Armstrong World Industries, Inc. $AWI Stock: Maryland State Retirement & Pension System Grows Stake

Maryland State Retirement & Pension System lifted its holdings in Armstrong World Industries, Inc. (NYSE:AWI) by 46.9% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 12,104 shares of the construction company’s stock after purchasing an additional 3,867 shares during the period. Maryland State Retirement & Pension System’s holdings in Armstrong World Industries were worth $1,960,000 at the end of the most recent reporting period.

A number of other large investors have also recently bought and sold shares of the business. BlackRock Inc. acquired a new position in Armstrong World Industries during the second quarter worth $827,239,000. Bank of America Corp DE acquired a new stake in shares of Armstrong World Industries in the second quarter worth about $74,556,000. Bank of New York Mellon Corp acquired a new stake in shares of Armstrong World Industries in the second quarter worth about $43,412,000. Deutsche Bank AG acquired a new stake in shares of Armstrong World Industries in the second quarter worth about $35,298,000. Finally, Rice Hall James & Associates LLC bought a new stake in shares of Armstrong World Industries during the 2nd quarter worth about $28,418,000. 98.93% of the stock is currently owned by institutional investors.

Armstrong World Industries Stock Performance

NYSE:AWI traded up $0.80 during midday trading on Friday, reaching $175.45. The stock had a trading volume of 236,359 shares, compared to its average volume of 608,165. The stock has a market capitalization of $7.34 billion, a P/E ratio of 23.42, a PEG ratio of 1.73 and a beta of 1.14. Armstrong World Industries, Inc. has a 1-year low of $150.28 and a 1-year high of $206.04. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.45 and a quick ratio of 0.99. The firm’s fifty day simple moving average is $166.16 and its 200-day simple moving average is $168.98.

Armstrong World Industries (NYSE:AWI) last released its earnings results on Tuesday, October 27th. The construction company reported $2.26 earnings per share for the quarter, missing analysts’ consensus estimates of $2.39 by ($0.13). The firm had revenue of $475.80 million for the quarter, compared to analyst estimates of $472.62 million. Armstrong World Industries had a return on equity of 38.06% and a net margin of 18.38%. The firm’s revenue was up 11.9% on a year-over-year basis. During the same period in the prior year, the firm earned $2.05 EPS. On average, equities research analysts forecast that Armstrong World Industries, Inc. will post 8.32 EPS for the current fiscal year.

Armstrong World Industries declared that its board has authorized a stock repurchase program on Tuesday, July 21st that allows the company to repurchase $800 million in outstanding shares. This buyback authorization allows the construction company to purchase up to 12.3% of its stock through open market purchases. Share buyback programs are generally a sign that the company’s leadership believes its stock is undervalued.

Armstrong World Industries Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Stockholders of record on Thursday, November 5th will be paid a $0.3730 dividend. The ex-dividend date is Thursday, November 5th. This is a boost from Armstrong World Industries’s previous quarterly dividend of $0.3390. This represents a $1.49 dividend on an annualized basis and a dividend yield of 0.9%. Armstrong World Industries’s dividend payout ratio is presently 19.89%.

Analysts Set New Price Targets

A number of research analysts have recently commented on the company. JPMorgan Chase & Co. lowered their price objective on Armstrong World Industries from $220.00 to $200.00 and set an “overweight” rating on the stock in a report on Wednesday, October 28th. DA Davidson set a $200.00 target price on Armstrong World Industries in a report on Wednesday, October 28th. Jefferies Financial Group reaffirmed a “hold” rating and set a $190.00 target price on shares of Armstrong World Industries in a research report on Wednesday, July 29th. The Goldman Sachs Group reaffirmed a “buy” rating and set a $225.00 target price on shares of Armstrong World Industries in a research report on Wednesday, October 28th. Finally, Weiss Ratings upgraded Armstrong World Industries from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, October 9th. Seven analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $203.12.

About Armstrong World Industries

Armstrong World Industries, Inc. develops and manufactures ceiling and wall systems for commercial and residential buildings. Its products include acoustical ceiling panels and suspension systems, metal and wood ceilings, wall panels, and architectural specialty products designed for construction, renovation, and interior design projects. The company serves customers primarily in North America, including building owners, contractors, architects, and distributors. Its products are used in settings such as offices, schools, healthcare facilities, and homes.