Why Acuity Brands Stock Crashed in February
Shares in lighting and lighting-controls company Acuity Brands (NYSE: AYI) fell 12.7% in February, according to data provided by S&P Global Market Intelligence. The fall tended to track the decline in the broader market index, but it was much bigger in magnitude, and comes on the back of a significant decline in January. All told, Acuity's stock is down 26% year to date, compared to a 3.7% fall for the S&P 500.
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The fall in January came down to a disappointing set of first-quarter earnings; former CEO Vernon Nagel acknowledged in a press release that the net sales decline of 10.5% "was greater than previously forecasted due to weaker than expected market demand, which we estimate declined in the low-to-mid single digit range, with the decline in large projects even greater." Nagel would go on to say that he was "cautious about overall market conditions within the lighting industry for the remainder of our fiscal 2020."
Source Fool.com
