Philips Lighting, Revolution Lighting Enjoy Surge in Stock Prices
Shares of two lighting companies are outpacing some perennial electrical stock leaders so far this year, with Revolution Lighting (RVLT) and Philips Lighting (LIGHT) up 54.3% and 23.9%, respectively so far this year.
The stock market can be cruel to companies that miss financial expectations, and some former Wall Street darlings from electrical land have discovered that the old saying, “It’s a fast ride from the penthouse to the (basement)” rings true.
Consider the recent stock-price history of Acuity Brands Inc. (AYI) and W.W. Grainger (GWW). Acuity’s stock had a three-year run for the ages starting in early Jan. 2013, when it climbed from approximately $69 per share to its all-time high of $280.89 in late August, 2016 — a spectacular 306% increase. However, after reaching those heights, the stock slid 37.2% to its April 25 close of $176.5 per share.
Grainger’s share price has been on a different journey. After first reaching the $200 per share level in early 2012 it has consistently stayed comfortably above that mark with the exception of early 2016, when the whole market tanked, before dropping sharply earlier this month below $200 on the news that it would miss some financial targets. See the chart below to track the year-to-date performance of other electrical stocks.
--Jim Lucy