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

By Mill Chart

Last update: Oct 11, 2024

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.


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Highlighting Notable Quality Metrics of NYSE:EXP.

  • EAGLE MATERIALS INC has achieved substantial revenue growth over the past 5 years, with a 11.51% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
  • With a notable ROIC excluding cash and goodwill at 22.29%, 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 maintains a healthy Debt/Free Cash Flow Ratio of 2.51, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
  • With a favorable Profit Quality (5-year) ratio of 171.0%, EAGLE MATERIALS INC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
  • The 5-year EBIT growth of EAGLE MATERIALS INC has been remarkable, with 15.01% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • EAGLE MATERIALS INC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

What else is there to say on the fundamentals of NYSE:EXP?

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to EXP. 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. EXP has a decent growth rate and is not valued too expensively. This makes EXP very considerable for quality investing!

Our latest full fundamental report of EXP contains the most current fundamental analsysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

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.

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