EAGLE MATERIALS INC (EXP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EXP - US26969P1084 - Common Stock
223.72 USD
+2.52 (+1.14%)
223.72 USD
0 (0%)
Taking everything into account, EXP scores 6 out of 10 in our fundamental rating. EXP was compared to 13 industry peers in the Construction Materials industry. EXP scores excellent on profitability, but there are some minor concerns on its financial health. EXP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year EXP was profitable.
In the past year EXP had a positive cash flow from operations.
Each year in the past 5 years EXP has been profitable.
EXP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 13.11%, EXP belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
Looking at the Return On Equity, with a value of 29.07%, EXP belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
EXP has a Return On Invested Capital of 14.48%. This is amongst the best in the industry. EXP outperforms 84.62% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EXP is significantly above the industry average of 9.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.11% | ||
| ROE | 29.07% | ||
| ROIC | 14.48% |
ROA(3y)15.67%
ROA(5y)14.69%
ROE(3y)35.75%
ROE(5y)33.05%
ROIC(3y)17.09%
ROIC(5y)15.48%
1.3 Margins
With an excellent Profit Margin value of 19.41%, EXP belongs to the best of the industry, outperforming 92.31% of the companies in the same industry.
EXP's Profit Margin has improved in the last couple of years.
EXP has a better Operating Margin (25.56%) than 92.31% of its industry peers.
EXP's Operating Margin has improved in the last couple of years.
The Gross Margin of EXP (29.01%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of EXP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.56% | ||
| PM (TTM) | 19.41% | ||
| GM | 29.01% |
OM growth 3Y2.36%
OM growth 5Y5.17%
PM growth 3Y0.65%
PM growth 5Y32.34%
GM growth 3Y2.18%
GM growth 5Y3.47%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EXP is still creating some value.
The number of shares outstanding for EXP has been reduced compared to 1 year ago.
Compared to 5 years ago, EXP has less shares outstanding
EXP has a worse debt/assets ratio than last year.
2.2 Solvency
EXP has an Altman-Z score of 4.33. This indicates that EXP is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 4.33, EXP belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
EXP has a debt to FCF ratio of 5.28. This is a neutral value as EXP would need 5.28 years to pay back of all of its debts.
EXP has a Debt to FCF ratio of 5.28. This is in the better half of the industry: EXP outperforms 76.92% of its industry peers.
A Debt/Equity ratio of 0.83 indicates that EXP is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.83, EXP is not doing good in the industry: 92.31% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 5.28 | ||
| Altman-Z | 4.33 |
ROIC/WACC1.47
WACC9.88%
2.3 Liquidity
EXP has a Current Ratio of 2.72. This indicates that EXP is financially healthy and has no problem in meeting its short term obligations.
EXP has a Current ratio of 2.72. This is in the better half of the industry: EXP outperforms 69.23% of its industry peers.
A Quick Ratio of 1.22 indicates that EXP should not have too much problems paying its short term obligations.
EXP has a Quick ratio (1.22) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.72 | ||
| Quick Ratio | 1.22 |
3. Growth
3.1 Past
The earnings per share for EXP have decreased by -3.81% in the last year.
The Earnings Per Share has been growing by 19.47% on average over the past years. This is quite good.
The Revenue has been growing slightly by 1.50% in the past year.
EXP shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.99% yearly.
EPS 1Y (TTM)-3.81%
EPS 3Y13.75%
EPS 5Y19.47%
EPS Q2Q%-0.94%
Revenue 1Y (TTM)1.5%
Revenue growth 3Y6.69%
Revenue growth 5Y9.99%
Sales Q2Q%2.45%
3.2 Future
The Earnings Per Share is expected to grow by 7.15% on average over the next years.
EXP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.13% yearly.
EPS Next Y1.6%
EPS Next 2Y4.4%
EPS Next 3Y7.15%
EPS Next 5YN/A
Revenue Next Year1.4%
Revenue Next 2Y2.94%
Revenue Next 3Y4.13%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.41, the valuation of EXP can be described as correct.
69.23% of the companies in the same industry are more expensive than EXP, based on the Price/Earnings ratio.
EXP's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.31.
The Price/Forward Earnings ratio is 14.82, which indicates a correct valuation of EXP.
Based on the Price/Forward Earnings ratio, EXP is valued a bit cheaper than the industry average as 76.92% of the companies are valued more expensively.
EXP is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.41 | ||
| Fwd PE | 14.82 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EXP is valued a bit cheaper than the industry average as 69.23% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, EXP is valued a bit cheaper than 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.81 | ||
| EV/EBITDA | 11.2 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EXP does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of EXP may justify a higher PE ratio.
PEG (NY)10.28
PEG (5Y)0.84
EPS Next 2Y4.4%
EPS Next 3Y7.15%
5. Dividend
5.1 Amount
With a yearly dividend of 0.45%, EXP is not a good candidate for dividend investing.
EXP's Dividend Yield is comparable with the industry average which is at 4.03.
Compared to an average S&P500 Dividend Yield of 2.40, EXP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
5.2 History
The dividend of EXP is nicely growing with an annual growth rate of 20.56%!
EXP has paid a dividend for at least 10 years, which is a reliable track record.
EXP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)20.56%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
7.46% of the earnings are spent on dividend by EXP. This is a low number and sustainable payout ratio.
EXP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP7.46%
EPS Next 2Y4.4%
EPS Next 3Y7.15%
223.72
+2.52 (+1.14%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryConstruction Materials
Earnings (Last)
Earnings (Next)
Inst Owners101.79%
Inst Owner Change0.87%
Ins Owners0.97%
Ins Owner Change1.41%
Market Cap7.17B
Revenue(TTM)2.30B
Net Income(TTM)446.80M
Analysts68.75
Price Target248.78 (11.2%)
Short Float %3.83%
Short Ratio3.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
Yearly Dividend1
Dividend Growth(5Y)20.56%
DP7.46%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.48%
Min EPS beat(2)-3.82%
Max EPS beat(2)0.86%
EPS beat(4)1
Avg EPS beat(4)-7.48%
Min EPS beat(4)-16.97%
Max EPS beat(4)0.86%
EPS beat(8)3
Avg EPS beat(8)-5.43%
EPS beat(12)4
Avg EPS beat(12)-2.2%
EPS beat(16)7
Avg EPS beat(16)-0.59%
Revenue beat(2)1
Avg Revenue beat(2)1.34%
Min Revenue beat(2)-0.37%
Max Revenue beat(2)3.06%
Revenue beat(4)1
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-3.86%
Max Revenue beat(4)3.06%
Revenue beat(8)2
Avg Revenue beat(8)-1.62%
Revenue beat(12)3
Avg Revenue beat(12)-1.7%
Revenue beat(16)4
Avg Revenue beat(16)-1.21%
PT rev (1m)-2.54%
PT rev (3m)-2.54%
EPS NQ rev (1m)-4.32%
EPS NQ rev (3m)-5.16%
EPS NY rev (1m)-1.72%
EPS NY rev (3m)-0.97%
Revenue NQ rev (1m)-1.25%
Revenue NQ rev (3m)-1.65%
Revenue NY rev (1m)-0.56%
Revenue NY rev (3m)-0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.41 | ||
| Fwd PE | 14.82 | ||
| P/S | 3.15 | ||
| P/FCF | 29.81 | ||
| P/OCF | 13.86 | ||
| P/B | 4.72 | ||
| P/tB | 7.67 | ||
| EV/EBITDA | 11.2 |
EPS(TTM)13.63
EY6.09%
EPS(NY)15.1
Fwd EY6.75%
FCF(TTM)7.51
FCFY3.36%
OCF(TTM)16.14
OCFY7.22%
SpS70.93
BVpS47.37
TBVpS29.17
PEG (NY)10.28
PEG (5Y)0.84
Graham Number120.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.11% | ||
| ROE | 29.07% | ||
| ROCE | 18.61% | ||
| ROIC | 14.48% | ||
| ROICexc | 14.64% | ||
| ROICexgc | 18.05% | ||
| OM | 25.56% | ||
| PM (TTM) | 19.41% | ||
| GM | 29.01% | ||
| FCFM | 10.58% |
ROA(3y)15.67%
ROA(5y)14.69%
ROE(3y)35.75%
ROE(5y)33.05%
ROIC(3y)17.09%
ROIC(5y)15.48%
ROICexc(3y)17.24%
ROICexc(5y)15.84%
ROICexgc(3y)21.21%
ROICexgc(5y)19.3%
ROCE(3y)21.96%
ROCE(5y)19.89%
ROICexgc growth 3Y2.11%
ROICexgc growth 5Y14.43%
ROICexc growth 3Y0.71%
ROICexc growth 5Y13.04%
OM growth 3Y2.36%
OM growth 5Y5.17%
PM growth 3Y0.65%
PM growth 5Y32.34%
GM growth 3Y2.18%
GM growth 5Y3.47%
F-Score5
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 5.28 | ||
| Debt/EBITDA | 1.69 | ||
| Cap/Depr | 170.81% | ||
| Cap/Sales | 12.18% | ||
| Interest Coverage | 12.3 | ||
| Cash Conversion | 69.63% | ||
| Profit Quality | 54.51% | ||
| Current Ratio | 2.72 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 4.33 |
F-Score5
WACC9.88%
ROIC/WACC1.47
Cap/Depr(3y)94.23%
Cap/Depr(5y)76.4%
Cap/Sales(3y)6.36%
Cap/Sales(5y)5.28%
Profit Quality(3y)87.54%
Profit Quality(5y)110.92%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.81%
EPS 3Y13.75%
EPS 5Y19.47%
EPS Q2Q%-0.94%
EPS Next Y1.6%
EPS Next 2Y4.4%
EPS Next 3Y7.15%
EPS Next 5YN/A
Revenue 1Y (TTM)1.5%
Revenue growth 3Y6.69%
Revenue growth 5Y9.99%
Sales Q2Q%2.45%
Revenue Next Year1.4%
Revenue Next 2Y2.94%
Revenue Next 3Y4.13%
Revenue Next 5YN/A
EBIT growth 1Y-6.43%
EBIT growth 3Y9.2%
EBIT growth 5Y15.68%
EBIT Next Year24.4%
EBIT Next 3Y12.23%
EBIT Next 5YN/A
FCF growth 1Y-42.25%
FCF growth 3Y-7.27%
FCF growth 5Y5.74%
OCF growth 1Y-5.46%
OCF growth 3Y1.98%
OCF growth 5Y6.56%
EAGLE MATERIALS INC / EXP FAQ
What is the ChartMill fundamental rating of EAGLE MATERIALS INC (EXP) stock?
ChartMill assigns a fundamental rating of 6 / 10 to EXP.
What is the valuation status of EAGLE MATERIALS INC (EXP) stock?
ChartMill assigns a valuation rating of 5 / 10 to EAGLE MATERIALS INC (EXP). This can be considered as Fairly Valued.
How profitable is EAGLE MATERIALS INC (EXP) stock?
EAGLE MATERIALS INC (EXP) has a profitability rating of 9 / 10.
Can you provide the financial health for EXP stock?
The financial health rating of EAGLE MATERIALS INC (EXP) is 6 / 10.
What is the earnings growth outlook for EAGLE MATERIALS INC?
The Earnings per Share (EPS) of EAGLE MATERIALS INC (EXP) is expected to grow by 1.6% in the next year.