10 Best Electrical Equipment Stocks to Buy Now

3. Acuity Inc. (NYSE:AYI)

Number of Hedge Fund Holders: 47

Acuity Inc. (NYSE:AYI) offers lighting, lighting controls, building management system, and location-aware applications. Morgan Stanley analyst Christopher Snyder maintained a “Buy” rating on the company’s stock, setting a price objective of $370.00. The analyst’s rating is backed by numerous compelling factors, placing the company favorably in the market. Acuity Inc. (NYSE:AYI) posted adjusted diluted EPS of $3.73 in Q2 2025, reflecting an increase of $0.35 or 10.4% from $3.38 in the prior year, highlighting the strong execution capabilities. Additionally, Acuity Inc. (NYSE:AYI) achieved an adjusted gross margin of 47.5%, which surpassed Morgan Stanley’s estimate and the consensus, demonstrating strong operational efficiency and the favourable impact of the QSC acquisition.

Furthermore, Acuity Inc. (NYSE:AYI) tends to benefit from its strategic positioning as a USMCA-compliant producer in Mexico, offering it a competitive edge over Asian competitors witnessing tariff pressures, says the Morgan Stanley analyst. This advantage can help the company contribute to its relative outperformance. Overall, Acuity Inc. (NYSE:AYI) remains well-placed to benefit from the expansion of the electrical equipment market with the help of its diversified portfolio, including lighting solutions and intelligent building technologies.