Goldman Sachs Group Inc. started coverage on shares of Acuity Brands (NYSE:AYI) in a research note issued on Tuesday, TheFlyOnTheWall.com reports. The firm set a “neutral” rating and a $85.00 price target on the stock. Goldman Sachs Group Inc.’s target price points to a potential downside of 1.85% from the company’s current price.
The analysts wrote, “We initiate coverage of Acuity Brands – a lighting products company – with a Neutral rating and 3% downside to our $85, 12-month price target. We see several positives underlying the investment case for Acuity: (1) leverage to a recovery in US non-residential construction spending given US (c.90% of sales) and new construction (c.50%) exposure, (2) growth in retrofit volumes owing to energy efficiency demand (e.g., LED is 20% of sales), and (3) capital allocation. But, these positives appear priced in given valuation is at an all-time high, and LED cannibalization risk – while low near term – warrants positioning for a better entry point, in our view.”
A number of other firms have also recently commented on AYI. Analysts at Canaccord Genuity downgraded shares of Acuity Brands from a “buy” rating to a “hold” rating in a research note to investors on Tuesday, July 9th. They now have a $78.00 price target on the stock. Separately, analysts at Piper Jaffray Cos. reiterated a “neutral” rating on shares of Acuity Brands in a research note to investors on Wednesday, July 3rd. They now have a $72.00 price target on the stock, up previously from $67.00. Finally, analysts at Sterne Agee reiterated an “underperform” rating on shares of Acuity Brands in a research note to investors on Wednesday, July 3rd. They now have a $65.00 price target on the stock, up previously from $62.00.
Shares of Acuity Brands (NYSE:AYI) traded up 0.54% during mid-day trading on Tuesday, hitting $87.07. Acuity Brands has a one year low of $57.42 and a one year high of $89.57. The stock’s 50-day moving average is currently $83.42. The company has a market cap of $3.674 billion and a P/E ratio of 32.33.
Acuity Brands (NYSE:AYI) last posted its quarterly earnings results on Tuesday, July 2nd. The company reported $0.97 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.88 by $0.09. The company had revenue of $541.50 million for the quarter, compared to the consensus estimate of $518.76 million. During the same quarter last year, the company posted $0.82 earnings per share. Acuity Brands’s revenue was up 11.1% compared to the same quarter last year. Analysts expect that Acuity Brands will post $3.29 EPS for the current fiscal year.
Acuity Brands, Inc (NYSE:AYI), incorporated on September 20, 2007, is the parent company of Acuity Brands Lighting, Inc (ABL), and other subsidiaries.
