Armstrong World Industries, Inc. (AWI) Financial Ratios
30 years of historical data (1996–2025) · Industrials · Construction
EV/EBITDA
↓
17.34
-3% vs avg
5yr avg: 17.88
30Y Low3.4·High23.2
P/FCF
↓
28.83
↓-19% vs avg
5yr avg: 35.69
30Y Low4.2·High123.4
P/B Ratio
↓
8.05
-3% vs avg
5yr avg: 8.31
30Y Low0.6·High12.7
ROE
↓
37.2%
-3% vs avg
5yr avg: 38.4%
30Y Low-21%·High316%
Debt/EBITDA
↓
1.23
↓-36% vs avg
5yr avg: 1.93
30Y Low0.2·High16.2
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
AWI Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Armstrong World Industries, Inc. trades at 23.5x earnings, roughly in line with its 5-year average of 23.3x, sitting at the 58th percentile of its historical range. Compared to the Industrials sector median P/E of 25.9x, the stock trades at a discount of 9%. On a free-cash-flow basis, the stock trades at 28.8x P/FCF, 19% below the 5-year average of 35.7x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $7.1B | $8.3B | $6.2B | $4.4B | $3.2B | $5.6B | $3.6B | $4.7B | $3.0B | $3.3B | $2.3B |
| Enterprise Value | $7.5B | $8.8B | $6.7B | $5.0B | $3.8B | $6.1B | $4.2B | $5.3B | $3.5B | $4.0B | $3.1B |
| P/E Ratio → | 23.48 | 26.99 | 23.48 | 19.70 | 15.95 | 30.40 | — | 19.38 | 16.31 | 27.40 | 22.35 |
| P/S Ratio | 4.38 | 5.14 | 4.30 | 3.40 | 2.58 | 5.03 | 3.80 | 4.48 | 3.11 | 3.65 | 2.79 |
| P/B Ratio | 8.05 | 9.25 | 8.21 | 7.44 | 5.95 | 10.70 | 7.90 | 12.75 | 11.61 | 7.78 | 8.74 |
| P/FCF | 28.83 | 33.86 | 33.80 | 29.42 | 29.58 | 51.79 | 21.81 | 41.76 | 23.10 | 40.44 | — |
| P/OCF | 19.96 | 23.44 | 23.31 | 18.86 | 17.45 | 29.71 | 16.29 | 25.46 | 14.92 | 19.15 | 47.23 |
P/E links to full P/E history page with 30-year chart
AWI EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Armstrong World Industries, Inc.'s enterprise value stands at 17.3x EBITDA, roughly in line with its 5-year average of 17.9x. The Industrials sector median is 13.9x, placing the stock at a 25% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 5.40 | 4.66 | 3.84 | 3.05 | 5.54 | 4.46 | 5.06 | 3.62 | 4.43 | 3.66 |
| EV / EBITDA | 17.34 | 20.20 | 17.91 | 15.37 | 12.72 | 23.18 | 16.48 | 16.80 | 13.90 | 15.98 | 14.93 |
| EV / EBIT | 17.44 | 20.20 | 17.17 | 14.41 | 13.22 | 22.38 | — | 15.61 | 13.25 | 15.41 | 15.95 |
| EV / FCF | — | 35.56 | 36.63 | 33.23 | 34.98 | 57.13 | 25.59 | 47.15 | 26.86 | 49.00 | — |
AWI Profitability
Margins and return-on-capital ratios measuring operating efficiency
Armstrong World Industries, Inc. earns an operating margin of 26.6%, significantly above the Industrials sector average of 4.9%. Operating margins have expanded from 18.1% to 26.6% over the past 3 years, signaling improving operational efficiency. Return on equity of 37.2% is exceptionally high — well above the sector median of 8.2%. ROIC of 24.9% represents excellent returns on invested capital versus a sector median of 6.3%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 40.6% | 40.6% | 40.2% | 38.4% | 36.4% | 36.7% | 35.6% | 38.1% | 34.2% | 35.7% | 36.6% |
| Operating Margin | 26.6% | 26.6% | 18.9% | 18.1% | 17.2% | 15.2% | 18.1% | 23.2% | 17.9% | 20.2% | 18.0% |
| Net Profit Margin | 19.0% | 19.0% | 18.3% | 17.3% | 16.2% | 16.7% | -9.0% | 23.1% | 20.4% | 25.1% | 10.7% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 37.2% | 37.2% | 39.3% | 39.7% | 37.8% | 38.1% | -20.6% | 76.7% | 58.4% | 65.4% | 17.2% |
| ROA | 16.4% | 16.4% | 15.1% | 13.3% | 11.8% | 10.8% | -5.2% | 14.3% | 10.6% | 12.3% | 4.0% |
| ROIC | 24.9% | 24.9% | 16.8% | 15.4% | 14.4% | 11.7% | 12.5% | 21.0% | 14.0% | 12.8% | 8.9% |
| ROCE | 26.5% | 26.5% | 17.8% | 15.7% | 14.1% | 11.0% | 11.8% | 18.1% | 11.9% | 11.5% | 7.9% |
AWI Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Armstrong World Industries, Inc. carries a Debt/EBITDA ratio of 1.2x, which is manageable (61% below the sector average of 3.2x). Net debt stands at $419M ($532M total debt minus $113M cash). Interest coverage of 13.1x signals virtually no risk of debt distress — earnings comfortably cover interest obligations.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.59 | 0.59 | 0.79 | 1.08 | 1.28 | 1.29 | 1.68 | 1.77 | 3.14 | 2.03 | 3.28 |
| Debt / EBITDA | 1.23 | 1.23 | 1.59 | 1.98 | 2.32 | 2.54 | 2.98 | 2.07 | 3.23 | 3.44 | 4.26 |
| Net Debt / Equity | — | 0.47 | 0.69 | 0.96 | 1.09 | 1.10 | 1.37 | 1.65 | 1.89 | 1.65 | 2.75 |
| Net Debt / EBITDA | 0.97 | 0.97 | 1.38 | 1.76 | 1.96 | 2.17 | 2.44 | 1.92 | 1.95 | 2.79 | 3.57 |
| Debt / FCF | — | 1.70 | 2.83 | 3.80 | 5.40 | 5.34 | 3.79 | 5.39 | 3.76 | 8.56 | — |
| Interest Coverage | 13.13 | 13.13 | 8.66 | 7.37 | 10.51 | 8.73 | -3.27 | 9.09 | 7.08 | 7.44 | 4.66 |
AWI Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.46x means Armstrong World Industries, Inc. can comfortably meet its short-term obligations, though there is limited excess liquidity. The quick ratio of 1.00x is notably lower than the current ratio, indicating a significant portion of current assets is tied up in inventory. The current ratio has declined from 1.61x to 1.46x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.46 | 1.46 | 1.40 | 1.61 | 1.95 | 1.54 | 1.81 | 1.57 | 1.37 | 2.40 | 1.81 |
| Quick Ratio | 1.00 | 1.00 | 0.96 | 1.07 | 1.35 | 1.11 | 1.34 | 1.13 | 1.26 | 2.20 | 1.33 |
| Cash Ratio | 0.42 | 0.42 | 0.32 | 0.36 | 0.58 | 0.47 | 0.79 | 0.29 | 0.59 | 0.59 | 0.63 |
| Asset Turnover | — | 0.84 | 0.78 | 0.77 | 0.73 | 0.65 | 0.55 | 0.70 | 0.52 | 0.48 | 0.48 |
| Inventory Turnover | 7.72 | 7.72 | 7.87 | 7.67 | 7.13 | 7.77 | 7.41 | 9.38 | 10.49 | 10.68 | 4.87 |
| Days Sales Outstanding | — | 29.34 | 34.92 | 31.51 | 33.80 | 36.45 | 31.40 | 40.47 | 30.54 | 49.63 | 24.02 |
AWI Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Armstrong World Industries, Inc. returns 2.6% to shareholders annually — split between a 0.8% dividend yield and 1.8% buyback yield. The payout ratio of 17.9% is conservative, leaving significant room for dividend growth or reinvestment. The earnings yield of 4.3% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.8% | 0.7% | 0.8% | 1.1% | 1.4% | 0.7% | 1.1% | 0.8% | 0.3% | — | — |
| Payout Ratio | 17.9% | 17.9% | 19.1% | 21.0% | 22.1% | 22.4% | — | 14.8% | 4.3% | — | — |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.3% | 3.7% | 4.3% | 5.1% | 6.3% | 3.3% | — | 5.2% | 6.1% | 3.6% | 4.5% |
| FCF Yield | 3.5% | 3.0% | 3.0% | 3.4% | 3.4% | 1.9% | 4.6% | 2.4% | 4.3% | 2.5% | — |
| Buyback Yield | 1.8% | 1.5% | 1.0% | 3.0% | 5.2% | 1.4% | 1.2% | 2.8% | 10.1% | 2.5% | 1.9% |
| Total Shareholder Yield | 2.6% | 2.2% | 1.8% | 4.1% | 6.6% | 2.2% | 2.3% | 3.6% | 10.4% | 2.5% | 1.9% |
| Shares Outstanding | — | $44M | $44M | $45M | $46M | $48M | $48M | $50M | $52M | $54M | $56M |
Peer Comparison
Compare AWI with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 AWIYou | $7B | 23.5 | 17.3 | 28.8 | 40.6% | 26.6% | 37.2% | 24.9% | 1.2 |
 TREX | $4B | 22.4 | 13.9 | 31.6 | 39.2% | 22.0% | 20.2% | 16.4% | 0.7 |
 OC | $10B | -19.7 | 6.7 | 10.3 | 28.5% | 17.0% | -11.6% | 12.9% | 2.6 |
 MHK | $6B | 17.6 | 7.1 | 10.4 | 23.9% | 4.7% | 4.6% | 3.9% | 2.4 |
 TILE | $2B | 14.2 | 8.8 | 13.2 | 38.7% | 11.8% | 13.7% | 11.3% | 1.3 |
 AMWD | $566M | 6.0 | 5.3 | 8.6 | 17.9% | 8.2% | 10.9% | 7.8% | 2.6 |
 APOG | $784M | 14.5 | 21.9 | 8.2 | 22.7% | 6.0% | 10.8% | 8.1% | 6.1 |
 VMC | $38B | 36.4 | 18.7 | 33.8 | 27.3% | 20.1% | 13.0% | 8.8% | 2.3 |
 MLM | $37B | 32.7 | 19.6 | 38.0 | 30.0% | 23.3% | 11.7% | 7.6% | 2.5 |
 EXP | $7B | 15.8 | 10.9 | 19.8 | 29.8% | 26.5% | 33.5% | 17.6% | 1.7 |
 LEN | $20B | 11.3 | 7.6 | 693.2 | 17.7% | 8.0% | 8.2% | 7.9% | 2.2 |
| Industrials Median | — | 25.9 | 13.9 | 20.6 | 32.8% | 4.9% | 8.2% | 6.3% | 3.2 |
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Download Financial Ratios Data
Includes 30+ ratios · 30 years · Updated daily
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Start ComparisonAWI — Frequently Asked Questions
Quick answers to the most common questions about buying AWI stock.
What is Armstrong World Industries, Inc.'s P/E ratio?
Armstrong World Industries, Inc.'s current P/E ratio is 23.5x. The historical average is 30.8x. This places it at the 58th percentile of its historical range.
What is Armstrong World Industries, Inc.'s EV/EBITDA?
Armstrong World Industries, Inc.'s current EV/EBITDA is 17.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.8x.
What is Armstrong World Industries, Inc.'s ROE?
Armstrong World Industries, Inc.'s return on equity (ROE) is 37.2%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 32.1%.
Is AWI stock overvalued?
Based on historical data, Armstrong World Industries, Inc. is trading at a P/E of 23.5x. This is at the 58th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Armstrong World Industries, Inc.'s dividend yield?
Armstrong World Industries, Inc.'s current dividend yield is 0.76% with a payout ratio of 17.9%.
What are Armstrong World Industries, Inc.'s profit margins?
Armstrong World Industries, Inc. has 40.6% gross margin and 26.6% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does Armstrong World Industries, Inc. have?
Armstrong World Industries, Inc.'s Debt/EBITDA ratio is 1.2x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.