Armstrong Acquires Geometrik, Enhances Architectural Wood Solutions

Armstrong World Industries, Inc. AWI, a global leader in the design and manufacture of ceiling and wall system solutions, recently announced the acquisition of Geometrik, a Kelowna, Canada-based company specializing in wood acoustical ceiling and wall systems.

The acquisition of Geometrik is expected to strengthen Armstrong’s capabilities while accelerating its wood product expansion. The deal brings together Geometrik’s excellence in wood acoustical ceiling and wall systems — featuring diverse wood species like Western Hemlock, and a broad curated palette of 12 standard and custom wood finishes — with Armstrong’s established architectural specialties platform and service footprint across Canada and the United States, creating a stronger and more comprehensive offering for customers.

Following the news, shares of AWI gained 1.8% during the trading hours yesterday.

Armstrong’s Growth Momentum

As evidenced by its acquisition of Geometrik, Armstrong is expanding its wood product portfolio while strengthening its Architectural Specialties platform. This acquisition would enhance Armstrong’s ability to meet growing demand for natural, biophilic design solutions across North America.

Armstrong’s combined portfolio leverages its extensive service footprint across Canada and the United States while opening opportunities in new market sectors. Beyond this acquisition, the company delivered record second-quarter fiscal 2025 results. Architectural Specialties grew 37% year over year in the quarter, with 15% organic growth complemented by the successful integration of 3form and Zahner. This performance underscores the strength of AWI’s business model and reinforces its strategy of balanced organic and inorganic growth.

Share Price Performance of Armstrong

Shares of Armstrong have rallied 38.3% year to date, outperforming the Zacks Building Products - Miscellaneous industry’s 1.7% growth. Armstrong plans to pursue additional bolt-on acquisitions to further enhance its portfolio and strengthen its position in the construction industry. While inflationary pressures and tariff-related risks remain challenges, the company’s balanced organic and inorganic strategies are expected to sustain its growth trajectory.

Management remains focused on long-term growth and value creation. The company’s strategy emphasizes both organic initiatives — such as innovation through ProjectWorks and Kanopi — and inorganic growth via bolt-on acquisitions. The addition of Geometrik expands Armstrong’s wood product capabilities, and the company continues to actively pursue opportunities that broaden its offerings and enhance its presence in the construction industry.

AWI’s Zacks Rank & Other Key Picks

Currently, Armstrong flaunts a Zacks Rank #1 (Strong Buy).

Other top-ranked stocks from the Construction sector are Everus Construction Group Inc. ECG, Tutor Perini Corporation TPC and Great Lakes Dredge & Dock Corporation GLDD.

Everus Construction Group presently sports a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of 42.7%, on average. ECG stock has jumped 24% year to date. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for ECG’s 2025 sales and earnings per share (EPS) indicates growth of 18% and 3.9%, respectively, from the year-ago period’s levels.

Tutor Perini sports a Zacks Rank of 1 at present. The company delivered a trailing four-quarter earnings surprise of 387.2%, on average. Tutor Perini stock has soared 173.8% year to date.

The Zacks Consensus Estimate for Tutor Perini’s 2025 sales and EPS indicates growth of 21.2% and 220.8%, respectively, from the prior-year levels.

Great Lakes Dredge & Dock flaunts a Zacks Rank of 1 at present. The company delivered a trailing four-quarter earnings surprise of 45.3%, on average. Great Lakes Dredge & Dock stock has gained 8% year to date.

The Zacks Consensus Estimate for Great Lakes Dredge & Dock’s 2025 sales and EPS indicates growth of 9% and 21.4%, respectively, from the prior-year levels.

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This article originally published on Zacks Investment Research (zacks.com).

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