Acuity Inc. research snapshot
AYI AI stock analysis as of the August 3, 2026 data cutoff reads Acuity Inc. as a profitable industrial technology company whose lighting franchise funds a faster-growing intelligent spaces platform. AYI closed at $328.39 on July 31, 2026, with a market capitalization near $9.76 billion. FY2025 revenue was $4.35 billion and GAAP net income was $396.6 million. The latest twelve-month data through May 31, 2026 shows revenue of about $4.61 billion, net income of $472.3 million, and free cash flow of $639.4 million. Q3 FY2026, reported on June 25, 2026, delivered net sales of $1.198 billion, adjusted operating profit of $223.5 million, and adjusted diluted EPS of $5.31, with Acuity Intelligent Spaces sales up 14.9% and ABL sales down 1.9% against a tariff-driven comparison. Management described lighting order trends as firming, noted $6.4 million of tariff refunds in the quarter, refinanced into a new $800 million revolving credit facility, repaid $200 million of term loan year to date, and repurchased about 766,000 shares for $230 million. This AYI AI stock analysis is an information tool, not investment advice.
Current price
$328.39 at the July 31, 2026 close
Market cap
$9.76 billion using about 29.74 million shares outstanding; the Q3 FY2026 Form 10-Q cover lists 29,935,547 shares as of June 23, 2026
AI score
71 / 100
Rating
Profitable industrial technology company with a strong lighting franchise and faster-growing intelligent spaces, balanced by QSC integration, construction cyclicality, tariffs, and a full valuation
Trend status
Price holds above the 50-day and 200-day moving averages but sits below the 5-day and 20-day averages after the June earnings surge cooled, with RSI near 48
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | Customers pay for reliable lighting, lighting controls, building management, and audio-video systems that improve energy use, building operations, and user experience. ABL remains the cash-generating base while AIS expands the addressable product set and posted Q3 FY2026 sales growth of 14.9%. | High |
| Moat | The moat is built from brand breadth, independent sales agencies, distributor and integrator relationships, installed controls, product know-how, and the Q-SYS, Distech, Eclypse, and Atrius platforms. It is a practical industrial moat, not a pure network-effect moat. | Medium-high |
| Management | Neil Ashe has led Acuity as CEO since 2020 and Chairman since 2021, with a strategy centered on electronics, data, controls, and selective acquisitions. The company refinanced into a new $800 million facility, repaid $200 million of term loan year to date, raised the quarterly dividend by 18%, and repurchased about 766,000 shares for $230 million in the first nine months of FY2026. | Medium-high |
| Financial trend | FY2025 revenue rose 13.1% to $4.35 billion, but GAAP net income fell 6.2% to $396.6 million. TTM revenue, net income, and free cash flow improved to about $4.61 billion, $472.3 million, and $639.4 million through May 31, 2026, with Q3 FY2026 adjusted EPS up 3.7% to $5.31. | High |
| Valuation | At $328.39, AYI trades near 21.8x TTM earnings, 2.12x sales, 15.27x free cash flow, and 12.22x EV to EBITDA, with a forward P/E of about 15.45x against the FY2026 consensus estimate of $19.83 adjusted EPS. The price is reasonable only if AIS growth, QSC integration, and cash conversion remain durable. | Medium |
| Technical trend | Price is above the 50-day and 200-day moving-average area near $321 to $322 but below the 5-day average near $336 and the 20-day average near $333.70 after the June earnings surge cooled. RSI near 48 and 14-day ADX near 14 point to a neutral, non-trending short-term tape. | Medium |
| Risk level | Material risks include commercial construction weakness, aggressive pricing, tariffs and input costs, the memory supply shock, QSC integration, goodwill or intangible impairment, cyber incidents in connected systems, and competition from larger industrial and software companies. | High |
| AI confidence | Data confidence is high for the reported business and financial record because company filings, SEC EDGAR XBRL, and StockAnalysis.com agree during the August 3, 2026 refresh. Forecast confidence is medium because the next phase depends on acquired technology, integration discipline, tariff and commodity swings, and the timing of a cyclical lighting recovery. | High for data |
| Investment certainty | AYI looks like a quality industrial compounder candidate with execution risk, not a low-uncertainty utility or a deep-value situation. The thesis needs both AIS growth and continued ABL cash generation, and the current price already reflects solid execution. | Medium |
AYI AI stock forecast
The AYI AI stock forecast uses scenario ranges rather than a single target price. A three-year model using the FY2026 consensus adjusted EPS of $19.83, annual EPS growth of 12%, 8%, and 2%, and terminal P/E multiples of 22x, 17x, and 12x produced audited reference values of $612.90, $424.70, and $252.50. These calculations are valuation scenarios, not promises. The base case assumes AIS keeps growing, QSC integration remains productive, ABL stays broadly stable or firms, and free cash flow remains healthy.
$580 to $650
More likely if AIS sustains double-digit growth with stable or improving margins, Distech and Q-SYS gain share in data centers and other verticals, ABL returns to steady organic growth, QSC integration beats the acquisition assumptions, tariff and commodity costs stay contained, and the market supports about 22x earnings.
$400 to $450
More likely if AIS growth moderates but remains positive, ABL is flat to low growth, QSC contributes as planned, free cash flow stays near the current run rate, and normalized EPS compounds near 8% with a 17x terminal multiple.
$230 to $280
More likely if construction and retrofit demand weaken, ABL faces sustained price pressure, AIS growth slows, tariffs, memory costs, and integration expenses compress margins, or goodwill and acquired-intangible charges signal that QSC returns are below plan.
AYI AI technical analysis
AYI technical analysis is based on data around the August 3, 2026 cutoff. AYI closed at $328.39 on July 31, 2026 after a sharp post-earnings move in late June and a subsequent pullback. Price is above the 50-day and 200-day moving-average area near $321 to $322 but below the 5-day average near $336.03 and the 20-day average near $333.70. Barchart and StockAnalysis.com both placed the 50-day average near $321.52 and the 200-day near $321.24, with 14-day RSI near 48, so the short-term signal is neutral rather than strongly bullish or bearish.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $328.39 | StockAnalysis.com reported the July 31, 2026 NYSE close. Market data is not live on this static page. |
| 5-day moving average | $336.03 | Barchart placed the 5-day average near $336.03, above the July 31 close, which signals near-term momentum cooled after the June earnings surge. |
| 20-day moving average | $333.70 | Barchart placed the 20-day average near $333.70 on July 31, 2026, still overhead after the pullback. |
| Support cluster | $321 to $322 | Barchart and StockAnalysis.com both placed the 50-day average near $321.52 and the 200-day near $321.24, forming a support cluster. A sustained close below it weakens the intermediate trend. |
| First resistance | $333 to $336 | The 20-day average near $333.70 and the 5-day average near $336.03 form the first test above the July 31 close. |
| Higher resistance | $346 to $380 | The July 31 day high near $346 and the StockAnalysis 52-week high near $380.17 create the next supply zone if price reclaims the moving-average cluster. |
| 100-day moving average | $301.10 | Barchart placed the 100-day average near $301.10, below price and the 50-day, and a deeper support reference on any larger pullback. |
| Momentum | RSI near 48 | StockAnalysis.com reported 14-day RSI near 48.49 and Barchart reported 14-day relative strength near 48.49, a neutral reading. 14-day ADX near 14.38 signals a weak, non-trending short-term tape. |
| Volume | About 316,000 to 318,000 shares average over 20 days | StockAnalysis.com reported average volume of about 316,217 shares and Barchart about 317,715 shares over 20 days. A breakout should be checked against current session volume. |
| Volatility | Beta 1.28; ATR(14) about $12.60 | StockAnalysis.com reported beta 1.28 and Barchart reported ATR(14) near $12.60 or about 3.8%. Price can move materially around earnings and macro data. |
| Invalidation | Sustained close below $321 | This research framework treats a decisive break below the 50-day and 200-day support cluster near $321 as an invalidation of the constructive intermediate trend, subject to confirmation from business data. |
AYI AI trading strategy
The AYI AI trading strategy below is a rules-based research framework, not personal advice. It connects price levels with AIS growth, ABL demand, QSC integration, free cash flow, acquisition amortization, tariffs, memory costs, construction indicators, and the company balance sheet.
Watch for price to hold the $321 to $331 support area, reclaim $333 to $336, and then challenge the $346 to $380 zone with stronger volume while AIS margins and ABL sales remain stable. A setup is stronger when QSC integration metrics improve without a new balance-sheet strain.
A sustained close below $321, weaker AIS growth, a sharp ABL order slowdown, or evidence of margin pressure should lower trend-following confidence.
If AYI pulls back toward the 50-day and 200-day area near $321 to $322 without a deterioration in QSC performance, cash conversion, or end-market demand, compare the price with the $400 to $450 base range and the $230 to $280 bear range before treating weakness as attractive.
Do not treat a lower multiple as sufficient if a construction slowdown, price competition, tariff burden, the memory shock, or an acquisition impairment is reducing normalized earnings power.
Track ABL organic sales, AIS sales and operating margin, Distech and Q-SYS growth, QSC integration costs, gross margin, operating margin, free cash flow, capital expenditures, net debt, repurchases, dividends, construction activity, tariff refunds, memory costs, and commodity commentary.
Keep the framework sized for an industrial cycle and an acquisition integration. Data confidence does not remove the risk of multiple contraction or a permanent change in the earnings base.
Investment research summary
Customers pay Acuity to make physical spaces more useful, efficient, and controllable. ABL sells luminaires, electronics, and controls through sales agencies, distributors, retailers, corporate accounts, and OEM channels. AIS adds building management, software, and Q-SYS audio-video-control solutions, with a larger share of growth coming from acquired and connected technology.
Acuity has a broad brand portfolio, a large distribution and independent-agent network, manufacturing scale, installed controls, and application knowledge. AIS adds software, systems integration, and Q-SYS, Distech, and Eclypse technology. Switching costs are meaningful when controls and building workflows are embedded, but hardware can be price competitive and global manufacturers can bundle products and services.
The thesis fails if ABL becomes a lower-return lighting supplier, construction demand contracts, competitors force price concessions, tariffs and raw materials absorb pricing, the memory supply shock hurts AIS, or AIS growth depends too heavily on acquisitions. QSC cost and revenue assumptions could disappoint, while goodwill, acquired technology, and customer relationships create impairment risk if returns fall short.
Neil Ashe has led the company since 2020 after senior roles at Walmart, CBS Interactive, and CNET. The record shows a clear move from traditional luminaires toward electronics, data, controls, and intelligent spaces. The company refinanced into a new $800 million revolving credit facility, repaid $200 million of term loan in the first nine months of FY2026, raised the quarterly dividend by 18%, and repurchased about 766,000 shares for $230 million. The test is whether this capital allocation raises durable per-share cash earnings.
The long-term trend favors solid-state lighting, embedded controls, energy efficiency, intelligent buildings, sustainability reporting, and integrated audio-video and building systems, with data center cooling and controls emerging as a new growth lane. Demand still depends on new construction, renovation, retrofit, building occupancy, credit, interest rates, tariffs, and commodity costs. Acuity does not provide one independently auditable TAM figure, so the page avoids inventing one.
At $328.39, AYI is priced near the audited base scenario and well above the bear case. The 21.8x TTM P/E and 15.27x P/FCF are supportable if AIS growth and QSC returns compound, but they leave less room for an earnings reset than a distressed industrial multiple would. Margin of safety depends on cash conversion and execution, not on the lighting brand alone.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| AYI quote and market cap | $328.39 close on July 31, 2026; reported market cap about $9.76 billion | StockAnalysis.com AYI overview and statistics | August 3, 2026 |
| Market cap verification | $328.39 x 29.74 million shares = about $9.77 billion; financial_rigor.py deviation 0.06% | Pineify financial_rigor.py and StockAnalysis.com | August 3, 2026 |
| Shares outstanding cross-check | StockAnalysis.com reported 29.74 million shares near July 31, 2026; the Q3 FY2026 Form 10-Q cover reported 29,935,547 shares as of June 23, 2026; the FY2025 Form 10-K reported 30,612,970 shares as of October 2025. The differences reflect different dates and continued repurchases. | StockAnalysis.com statistics, Q3 FY2026 Form 10-Q, and FY2025 Form 10-K | August 3, 2026 |
| FY2025 financials | Revenue $4.346 billion, gross margin 47.8%, operating profit $563.9 million, net income $396.6 million, diluted EPS $12.53 | SEC FY2025 Form 10-K and StockAnalysis.com financials | August 3, 2026 |
| TTM financials through May 31, 2026 | Revenue $4.607 billion, gross profit $2.272 billion, operating income $667.3 million, net income $472.3 million, EPS about $15.06, free cash flow $639.4 million | StockAnalysis.com TTM financial statements and SEC filings | August 3, 2026 |
| Q3 FY2026 results | Net sales $1.198 billion up 1.6%, operating profit $193.3 million up 38.3%, adjusted operating profit $223.5 million up 0.8%, diluted EPS $4.56 up 46.2%, adjusted diluted EPS $5.31 up 3.7% | Acuity Q3 FY2026 earnings release and SEC Exhibit 99.1 | June 25, 2026 |
| Segment revenue mix | FY2025 ABL revenue $3.612 billion, about 83.1% of total; AIS revenue $764.3 million, about 17.6%. QSC contributed $428.6 million to FY2025 AIS sales. | SEC FY2025 Form 10-K segment results | August 3, 2026 |
| Q3 FY2026 segment trend | Q3 ABL sales $905.2 million, down 1.9%; Q3 AIS sales $303.5 million, up 14.9%. Nine-month ABL sales $2,617.7 million, down 1.2%; nine-month AIS sales $809.0 million, up 58.9%. | Acuity Q3 FY2026 earnings release | June 25, 2026 |
| Q3 FY2026 segment margins | ABL adjusted operating profit $164.6 million at 18.2% of sales, down 60 basis points; AIS adjusted operating profit $76.3 million at 25.1% of sales, up 150 basis points. Q3 included $6.4 million of ABL tariff refunds treated as a non-GAAP adjustment. | Acuity Q3 FY2026 earnings release | June 25, 2026 |
| Cash, debt, and liquidity | Cash $411.9 million and long-term debt $697.3 million at May 31, 2026, matching SEC EDGAR XBRL; StockAnalysis.com reports total debt $804.3 million including lease obligations and net debt about $392.4 million. The company refinanced into a new five-year $800 million unsecured revolving credit facility. | Acuity Q3 FY2026 release, Q3 FY2026 Form 10-Q, SEC EDGAR XBRL, and StockAnalysis.com | August 3, 2026 |
| Free cash flow and capital allocation | FY2025 free cash flow about $533.0 million; nine-month FY2026 free cash flow $461.7 million; nine-month FY2026 repurchases about $230 million or about 766,000 shares; quarterly dividend raised 18%. | Acuity Q3 FY2026 release, Q3 FY2026 earnings call, and StockAnalysis.com cash flow statement | June 25, 2026 |
| Q3 FY2026 earnings call | Management described lighting order trends as firming, cited data center wins in lighting and Distech controls including the new Eclypse Resilience PLC, noted medical and materials inflation and a memory supply shock, and kept the acquisition strategy focused on quality over quantity. | Acuity Q3 FY2026 earnings call transcript | June 25, 2026 |
| Valuation snapshot | TTM P/E 21.80x, P/S 2.12x, P/FCF 15.27x, PB 3.44x, EV/EBITDA 12.22x, EV/FCF 15.89x, FCF yield 6.55%, dividend yield 0.24%. | StockAnalysis.com statistics and Pineify financial_rigor.py | August 3, 2026 |
| Analyst consensus | Buy with an average price target of $398.29 across 8 analysts, low $358, median $390, high $465, with 3 Strong Buy, 2 Buy, and 3 Hold ratings in July 2026 | StockAnalysis.com forecast and analyst ratings | July 1, 2026 |
| Recent analyst target updates | Morgan Stanley $400 to $410 on July 1, Baird $315 to $390 on June 26, Goldman Sachs $295 to $358 on June 26, TD Cowen $335 to $410 on June 25, William Blair Buy on June 23 | StockAnalysis.com forecast and news feed | July 1, 2026 |
| Forward estimates | FY2026 consensus revenue about $4.65 billion and adjusted EPS about $19.83; FY2027 consensus revenue about $4.89 billion and adjusted EPS about $21.69; FY2026 free cash flow estimate about $573 million. | StockAnalysis.com forecast financial forecast | July 1, 2026 |
| Short interest | 1.46 million shares short, 4.90% of shares outstanding, about 2.86 days to cover | StockAnalysis.com statistics short selling | August 3, 2026 |
| Management and QSC acquisition | Neil Ashe has been CEO since 2020 and Chairman since 2021. Acuity acquired QSC for cash consideration of about $1.2407 billion on January 1, 2025. | Acuity leadership biography and SEC FY2025 Form 10-K | August 3, 2026 |
| Industry and risk context | Addressable markets include luminaires, lighting and HVAC controls, audio-video systems, and building technology. Demand is affected by construction, retrofit, interest rates, tariffs, memory and energy costs, commodities, and competition. | SEC FY2025 Form 10-K business and risk factors | August 3, 2026 |
| Technical indicators | Barchart: 5-day average near $336.03, 20-day near $333.70, 50-day near $321.52, 100-day near $301.10, 200-day near $321.24, 14-day RSI near 48.49, 14-day ADX near 14.38, ATR(14) near $12.60. StockAnalysis.com: 50-day near $321.52, 200-day near $321.24, RSI near 48.49. | Barchart AYI technical page and StockAnalysis.com statistics | August 3, 2026 |
This AYI AI stock analysis is an informational research tool only and is not investment advice, tax advice, or a recommendation to buy or sell any security. Forecast scenarios use public data and explicit assumptions as of August 3, 2026, and can be wrong if Acuity execution, lighting demand, intelligent-spaces growth, QSC integration, tariffs, memory costs, competition, regulation, cash flow, or market valuation changes.
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