INSTALLED BUILDING PRODUCTS (IBP) Stock Fundamental Analysis
USA - NYSE:IBP - US45780R1014 - Common Stock
266.61 USD
+6.3 (+2.42%)
266.61 USD
0 (0%)
Taking everything into account, IBP scores 6 out of 10 in our fundamental rating. IBP was compared to 61 industry peers in the Household Durables industry. IBP scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, IBP is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
IBP had positive earnings in the past year.
In the past year IBP had a positive cash flow from operations.
IBP had positive earnings in each of the past 5 years.
In the past 5 years IBP always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 12.37%, IBP belongs to the best of the industry, outperforming 91.80% of the companies in the same industry.
IBP has a Return On Equity of 37.61%. This is amongst the best in the industry. IBP outperforms 98.36% of its industry peers.
IBP has a Return On Invested Capital of 16.49%. This is amongst the best in the industry. IBP outperforms 91.80% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IBP is significantly above the industry average of 10.36%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.37% | ||
| ROE | 37.61% | ||
| ROIC | 16.49% |
ROA(3y)12.44%
ROA(5y)10.54%
ROE(3y)39.34%
ROE(5y)35.39%
ROIC(3y)16.81%
ROIC(5y)14.72%
1.3 Margins
IBP has a Profit Margin of 8.45%. This is in the better half of the industry: IBP outperforms 68.85% of its industry peers.
In the last couple of years the Profit Margin of IBP has grown nicely.
The Operating Margin of IBP (12.61%) is better than 80.33% of its industry peers.
IBP's Operating Margin has improved in the last couple of years.
IBP has a Gross Margin of 33.57%. This is in the better half of the industry: IBP outperforms 67.21% of its industry peers.
In the last couple of years the Gross Margin of IBP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.61% | ||
| PM (TTM) | 8.45% | ||
| GM | 33.57% |
OM growth 3Y10.99%
OM growth 5Y10.18%
PM growth 3Y13.07%
PM growth 5Y14.1%
GM growth 3Y4.13%
GM growth 5Y3.29%
2. Health
2.1 Basic Checks
IBP has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, IBP has less shares outstanding
IBP has less shares outstanding than it did 5 years ago.
The debt/assets ratio for IBP has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.32 indicates that IBP is not in any danger for bankruptcy at the moment.
IBP has a Altman-Z score of 6.32. This is amongst the best in the industry. IBP outperforms 88.52% of its industry peers.
The Debt to FCF ratio of IBP is 3.19, which is a good value as it means it would take IBP, 3.19 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.19, IBP is in the better half of the industry, outperforming 67.21% of the companies in the same industry.
A Debt/Equity ratio of 1.27 is on the high side and indicates that IBP has dependencies on debt financing.
IBP has a worse Debt to Equity ratio (1.27) than 80.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 3.19 | ||
| Altman-Z | 6.32 |
ROIC/WACC1.86
WACC8.89%
2.3 Liquidity
A Current Ratio of 2.85 indicates that IBP has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.85, IBP is in line with its industry, outperforming 55.74% of the companies in the same industry.
IBP has a Quick Ratio of 2.31. This indicates that IBP is financially healthy and has no problem in meeting its short term obligations.
IBP has a Quick ratio of 2.31. This is amongst the best in the industry. IBP outperforms 93.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.85 | ||
| Quick Ratio | 2.31 |
3. Growth
3.1 Past
IBP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.18%.
IBP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.81% yearly.
Looking at the last year, IBP shows a small growth in Revenue. The Revenue has grown by 3.44% in the last year.
IBP shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.24% yearly.
EPS 1Y (TTM)-2.18%
EPS 3Y27.6%
EPS 5Y27.81%
EPS Q2Q%-2.32%
Revenue 1Y (TTM)3.44%
Revenue growth 3Y14.32%
Revenue growth 5Y14.24%
Sales Q2Q%3.08%
3.2 Future
IBP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.75% yearly.
Based on estimates for the next years, IBP will show a small growth in Revenue. The Revenue will grow by 1.08% on average per year.
EPS Next Y-7.79%
EPS Next 2Y-1.93%
EPS Next 3Y0.75%
EPS Next 5YN/A
Revenue Next Year-1.14%
Revenue Next 2Y0.43%
Revenue Next 3Y1.08%
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
IBP is valuated rather expensively with a Price/Earnings ratio of 24.78.
Based on the Price/Earnings ratio, IBP is valued a bit more expensive than the industry average as 68.85% of the companies are valued more cheaply.
IBP is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.77, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 24.71, which indicates a rather expensive current valuation of IBP.
IBP's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. IBP is more expensive than 65.57% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.23. IBP is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.78 | ||
| Fwd PE | 24.71 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IBP indicates a slightly more expensive valuation: IBP is more expensive than 65.57% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as IBP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.31 | ||
| EV/EBITDA | 16.45 |
4.3 Compensation for Growth
IBP has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.89
EPS Next 2Y-1.93%
EPS Next 3Y0.75%
5. Dividend
5.1 Amount
With a yearly dividend of 0.58%, IBP is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.07, IBP pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, IBP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
5.2 History
IBP has been paying a dividend for over 5 years, so it has already some track record.
IBP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
IBP pays out 34.89% of its income as dividend. This is a sustainable payout ratio.
DP34.89%
EPS Next 2Y-1.93%
EPS Next 3Y0.75%
266.61
+6.3 (+2.42%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners107.15%
Inst Owner Change-0.66%
Ins Owners2%
Ins Owner Change-0.39%
Market Cap7.29B
Analysts66.25
Price Target245.91 (-7.76%)
Short Float %10.08%
Short Ratio4.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
Yearly Dividend3.02
Dividend Growth(5Y)N/A
DP34.89%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)8.02%
Min EPS beat(2)-5.94%
Max EPS beat(2)21.97%
EPS beat(4)1
Avg EPS beat(4)2.35%
Min EPS beat(4)-6.52%
Max EPS beat(4)21.97%
EPS beat(8)5
Avg EPS beat(8)5.58%
EPS beat(12)9
Avg EPS beat(12)6.79%
EPS beat(16)11
Avg EPS beat(16)7.95%
Revenue beat(2)1
Avg Revenue beat(2)2.87%
Min Revenue beat(2)-0.18%
Max Revenue beat(2)5.92%
Revenue beat(4)1
Avg Revenue beat(4)0.53%
Min Revenue beat(4)-2.64%
Max Revenue beat(4)5.92%
Revenue beat(8)2
Avg Revenue beat(8)0.43%
Revenue beat(12)5
Avg Revenue beat(12)0.89%
Revenue beat(16)8
Avg Revenue beat(16)1.73%
PT rev (1m)0%
PT rev (3m)26.11%
EPS NQ rev (1m)-0.37%
EPS NQ rev (3m)6.04%
EPS NY rev (1m)0%
EPS NY rev (3m)6.61%
Revenue NQ rev (1m)-0.28%
Revenue NQ rev (3m)1.63%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.78 | ||
| Fwd PE | 24.71 | ||
| P/S | 2.47 | ||
| P/FCF | 26.31 | ||
| P/OCF | 20.31 | ||
| P/B | 10.97 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.45 |
EPS(TTM)10.76
EY4.04%
EPS(NY)10.79
Fwd EY4.05%
FCF(TTM)10.13
FCFY3.8%
OCF(TTM)13.12
OCFY4.92%
SpS108.16
BVpS24.31
TBVpS-1.17
PEG (NY)N/A
PEG (5Y)0.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.37% | ||
| ROE | 37.61% | ||
| ROCE | 22.4% | ||
| ROIC | 16.49% | ||
| ROICexc | 20.2% | ||
| ROICexgc | 41.47% | ||
| OM | 12.61% | ||
| PM (TTM) | 8.45% | ||
| GM | 33.57% | ||
| FCFM | 9.37% |
ROA(3y)12.44%
ROA(5y)10.54%
ROE(3y)39.34%
ROE(5y)35.39%
ROIC(3y)16.81%
ROIC(5y)14.72%
ROICexc(3y)20.93%
ROICexc(5y)18.7%
ROICexgc(3y)44.39%
ROICexgc(5y)40.56%
ROCE(3y)22.83%
ROCE(5y)20%
ROICexcg growth 3Y9.03%
ROICexcg growth 5Y8.59%
ROICexc growth 3Y14.62%
ROICexc growth 5Y9.03%
OM growth 3Y10.99%
OM growth 5Y10.18%
PM growth 3Y13.07%
PM growth 5Y14.1%
GM growth 3Y4.13%
GM growth 5Y3.29%
F-Score6
Asset Turnover1.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 3.19 | ||
| Debt/EBITDA | 1.77 | ||
| Cap/Depr | 77.68% | ||
| Cap/Sales | 2.77% | ||
| Interest Coverage | 8.81 | ||
| Cash Conversion | 75.04% | ||
| Profit Quality | 110.8% | ||
| Current Ratio | 2.85 | ||
| Quick Ratio | 2.31 | ||
| Altman-Z | 6.32 |
F-Score6
WACC8.89%
ROIC/WACC1.86
Cap/Depr(3y)66.99%
Cap/Depr(5y)58.99%
Cap/Sales(3y)2.31%
Cap/Sales(5y)2.17%
Profit Quality(3y)105.43%
Profit Quality(5y)110.6%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.18%
EPS 3Y27.6%
EPS 5Y27.81%
EPS Q2Q%-2.32%
EPS Next Y-7.79%
EPS Next 2Y-1.93%
EPS Next 3Y0.75%
EPS Next 5YN/A
Revenue 1Y (TTM)3.44%
Revenue growth 3Y14.32%
Revenue growth 5Y14.24%
Sales Q2Q%3.08%
Revenue Next Year-1.14%
Revenue Next 2Y0.43%
Revenue Next 3Y1.08%
Revenue Next 5YN/A
EBIT growth 1Y-4.28%
EBIT growth 3Y26.89%
EBIT growth 5Y25.87%
EBIT Next Year14.99%
EBIT Next 3Y6.76%
EBIT Next 5YN/A
FCF growth 1Y3.67%
FCF growth 3Y35.39%
FCF growth 5Y28.09%
OCF growth 1Y13.33%
OCF growth 3Y34.96%
OCF growth 5Y22.53%