⚠️ Not investment advice. This is a quantitative research tool; every decision is the user's own responsibility. Past performance does not guarantee future results.⚠️ Not investment advice. Past performance does not guarantee future results.
⚠️ Not investment advice. Past performance does not guarantee future results.
🔓 Free accountRanking, alerts and Top 10Sign up with GoogleSign in

Armstrong World Industries AWI

United StatesIndustrials · Building Products & EquipmentUSD
6.0AI score
Rank 960 of 2,130
better than 51% of companies
162.32USD
▼ 15.5% in one year
AWI MSCI World +22.1%
Average analyst target
210.18 USD (+29.5%)
11 analysts
52-wk low 150.28High 206.08
📈 Chart on TradingView ↗(affiliate link)Analysis of 08/10/2026

What does it do?

Armstrong World Industries is a U.S. manufacturer of acoustic ceilings and building solutions, selling through distribution channels and commercial projects.

Key points

from its scores
  • ✓High-quality business7.6
  • ✓Very solid balance sheet7.2
  • ✕Poor share-price trend2.5
  • ✕Little or no dividend4.4
  • !Somewhat demanding valuation5.2

AI analysis

bottom line, main risk, context and news
Bottom line

Fundamentals are solid, but valuation and momentum do not offer a clear entry point; wait for a better opportunity.

Armstrong World Industries shows solid financial health (DN/EBITDA 1.12, operating margin 21.57%) and outstanding quality (ROE 36.62%, ROIC 24.99%), with moderate revenue and earnings growth (11.2% and 12.4%), although its valuation is not particularly attractive (P/E 22.21) and momentum is weak (12-1: -14.7%).

⚠ Main risk

The main risk is the sensitivity of the business to U.S. commercial construction activity, which could weaken if tighter financial conditions slow investment in non-residential buildings.

Context and risks

No recent relevant news and no material exposure to current macro factors: the company operates in the U.S. building products sector, with moderate debt (DN/EBITDA 1.12) and high operating margin (21.57%), so the rise in long-term rates and dollar strength do not significantly affect its business. There are no specific regulatory, geopolitical, or business model risks that justify an adjustment.

Is Armstrong World Industries stock cheap or expensive?

at the analysis date
In line with its sector

On P/E and EV / EBITDA, it trades in line with the Industrials median (within 15%).

MultipleCompanySectorDifference
P/E22.225.4−13%
EV / EBITDA16.414.5+13%
Price / book7.84.1+92%
Price / sales4.02.1+97%

Sector: median of the 388 Industrials companies analysed. In bold, the multiples used for the comparison.

Valuation score: 5.2 out of 10 (median for Industrials: 5.0).

Average analyst target: 210.18 USD, +29.5% versus the price.

Indicative fair value · USD
Graham208.33▲ +28% vs price
Cash flow (DCF)122.99▼ −24% vs price
Dividends47.60▼ −71% vs price
Price162.32at the analysis date

Classic formulas with standard assumptions (10.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.

Work out its fair value yourself →How much would you have made investing every month? →

Comparing it with its sector does not say whether it is a good buy: this is not investment advice.

🛒 Where to buy AWICheapest · US (NYSE/Nasdaq) · sample 200.00 € orderCheapest · US (NYSE/Nasdaq) · sample 200.00 € orderAvailable in your country · US (NYSE/Nasdaq) · sample 200.00 € order
By the cost of that order: commission and FX, taxes excluded (public fee schedules). Brokers marked «affiliate» may pay Meridian a commission at no cost to you. This is not investment advice. · Compare all 22 brokers by real cost →

Score by category

0 to 10 · hover overtap each one to see what it measures
Financial healthiGood7.2Industrials median: 6.4
Quality / MoatiGood7.6Industrials median: 5.8
ValuationiFair5.2Industrials median: 5.0
GrowthiFair6.8Industrials median: 6.6
DividendiWeak4.4Industrials median: 5.4
MomentumiPoor2.5Industrials median: 5.9
Risk & ContextiFair5.6Industrials median: 6.0
Industrials median7 or more 5 to 7 under 5

Key metrics

at the analysis date · compared with the Industrials median
P/Ei
22.2
Industrials: 25.4below
EV / EBITDAi
16.4
Industrials: 14.5above
ROEi
36.6%
Industrials: 16.9%above
Operating margini
21.6%
Industrials: 12.4%above
Net debt / EBITDAi
1.12
Industrials: 1.58below
Revenue growthi
+11.2%
Industrials: +9.2%above

Valuation

P/E
22.2
Forward P/E
16.9
EV / EBITDA
16.4
Price / book
7.8
Price / sales
4.0
PEG
2.02
Market cap
6.9B USD
Enterprise value
7.4B USD

Profitability

ROE
36.6%
ROA
10.6%
ROIC (approx.)
25.0%
Gross margin
40.3%
Operating margin
21.6%
Net margin
18.6%
Free cash flow
220.8M USD
FCF yield
3.2%
Cash conversion
49%

Solvency

Total debt
580.0M USD
Net debt
501.4M USD
Cash
78.6M USD
EBITDA
449.3M USD
Net debt / EBITDA
1.12
Debt / equity
65.59
Current ratio
1.52
Quick ratio
0.97

Growth

Revenue growth
+11.2%
Earnings growth
+12.4%
EPS (TTM)
7.31 USD
EPS (forward)
9.58 USD

Dividend

Dividend yield
0.8%
Payout
18.1%

Risk and market

Beta
1.16
Analyst consensus
Buy (11)
Target price
210.18 USD
52-week range
150.28 – 206.08

Compare it with its sector

All 388 in Industrials →
See the full ranking with filters →

Keep browsing the ranking

sorted by score, highest first

Frequently asked questions about Armstrong World Industries

Is Armstrong World Industries stock cheap or expensive?

On P/E and EV / EBITDA, it trades in line with the Industrials median (within 15%). Valuation score: 5.2 out of 10 (median for Industrials: 5.0). Average analyst target: 210.18 USD, +29.5% versus the price. This is not investment advice.

What score does Armstrong World Industries get on MeridIAn Screener?

It scores 6.0 out of 10, rank 960 of 2,130 (better than 51% of the companies analysed). Its strongest category is Quality / Moat (7.6) and its weakest, Momentum (2.5). Analysis of 08/10/2026.

What is Armstrong World Industries's P/E ratio?

Its P/E is 22.2: the share price equals 22.2 times earnings per share over the last 12 months. The Industrials median is 25.4. Based on the earnings analysts expect, the forward P/E is 16.9.

How much is Armstrong World Industries worth on the stock market?

Its market capitalisation is 6.9B USD and its enterprise value, debt included, is 7.4B USD.

How much debt does Armstrong World Industries have?

Its net debt (debt minus cash) is 501.4M USD. That is 1.12 times its EBITDA; the Industrials median is 1.58.

Does Armstrong World Industries pay a dividend?

Yes: its dividend yield is 0.84% and it pays out 18% of its earnings.

How has Armstrong World Industries stock performed over the last year?

It has fallen 15.5% over the last year, excluding dividends. Over the last 52 weeks it has traded between 150.28 and 206.08 USD. Past performance does not guarantee future results.

What do analysts think of Armstrong World Industries?

11 analysts cover it; their average recommendation is “Buy” and their average target is 210.18 USD (+29.5% versus the price). It is an estimate, not market data.