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Acuity Brands Inc (AYI)


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Upturn Advisory Summary
10/20/2025: AYI (3-star) is a STRONG-BUY. BUY since 92 days. Simulated Profits (31.95%). Updated daily EoD!
1 Year Target Price $399.25
1 Year Target Price $399.25
3 | Strong Buy |
2 | Buy |
5 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit 68.72% | Avg. Invested days 53 | Today’s Advisory Strong Buy |
Upturn Star Rating ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Large-Cap Stock | Market Capitalization 10.93B USD | Price to earnings Ratio 28.48 | 1Y Target Price 399.25 |
Price to earnings Ratio 28.48 | 1Y Target Price 399.25 | ||
Volume (30-day avg) 10 | Beta 1.65 | 52 Weeks Range 216.42 - 375.49 | Updated Date 10/19/2025 |
52 Weeks Range 216.42 - 375.49 | Updated Date 10/19/2025 | ||
Dividends yield (FY) 0.18% | Basic EPS (TTM) 12.52 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date 2025-10-01 | When Before Market | Estimate 4.79 | Actual 5.2 |
Profitability
Profit Margin 9.13% | Operating Margin (TTM) 14.94% |
Management Effectiveness
Return on Assets (TTM) 8.66% | Return on Equity (TTM) 15.54% |
Valuation
Trailing PE 28.48 | Forward PE 17.86 | Enterprise Value 11388150468 | Price to Sales(TTM) 2.51 |
Enterprise Value 11388150468 | Price to Sales(TTM) 2.51 | ||
Enterprise Value to Revenue 2.62 | Enterprise Value to EBITDA 15.67 | Shares Outstanding 30644832 | Shares Floating 30526348 |
Shares Outstanding 30644832 | Shares Floating 30526348 | ||
Percent Insiders 0.3 | Percent Institutions 97.27 |
Upturn AI SWOT
Acuity Brands Inc

Company Overview
History and Background
Acuity Brands, Inc. was founded in 2001, evolving from the lighting business of National Service Industries, Inc. It has grown through organic expansion and strategic acquisitions, focusing on innovative lighting and building management solutions.
Core Business Areas
- Acuity Brands Lighting and Lighting Controls (ABL): ABL is the primary business segment, focusing on manufacturing and selling various lighting solutions and controls, including LED luminaires, lighting controls, and components. These are used in commercial, industrial, residential, and specialty applications.
- Intelligent Spaces Group (ISG): ISG focuses on providing building management solutions that integrate lighting, HVAC, and other building systems. It offers software, hardware, and services to optimize building performance, energy efficiency, and occupant experience.
Leadership and Structure
Neil Ashe serves as the Chairman, President and Chief Executive Officer. The company has a typical corporate structure with functional departments (e.g., finance, marketing, operations) reporting to the CEO.
Top Products and Market Share
Key Offerings
- LED Luminaires: Acuity Brands offers a wide range of LED luminaires for indoor and outdoor applications. Includes Lithonia Lighting brand. The lighting market is highly competitive and estimated at ~$40 Billion in North America. Competitors include Signify (PHG), Eaton (ETN) and Cree Lighting.
- Lighting Controls: Acuity Brands provides lighting control systems that enable energy management, dimming, and scheduling. Competitors include Lutron Electronics, Schneider Electric (SBGSY), and Legrand (LGRVF).
- Atrius (IoT platform): Atrius is Acuity Brands' IoT platform for smart buildings, connecting lighting and other systems to provide data-driven insights. Competitors include Siemens (SIEGY), Johnson Controls (JCI), and Honeywell (HON).
Market Dynamics
Industry Overview
The lighting industry is undergoing a transition towards LED technology and smart lighting solutions. Energy efficiency and IoT connectivity are key drivers. The building management systems market is also growing, driven by demand for optimized building performance.
Positioning
Acuity Brands holds a leading position in the North American lighting market. It differentiates itself through innovation, a broad product portfolio, and a strong distribution network. Acuity is also focused on expanding its building management solutions offerings.
Total Addressable Market (TAM)
The TAM for lighting and building management solutions is estimated to be in the hundreds of billions of dollars globally. Acuity Brands is positioned to capture a significant share of this market through its innovation and market leadership in North America. It is expanding its international footprint to address global market opportunities.
Upturn SWOT Analysis
Strengths
- Strong brand recognition
- Extensive distribution network
- Broad product portfolio
- Technological innovation
- Leading market share in North America
Weaknesses
- Dependence on North American market
- Exposure to cyclical construction market
- Intense competition
- Raw material price volatility
Opportunities
- Expansion into international markets
- Growing demand for smart lighting and building solutions
- Increasing adoption of IoT technologies
- Acquisitions and partnerships
Threats
- Economic downturns
- Intensified competition
- Technological obsolescence
- Supply chain disruptions
- Changes in building codes and regulations
Competitors and Market Share
Key Competitors
- PHG
- ETN
- HON
- OSRAM.DE (no US ticker)
Competitive Landscape
Acuity Brands benefits from its large North American installed base and brand recognition. Competitors have a more global reach and diverse product offerings. Competitive advantages also depend on technology innovation.
Major Acquisitions
Lucidity
- Year: 2016
- Acquisition Price (USD millions): 11.7
- Strategic Rationale: Expanded the company's IoT platform.
Growth Trajectory and Initiatives
Historical Growth: Acuity Brands has experienced growth driven by the adoption of LED lighting and expansion into building management solutions. Growth rates have fluctuated with economic conditions and market trends.
Future Projections: Future growth is expected to be driven by smart lighting, IoT integration, and international expansion. Analyst estimates vary, but project continued growth in revenue and earnings.
Recent Initiatives: Recent initiatives include developing new smart lighting products, expanding the Atrius platform, and making strategic acquisitions.
Summary
Acuity Brands is a strong player in the North American lighting market, benefiting from a leading market share and brand recognition. Its expansion into smart building solutions and IoT technologies represents a significant growth opportunity. However, it faces intense competition, particularly from global players and is impacted by economic cycles that impact the construction market. Successfully navigating these challenges will be crucial for sustained growth and market leadership.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Website
- Market Research Reports
- SEC Filings
- Analyst Estimates
Disclaimers:
This analysis is for informational purposes only and should not be considered financial advice. Market conditions and company performance are subject to change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Acuity Brands Inc
Exchange NYSE | Headquaters Atlanta, GA, United States | ||
IPO Launch date 2001-12-03 | Chairman, President & CEO Mr. Neil M. Ashe | ||
Sector Industrials | Industry Electrical Equipment & Parts | Full time employees 13000 | Website https://www.acuityinc.com |
Full time employees 13000 | Website https://www.acuityinc.com |
Acuity Inc. provides lighting, lighting controls, building management system, location-aware applications in the United States and internationally. The company operates in two segments, Acuity Brands Lighting and Lighting Controls (ABL); and the Intelligent Spaces Group (ISG). The ABL segment provides commercial, architectural, and specialty lighting solutions, as well as lighting controls and components for various indoor and outdoor applications under the A-Light, Aculux, American Electric Lighting, Cyclone, Dark to Light, eldoLED, Eureka, Gotham, Healthcare Lighting, Holophane, Hydrel, IOTA, Juno, Lithonia Lighting, Luminaire LED, Luminis, Mark Architectural Lighting, nLight, OPTOTRONIC, Peerless, RELOC Wiring Solutions, and Sensor Switch. This segment serves electrical distributors, retail home improvement centers, electric utilities, corporate accounts, original equipment manufacturers, digital retailers, lighting showrooms, and energy service companies. The ISG segment offers building management solutions, such as products for controlling heating, ventilation, air conditioning, lighting, shades, refrigeration, and building access that deliver end-to-end optimization of those building systems; and building management software that enhances building system management and automates labor intensive tasks. This segment serves system integrators, as well as retail stores, airports, and enterprise campuses. It offers its products and solutions under the Atrius, Distech Controls, and KE2 Therm Solutions brands. Acuity Inc. was formerly known as Acuity Brands, Inc. and changed its name to Acuity Inc. in March 2025. Acuity Inc. was incorporated in 2001 and is headquartered in Atlanta, Georgia.

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