Acuity Inc. (de) (AYI)

Price$334.05Cached quoteAs of 2026-09-05 16:03 UTC

AI: Fair-priced

Price checkStrong cash generation supports the valuation, but the shares are not obviously cheap.

Using the latest reported share count, the market values Acuity at roughly $10.2 billion. The last four reported quarters produced about $472 million of net income and about $639 million of free cash flow, meaning cash left after operating costs and capital investment. That implies roughly 22 times trailing earnings and 16 times trailing free cash flow, with a cash yield near 6.3%. Those are reasonable levels for a durable business, but not deep-value levels, supporting a Fair-priced verdict.

Big pictureProfit and cash flow are improving, while the main lighting business remains somewhat cyclical.

Trailing revenue is about $4.61 billion, versus $4.35 billion in fiscal 2025, while trailing operating income is about $667 million. Cash generation has also strengthened, with roughly $723 million of operating cash flow over the latest four quarters. However, revenue previously declined from about $4.01 billion in fiscal 2022 to $3.84 billion in fiscal 2024. In the latest quarter, lighting sales fell about 2% while Intelligent Spaces grew about 15%, showing that newer technology offerings are carrying more of the growth burden.

Business strengthDebt is falling, liquidity is comfortable, and sustained buybacks have reduced dilution.

At the latest quarter, Acuity held about $412 million of cash and $697 million of debt, leaving roughly $285 million of net debt. That is a major improvement from about $699 million of net debt fifteen months earlier. Current assets of roughly $1.62 billion were more than twice current liabilities. Shares outstanding have fallen from about 37.4 million in fiscal 2020 to about 29.9 million, a reduction near 20%. Acuity also spent roughly $230 million on buybacks during the first nine months of fiscal 2026.

What could change the storyFaster Intelligent Spaces growth could justify more upside, while weak lighting demand could expose the premium.

The strongest bull case is that Intelligent Spaces keeps compounding while lighting stabilizes. Third-quarter Intelligent Spaces sales rose about 15%, and management reported improving lighting orders. The bear case is that growth from the acquired QSC business fades before the core lighting market recovers. Acuity also carries about $1.49 billion of goodwill following acquisitions, so disappointing acquired-business performance could weaken expected returns. At roughly 22 times trailing earnings, the current valuation assumes continued profit growth rather than several years of flat results.

AI: News

Third-quarter earnings beatBetter earnings, stronger Intelligent Spaces growth, and improved cash flow sharply lifted investor expectations.

On June 25, 2026, Acuity reported quarterly sales of $1.20 billion, up 1.6%, while operating profit rose 38% to $193.3 million and diluted earnings per share increased 46% to $4.56. Adjusted earnings also exceeded analyst expectations. Intelligent Spaces sales grew about 15%, partly offsetting weaker lighting sales. Contemporary market coverage reported a sharp post-results share-price increase, although the exact percentage varied by measurement window. The release strengthened confidence in earnings growth and the QSC integration.

Second-quarter sales missProfit growth beat expectations, but weaker lighting sales raised concern about near-term demand.

On April 2, 2026, Acuity reported second-quarter sales of about $1.06 billion, up 4.9%, while adjusted earnings per share reached $4.14. Earnings exceeded expectations, but revenue missed consensus by roughly $30 million. Acuity Brands Lighting sales fell about 3%, while Intelligent Spaces grew strongly. Contemporary reporting showed the shares falling about 5% in morning trading. The reaction suggested investors were focused less on cost control and more on whether weakness in the larger lighting business would persist.

First-quarter guidance disappointmentStrong reported growth was not enough because investors wanted a stronger outlook after the prior rally.

On January 8, 2026, Acuity reported first-quarter sales of about $1.14 billion, up 20%, and adjusted earnings per share of $4.69, up 18%. Intelligent Spaces benefited substantially from QSC, while management described the lighting market as tepid. Contemporary reporting showed the shares down about 13% around midday despite the solid results, with the lack of a stronger outlook cited as an important concern. The episode showed that the stock's valuation already required more than simply meeting near-term expectations.

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Financial statements

	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009
Revenue	$4.35B	$3.84B	$3.95B	$4.01B	$3.46B	$3.33B	$3.67B	$3.68B	$3.51B	$3.29B	$2.71B	$2.39B	$2.09B	$1.93B	$1.80B	$1.63B	$1.66B
Gross profit	$2.08B	$1.78B	$1.71B	$1.67B	$1.48B	$1.40B	$1.48B	$1.49B	$1.48B	$1.44B	$1.15B	$979.2M	$837.6M	$788.0M	$730.0M	$661.5M	$635.1M
Gross margin	47.83%	46.39%	43.35%	41.75%	42.62%	42.16%	40.29%	40.36%	42.26%	43.64%	42.32%	40.91%	40.09%	40.75%	40.65%	40.66%	38.32%
Research & development	$140.2M	$102.3M	$97.1M	$95.1M	$88.3M	$82.0M	$74.7M	$63.9M	$52.0M	$47.1M	$41.1M	—	—	—	—	—	—
Operating expenses	$1.51B	$1.23B	$1.24B	$1.16B	$1.05B	$1.05B	$1.02B	$1.02B	$953.6M	$961.0M	$769.3M	$680.1M	$616.1M	$580.0M	$541.3M	$503.8M	$481.3M
Operating income	$563.9M	$553.3M	$473.4M	$509.7M	$427.6M	$353.9M	$462.9M	$460.8M	$527.5M	$475.2M	$376.3M	$299.1M	$221.5M	$208.0M	$188.7M	$157.7M	$153.8M
Operating margin	12.98%	14.41%	11.98%	12.72%	12.35%	10.64%	12.60%	12.52%	15.05%	14.44%	13.90%	12.50%	10.60%	10.76%	10.51%	9.69%	9.28%
EBITDA	$697.0M	$644.4M	$566.6M	$604.5M	$527.7M	$455.0M	$551.2M	$541.1M	$602.1M	$537.8M	$422.1M	$342.5M	$262.3M	$247.8M	$228.8M	$194.2M	$189.5M
EBITDA margin	16.04%	16.78%	14.34%	15.09%	15.25%	13.68%	15.01%	14.70%	17.18%	16.34%	15.59%	14.31%	12.56%	12.81%	12.74%	11.94%	11.43%
Net income	$396.6M	$422.6M	$346.0M	$384.0M	$306.3M	$248.3M	$330.4M	$349.6M	$321.7M	$290.8M	$222.1M	$175.8M	$127.4M	$116.3M	$105.5M	$79.6M	$84.9M
Net profit margin	9.13%	11.00%	8.75%	9.59%	8.85%	7.46%	9.00%	9.50%	9.18%	8.84%	8.21%	7.34%	6.10%	6.01%	5.88%	4.89%	5.12%
Basic EPSper basic share	$12.85	$13.68	$10.88	$11.23	$8.44	$6.29	$8.32	$8.54	$7.46	$6.67	$5.13	$4.07	$2.97	$2.75	$2.46	$1.84	$2.04
Diluted EPSper diluted share	$12.53	$13.44	$10.76	$11.08	$8.38	$6.27	$8.29	$8.52	$7.43	$6.63	$5.09	$4.05	$2.95	$2.72	$2.42	$1.80	$2.00

Review official source filings ↗

Owners

Reported shareholders

Reference date Jun 30, 2026

≈12.04%of listed shares

FMR LLC3.6M shares · Jun 30, 2026

View holders

Top 20 reported holders of AYI
Holder	% owned
FMR LLC	≈12.04%3.6M shares
BlackRock, Inc.	≈9.95%2.98M shares
VANGUARD PORTFOLIO MANAGEMENT LLC	≈4.80%1.44M shares
VANGUARD CAPITAL MANAGEMENT LLC	≈4.57%1.37M shares
AQR CAPITAL MANAGEMENT LLC	≈4.26%1.27M shares
STATE STREET CORP	≈3.23%966.02K shares
FULLER & THALER ASSET MANAGEMENT, INC.	≈2.58%772.13K shares
GEODE CAPITAL MANAGEMENT, LLC	≈2.57%768.42K shares
DIMENSIONAL FUND ADVISORS LP	≈2.56%766.54K shares
AMERICAN CENTURY COMPANIES INC	≈2.48%743.41K shares
JPMORGAN CHASE & CO	≈2.38%713.05K shares
WELLINGTON MANAGEMENT GROUP LLP	≈2.20%658.21K shares
PRICE T ROWE ASSOCIATES INC /MD/	≈1.81%541.46K shares
Boston Partners	≈1.79%535.56K shares
UBS Group AG	≈1.72%515.77K shares
FIRST TRUST ADVISORS LP	≈1.45%434.23K shares
FIL Ltd	≈1.42%423.76K shares
GOLDMAN SACHS GROUP INC	≈1.28%382.23K shares
MORGAN STANLEY	≈1.21%363.27K shares
ALLEN OPERATIONS LLC	≈1.15%344.1K shares

Percentages use 29.94M shares of this listed class outstanding on Jun 23, 2026. ≈ compares the latest reported holding with a share total from a different date; it is not a confirmed current stake.

Gray completes the 100% scale. Reported positions may overlap; holders have different reporting dates.

Source: SEC Form 13F ↗Updated Sep 29, 2026 · Quarterly data

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys2$340.7K disclosed value

Sells (SEC code S)15$10.13M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
Jun 1, 2026Form 4 · 10b5-1	HOLCOM KAREN JSVP & Chief Financial Officer	SellCommon Stock	2.1K	$303.14	$629.3K	19.4K
Apr 30, 2026Form 4	Leibman MayaDirector	BuyCommon Stock · indirect	200	$288.83	$57.8K	400
Apr 8, 2026Form 4	O'Shaughnessy LauraDirector	BuyCommon Stock	1.0K	$282.98	$283.0K	3.1K
Jan 28, 2026Form 4 · 10b5-1	HOLCOM KAREN JSVP & Chief Financial Officer	SellCommon Stock	5.0K	$309.23	$1.54M	21.5K
Oct 28, 2025Form 4	GOLDMAN BARRY RSVP & General Counsel	SellCommon Stock	200	$370.23	$74.0K	6.1K

Review ownership filings at SEC.gov ↗

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Acuity Inc. (de) (AYI)

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