Acuity Brands: Good Execution And Low Valuations Make It A Buy


  • Acuity is seeing strong sales growth.
  • While gross margins are down, the company is taking steps to minimize the bottom-line impact through price increases and improving operating efficiency.
  • The stock is trading at a discount to its historical levels and can re-rate as the supply chain constraints ease.

silhouette form of bull on technical financial graph

monsitj/iStock via Getty Images

Investment Thesis

Acuity Brands (NYSE:AYI) posted strong sales growth in the last two quarters fueled by strong demand across its end markets, as well as price hikes across its product portfolio. The company is navigating the

Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Leave a Reply

Your email address will not be published. Required fields are marked *