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Acuity, Inc. (AYI) Soars to 52-Week High, Time to Cash Out?
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Have you been paying attention to shares of Acuity (AYI - Free Report) ? Shares have been on the move with the stock up 1.2% over the past month. The stock hit a new 52-week high of $380.17 in the previous session. Acuity has gained 4.6% since the start of the year compared to the -8.3% move for the Zacks Business Services sector and the 19.9% return for the Zacks Technology Services industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on October 1, 2025, Acuity reported EPS of $5.2 versus consensus estimate of $4.7.
For the current fiscal year, Acuity is expected to post earnings of $19.76 per share on $4.77 in revenues. This represents a 9.72% change in EPS on a 9.68% change in revenues. For the next fiscal year, the company is expected to earn $21.66 per share on $5.02 in revenues. This represents a year-over-year change of 9.62% and 5.35%, respectively.
Valuation Metrics
While Acuity has moved to its 52-week high over the past few weeks, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.
Acuity has a Value Score of B. The stock's Growth and Momentum Scores are B and D, respectively, giving the company a VGM Score of B.
In terms of its value breakdown, the stock currently trades at 19.1X current fiscal year EPS estimates, which is a premium to the peer industry average of 16.6X. On a trailing cash flow basis, the stock currently trades at 17.3X versus its peer group's average of 11.9X. Additionally, the stock has a PEG ratio of 1.91. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Acuity currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Acuity fits the bill. Thus, it seems as though Acuity shares could have a bit more room to run in the near term.
How Does AYI Stack Up to the Competition?
Shares of AYI have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Dave Inc. (DAVE - Free Report) . DAVE has a Zacks Rank of #1 (Strong Buy) and a Value Score of D, a Growth Score of A, and a Momentum Score of C.
Earnings were strong last quarter. Dave Inc. beat our consensus estimate by 85.15%, and for the current fiscal year, DAVE is expected to post earnings of $14.00 per share on revenue of $546.07 million.
Shares of Dave Inc. have gained 13.7% over the past month, and currently trade at a forward P/E of 16.44X and a P/CF of 45.86X.
The Technology Services industry may rank in the bottom 65% of all the industries we have in our universe, but there still looks like there are some nice tailwinds for AYI and DAVE, even beyond their own solid fundamental situation.
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Acuity, Inc. (AYI) Soars to 52-Week High, Time to Cash Out?
Have you been paying attention to shares of Acuity (AYI - Free Report) ? Shares have been on the move with the stock up 1.2% over the past month. The stock hit a new 52-week high of $380.17 in the previous session. Acuity has gained 4.6% since the start of the year compared to the -8.3% move for the Zacks Business Services sector and the 19.9% return for the Zacks Technology Services industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on October 1, 2025, Acuity reported EPS of $5.2 versus consensus estimate of $4.7.
For the current fiscal year, Acuity is expected to post earnings of $19.76 per share on $4.77 in revenues. This represents a 9.72% change in EPS on a 9.68% change in revenues. For the next fiscal year, the company is expected to earn $21.66 per share on $5.02 in revenues. This represents a year-over-year change of 9.62% and 5.35%, respectively.
Valuation Metrics
While Acuity has moved to its 52-week high over the past few weeks, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.
Acuity has a Value Score of B. The stock's Growth and Momentum Scores are B and D, respectively, giving the company a VGM Score of B.
In terms of its value breakdown, the stock currently trades at 19.1X current fiscal year EPS estimates, which is a premium to the peer industry average of 16.6X. On a trailing cash flow basis, the stock currently trades at 17.3X versus its peer group's average of 11.9X. Additionally, the stock has a PEG ratio of 1.91. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Acuity currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Acuity fits the bill. Thus, it seems as though Acuity shares could have a bit more room to run in the near term.
How Does AYI Stack Up to the Competition?
Shares of AYI have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Dave Inc. (DAVE - Free Report) . DAVE has a Zacks Rank of #1 (Strong Buy) and a Value Score of D, a Growth Score of A, and a Momentum Score of C.
Earnings were strong last quarter. Dave Inc. beat our consensus estimate by 85.15%, and for the current fiscal year, DAVE is expected to post earnings of $14.00 per share on revenue of $546.07 million.
Shares of Dave Inc. have gained 13.7% over the past month, and currently trade at a forward P/E of 16.44X and a P/CF of 45.86X.
The Technology Services industry may rank in the bottom 65% of all the industries we have in our universe, but there still looks like there are some nice tailwinds for AYI and DAVE, even beyond their own solid fundamental situation.