Market Insider

Armstrong World Industries jumps after guidance beats

People look up at a ceiling.
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Shares of Armstrong World Industries soared more than 11 percent after the company gave full-year guidance above analyst expectations.

The ceiling products manufacturer said in its earnings report on Monday it expects revenue between $1.29-1.32 billion for 2017, higher than the $1.28 billion projected by Wall Street. Adjusted earnings per share guidance of $2.60 to $2.70 a share also beat the $2.47 a share estimate from FactSet.

Armstrong's stock was last changing hands at $44.85 per share and on pace for its best day since Nov. 5, 2009, when the stock gained 15.74 percent.

Armstrong World also reported adjusted earnings of 45 cents per share, topping Wall Street estimates of 44 cents per share, according to FactSet.

However, fourth-quarter revenue for the company came in below estimates at $297.9 million versus the $302.1 million expected by analysts, according to FactSet.

Gains in Armstrong World led the S&P SPDR Homebuilders ETF (XHB), which climbed 1.5 percent Monday, its best day since Feb. 21 when it gained 1.21 percent.

Armstrong World Industries 12-month performance

Source: FactSet

With Monday's gains, shares of Armstrong World Industries are up 26 percent over the last 12 months.

— CNBC's Gina Francolla contributed to this report.

This report was updated to clarify AWI is a standalone ceilings solutions company.