Armstrong World Industries, Inc.AWI
NYSE•Industrials•Building Products & Equipment
Armstrong World Industries, Inc., together with its subsidiaries, engages in the design, manufacture, and sale of ceiling and wall solutions in the Americas. It operates through Mineral Fiber and Architectural Specialties segments. The company offers mineral fiber, fiberglass, metal, wood, felt, architectural resin and glass, wood fiber, and glass-reinforced-gypsum; and ceiling component products, such as ceiling perimeters and trims, as well as grid products that support drywall ceiling systems. It also designs, produces, and sources specialty ceilings, walls, and other interior and exterior architectural applications primarily for use in commercial settings; and manufactures ceiling suspension system (grid) products. It serves commercial and residential construction markets, as well as renovation of existing buildings sectors. The company sells its products to resale distributors, ceiling system contractors, wholesalers, and retailers comprising large home centers. Armstrong World Industries, Inc. was founded in 1860 and is headquartered in Lancaster, Pennsylvania.
Armstrong World Industries Inc (AWI) reported trailing twelve months revenue of $1.65B as of March 2026, a 9.7% increase year-over-year. Quarterly revenue reached $409.90M, reflecting continued top-line momentum.
Armstrong World Industries Inc generated $306.40M in TTM net income, with quarterly EBITDA of $123.90M. The operating margin contracted from 25.7% to 23.0%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (23.0%) and net margin (16.3%) indicates moderate non-operating costs. Net margin has narrowed from 18.1% a year ago, reflecting increased costs or interest expense.
AWI trades at a P/E of 21.5x (in line with broad market averages) and a P/S of 4.0x. The price-to-book ratio of 7.4x indicates a significant premium over book value.
The company generated $14.40M in free cash flow over the trailing twelve months, a 34.2% decrease year-over-year, indicating cash generation ability. The balance sheet shows $1.99B in total assets with $469.00M in long-term debt against $892.90M in stockholders equity for a debt-to-equity ratio of 0.5. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are stable at ~25.8%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 34.8% suggests a durable competitive advantage and efficient capital allocation.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
TTM revenue has grown consistently (7 of 7 quarters up), with ~22.0% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~25.8% — no sign of cost or pricing stress.
FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.
D/E ratio is 0.5 — conservative capital structure with low financial risk.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Shares decreased 2.3% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation