industries outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Armstrong World Indu to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Armstrong World. Please pay attention to any change in the institutional holdings of Armstrong World Industries as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many 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.

Armstrong World Profitability Analysis

The company reported the last year's revenue of 1.45 B. Total Income to common stockholders was 264.9 M with profit before taxes, overhead, and interest of 648.1 M.

Armstrong World Past Distributions to stockholders

About Armstrong World Valuation

An absolute valuation paradigm, as applied to Armstrong Stock, attempts to find the value of Armstrong World Indu based on its fundamental and basic technical indicators. By analyzing Armstrong World's financials, quarterly and monthly indicators, and their related drivers, such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Armstrong World's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Armstrong World. We calculate exposure to Armstrong World's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Armstrong World's related companies.
Last ReportedProjected for Next Year
Gross Profit523.4 M481 M
Pretax Profit Margin 0.22  0.23 
Operating Profit Margin 0.17  0.18 
Net Profit Margin 0.16  0.17 
Gross Profit Margin 0.36  0.23 
Armstrong World's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Armstrong World's value is low or high relative to the company's performance and growth projections. Determining the market value of Armstrong World can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Armstrong World represents a small ownership stake in the entity. As a stockholder of Armstrong, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Armstrong World Dividends Analysis For Valuation

The Armstrong World's current Dividends Paid is estimated to increase to about 77.7 M, while Dividend Yield is projected to decrease to 0.01. . As of now, Armstrong World's Retained Earnings are increasing as compared to previous years. The Armstrong World's current Retained Earnings Total Equity is estimated to increase to about 1.4 B, while Earnings Yield is projected to decrease to 0.02.
Last ReportedProjected for Next Year
Dividends Paid45.5 M77.7 M
Dividend Yield 0.01  0.01 
Dividend Payout Ratio 0.22  0.21 
Dividend Paid And Capex Coverage Ratio 1.61  1.04 
There are various types of dividends Armstrong World can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Armstrong shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Armstrong World Industries directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Armstrong pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Armstrong World by the value of the dividends paid out.

Armstrong World Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding44 M
Quarterly Earnings Growth Y O Y0.131
Forward Price Earnings24.3902

Armstrong World Current Valuation Indicators

Valuation refers to the process of determining the present value of Armstrong World Industries and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Armstrong we look at many different elements of the entity such as Armstrong's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Armstrong World, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Armstrong World's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Armstrong World's worth.

Complementary Tools for Armstrong Stock analysis

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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