Acuity Brands, Inc. (AYI) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-36.3%

$212.41

vs $333.35 price

Levered DCF

$242.11

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

6.03

Safe zone

Rating

A-

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	18.97×	25.41×	18.62×	14.82×	14.6×	21.86×	17.38×	15.07×
P/B	3.39×	3.7×	3.31×	2.55×	2.93×	3.28×	2.03×	2.59×
P/S	2.17×	2.32×	2.05×	1.3×	1.4×	1.94×	1.3×	1.36×
EV / EBITDA	11.47×	16.26×	11.42×	9.04×	9.91×	13×	8.83×	8.89×
Gross margin	50.6%	47.8%	46.4%	43.3%	41.8%	42.6%	42.2%	40.3%
Operating margin	15.9%	13.7%	14.4%	12.0%	12.7%	12.4%	10.6%	12.6%
Net margin	11.4%	9.1%	11.0%	8.8%	9.6%	8.9%	7.5%	9.0%
Current ratio	1.69×	1.95×	2.72×	2.34×	1.99×	2.23×	2.33×	2.42×
Debt / equity	0.27×	0.37×	0.24×	0.29×	0.31×	0.27×	0.22×	0.19×
Interest coverage	28.8×	13.97×	21.87×	16.97×	18.88×	17.67×	13.41×	12.72×
Dividend yield	0.2%	0.2%	0.2%	0.3%	0.3%	0.3%	0.5%	0.4%
Payout ratio	4.5%	5.2%	4.3%	4.9%	4.7%	6.2%	8.4%	6.3%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	17.9%	14.6%	17.8%	17.2%	20.1%	15.0%	11.7%	17.2%
Return on invested capital	14.4%	12.0%	13.5%	12.9%	14.3%	11.4%	9.3%	13.9%
Return on assets	10.9%	8.3%	11.1%	10.2%	11.0%	8.6%	7.1%	10.4%
Free cash flow yield	7.4%	5.3%	7.1%	10.0%	4.6%	5.4%	10.4%	8.9%
Earnings yield	5.3%	3.9%	5.4%	6.7%	6.9%	4.6%	5.8%	6.6%
Enterprise value	$10.3B	$10.7B	$7.6B	$5.3B	$6B	$6.8B	$4.2B	$4.9B
Net debt / EBITDA	0.19×	0.89×	-0.41×	0.33×	0.62×	0.13×	-0.18×	-0.19×
Cash conversion cycle (days)	51	62	60	65	74	62	54	56