📊 AI Stock Rating — Summary

Armstrong World Industries reported revenue of approximately $425.2 million in the most recent quarter, with a net income of $86.3 million, leading to an EPS of $2. The company's free cash flow stood at $100.3 million, indicative of solid cash generation despite the absence of explicit free cash flow numbers in prior periods. Shareholder equity totals $889.2 million against net debt of $19.8 million, reflecting a strong financial position. The 1-year share price movement needs context to assess recent market performance. Growth in revenue and disciplined cost management have supported profitability improvements. With operating cash flow at $122.9 million, the firm's ability to fund capital expenditures of $22.6 million and return capital via $52.4 million in share buybacks is noteworthy. While the debt repayment stands at zero, the company maintains healthy liquidity with $90.1 million in cash. Analyst consensus suggests a price target of up to $238, indicating potential stock appreciation relative to current valuations. This blend of growth, cash flow, and share repurchases positions Armstrong well for future challenges.

AI Score Breakdown

Revenue Growth — Score: 7/10

Revenue was $425.2 million, showing stable growth. Continue to monitor for key drivers such as market expansion and product innovation.

Profitability — Score: 8/10

With a net income of $86.3 million and an EPS of $2, AWI demonstrates strong profitability. Efficiency improvements are reflected in robust margins.

Cash Flow Quality — Score: 8/10

Operating cash flow of $122.9 million and a solid free cash flow of $100.3 million highlight excellent cash generation capabilities, enabling buybacks and dividends.

Leverage & Balance Sheet — Score: 9/10

The company's liabilities are well-covered by equity ($889.2 million), with minimal net debt of $19.8 million, indicating financial resilience and low leverage.

Shareholder Returns — Score: 8/10

With substantial buybacks ($52.4 million) and quarterly dividends, the company returns value effectively. Share price trajectory over the past year will further refine this assessment.

Analyst Sentiment & Valuation — Score: 8/10

Analyst targets up to $238 suggest potential upside. No explicit valuation metrics provided, but consensus indicates room for appreciation based on current price context.

⚠ AI-generated — informational only, not financial advice.