EAGLE MATERIALS INC (NYSE:EXP) can be considered a quality stock. Here's why.

In this article we will dive into EAGLE MATERIALS INC (NYSE:EXP) as a possible candidate for quality investing. Investors should always do their own research, but we noticed EAGLE MATERIALS INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Highlighting Notable Quality Metrics of NYSE:EXP.

• Over the past 5 years, EAGLE MATERIALS INC has experienced impressive revenue growth, with 9.15% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• With a notable ROIC excluding cash and goodwill at 22.71%, EAGLE MATERIALS INC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• EAGLE MATERIALS INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 2.58, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• With a robust Profit Quality (5-year) ratio of 205.0%, EAGLE MATERIALS INC highlights its ability to consistently generate high-quality profits. This metric reflects the company's effective management and operational excellence in delivering reliable earnings over the long term.
• EAGLE MATERIALS INC has consistently achieved strong EBIT growth over the past 5 years, with a 14.23% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• EAGLE MATERIALS INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Zooming in on the fundamentals.

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

Taking everything into account, EXP scores 7 out of 10 in our fundamental rating. EXP was compared to 12 industry peers in the Construction Materials industry. EXP scores excellent points on both the profitability and health parts. This is a solid base for a good stock. A decent growth rate in combination with a cheap valuation! Better keep an eye on EXP. These ratings would make EXP suitable for value and quality investing!

Check the latest full fundamental report of EXP for a complete fundamental analysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.