INSTALLED BUILDING PRODUCTS (IBP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IBP - US45780R1014 - Common Stock
272.47 USD
-12.61 (-4.42%)
273.746 USD
+1.28 (+0.47%)
IBP gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 61 industry peers in the Household Durables industry. Both the health and profitability get an excellent rating, making IBP a very profitable company, without any liquidiy or solvency issues. 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.
In the past 5 years IBP has always been profitable.
In the past 5 years IBP always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.47%, IBP belongs to the top of the industry, outperforming 90.16% of the companies in the same industry.
IBP's Return On Equity of 37.68% is amongst the best of the industry. IBP outperforms 100.00% of its industry peers.
IBP has a better Return On Invested Capital (16.60%) than 91.80% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for IBP is significantly above the industry average of 9.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.47% | ||
| ROE | 37.68% | ||
| ROIC | 16.6% |
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
The Profit Margin of IBP (8.60%) is better than 75.41% of its industry peers.
In the last couple of years the Profit Margin of IBP has grown nicely.
Looking at the Operating Margin, with a value of 12.73%, IBP is in the better half of the industry, outperforming 78.69% of the companies in the same industry.
In the last couple of years the Operating Margin of IBP has grown nicely.
With a decent Gross Margin value of 33.62%, IBP is doing good in the industry, outperforming 68.85% of the companies in the same industry.
IBP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.73% | ||
| PM (TTM) | 8.6% | ||
| GM | 33.62% |
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so IBP is creating value.
Compared to 1 year ago, IBP has less shares outstanding
The number of shares outstanding for IBP has been reduced compared to 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 6.34 indicates that IBP is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.34, IBP belongs to the top of the industry, outperforming 90.16% of the companies in the same industry.
IBP has a debt to FCF ratio of 2.91. This is a good value and a sign of high solvency as IBP would need 2.91 years to pay back of all of its debts.
The Debt to FCF ratio of IBP (2.91) is better than 68.85% of its industry peers.
A Debt/Equity ratio of 1.25 is on the high side and indicates that IBP has dependencies on debt financing.
With a Debt to Equity ratio value of 1.25, IBP is not doing good in the industry: 77.05% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 2.91 | ||
| Altman-Z | 6.34 |
ROIC/WACC1.83
WACC9.08%
2.3 Liquidity
IBP has a Current Ratio of 2.78. This indicates that IBP is financially healthy and has no problem in meeting its short term obligations.
IBP's Current ratio of 2.78 is in line compared to the rest of the industry. IBP outperforms 50.82% of its industry peers.
IBP has a Quick Ratio of 2.28. This indicates that IBP is financially healthy and has no problem in meeting its short term obligations.
IBP has a Quick ratio of 2.28. This is amongst the best in the industry. IBP outperforms 91.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.28 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.27% over the past year.
The Earnings Per Share has been growing by 27.81% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 2.12% in the past year.
The Revenue has been growing by 14.24% on average over the past years. This is quite good.
EPS 1Y (TTM)0.27%
EPS 3Y27.6%
EPS 5Y27.81%
EPS Q2Q%11.58%
Revenue 1Y (TTM)2.12%
Revenue growth 3Y14.32%
Revenue growth 5Y14.24%
Sales Q2Q%2.31%
3.2 Future
IBP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.38% yearly.
The Revenue is expected to grow by 2.40% on average over the next years.
EPS Next Y-1.32%
EPS Next 2Y-0.41%
EPS Next 3Y3.38%
EPS Next 5YN/A
Revenue Next Year0.3%
Revenue Next 2Y1.25%
Revenue Next 3Y2.4%
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
With a Price/Earnings ratio of 24.57, IBP is valued on the expensive side.
Based on the Price/Earnings ratio, IBP is valued a bit more expensive than the industry average as 65.57% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of IBP to the average of the S&P500 Index (26.56), we can say IBP is valued inline with the index average.
With a Price/Forward Earnings ratio of 24.48, IBP is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IBP indicates a slightly more expensive valuation: IBP is more expensive than 62.30% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.79. IBP is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.57 | ||
| Fwd PE | 24.48 |
4.2 Price Multiples
IBP's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. IBP is more expensive than 67.21% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IBP is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.28 | ||
| EV/EBITDA | 17.26 |
4.3 Compensation for Growth
The excellent profitability rating of IBP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.88
EPS Next 2Y-0.41%
EPS Next 3Y3.38%
5. Dividend
5.1 Amount
With a yearly dividend of 0.52%, IBP is not a good candidate for dividend investing.
IBP's Dividend Yield is a higher than the industry average which is at 1.16.
With a Dividend Yield of 0.52, IBP pays less dividend than the S&P500 average, which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
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 34.18% of its income as dividend. This is a sustainable payout ratio.
DP34.18%
EPS Next 2Y-0.41%
EPS Next 3Y3.38%
272.47
-12.61 (-4.42%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners103.86%
Inst Owner Change-3.4%
Ins Owners2%
Ins Owner Change-0.32%
Market Cap7.39B
Revenue(TTM)2.97B
Net Income(TTM)255.70M
Analysts54.29
Price Target254.77 (-6.5%)
Short Float %8.02%
Short Ratio5.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
Yearly Dividend3.02
Dividend Growth(5Y)N/A
DP34.18%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.52%
Min EPS beat(2)15.06%
Max EPS beat(2)21.97%
EPS beat(4)2
Avg EPS beat(4)7.75%
Min EPS beat(4)-5.94%
Max EPS beat(4)21.97%
EPS beat(8)5
Avg EPS beat(8)5.45%
EPS beat(12)9
Avg EPS beat(12)7.38%
EPS beat(16)12
Avg EPS beat(16)9.5%
Revenue beat(2)2
Avg Revenue beat(2)4.26%
Min Revenue beat(2)2.61%
Max Revenue beat(2)5.92%
Revenue beat(4)2
Avg Revenue beat(4)1.43%
Min Revenue beat(4)-2.64%
Max Revenue beat(4)5.92%
Revenue beat(8)3
Avg Revenue beat(8)0.9%
Revenue beat(12)5
Avg Revenue beat(12)0.6%
Revenue beat(16)9
Avg Revenue beat(16)1.98%
PT rev (1m)3.89%
PT rev (3m)3.6%
EPS NQ rev (1m)5.26%
EPS NQ rev (3m)11.58%
EPS NY rev (1m)6.65%
EPS NY rev (3m)7.02%
Revenue NQ rev (1m)2.05%
Revenue NQ rev (3m)2.95%
Revenue NY rev (1m)1.8%
Revenue NY rev (3m)1.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.57 | ||
| Fwd PE | 24.48 | ||
| P/S | 2.49 | ||
| P/FCF | 24.28 | ||
| P/OCF | 19.39 | ||
| P/B | 10.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.26 |
EPS(TTM)11.09
EY4.07%
EPS(NY)11.13
Fwd EY4.08%
FCF(TTM)11.22
FCFY4.12%
OCF(TTM)14.05
OCFY5.16%
SpS109.6
BVpS25.01
TBVpS-0.96
PEG (NY)N/A
PEG (5Y)0.88
Graham Number79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.47% | ||
| ROE | 37.68% | ||
| ROCE | 22.55% | ||
| ROIC | 16.6% | ||
| ROICexc | 20.71% | ||
| ROICexgc | 43.48% | ||
| OM | 12.73% | ||
| PM (TTM) | 8.6% | ||
| GM | 33.62% | ||
| FCFM | 10.24% |
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%
ROICexgc growth 3Y9.03%
ROICexgc 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 Turnover1.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 2.91 | ||
| Debt/EBITDA | 1.85 | ||
| Cap/Depr | 93.9% | ||
| Cap/Sales | 2.59% | ||
| Interest Coverage | 9.1 | ||
| Cash Conversion | 82.82% | ||
| Profit Quality | 119.05% | ||
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.28 | ||
| Altman-Z | 6.34 |
F-Score6
WACC9.08%
ROIC/WACC1.83
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)0.27%
EPS 3Y27.6%
EPS 5Y27.81%
EPS Q2Q%11.58%
EPS Next Y-1.32%
EPS Next 2Y-0.41%
EPS Next 3Y3.38%
EPS Next 5YN/A
Revenue 1Y (TTM)2.12%
Revenue growth 3Y14.32%
Revenue growth 5Y14.24%
Sales Q2Q%2.31%
Revenue Next Year0.3%
Revenue Next 2Y1.25%
Revenue Next 3Y2.4%
Revenue Next 5YN/A
EBIT growth 1Y-2.62%
EBIT growth 3Y26.89%
EBIT growth 5Y25.87%
EBIT Next Year19.96%
EBIT Next 3Y8.85%
EBIT Next 5YN/A
FCF growth 1Y11.75%
FCF growth 3Y35.39%
FCF growth 5Y28.09%
OCF growth 1Y15.65%
OCF growth 3Y34.96%
OCF growth 5Y22.53%
INSTALLED BUILDING PRODUCTS / IBP FAQ
Can you provide the ChartMill fundamental rating for INSTALLED BUILDING PRODUCTS?
ChartMill assigns a fundamental rating of 6 / 10 to IBP.
What is the valuation status for IBP stock?
ChartMill assigns a valuation rating of 2 / 10 to INSTALLED BUILDING PRODUCTS (IBP). This can be considered as Overvalued.
Can you provide the profitability details for INSTALLED BUILDING PRODUCTS?
INSTALLED BUILDING PRODUCTS (IBP) has a profitability rating of 8 / 10.
How financially healthy is INSTALLED BUILDING PRODUCTS?
The financial health rating of INSTALLED BUILDING PRODUCTS (IBP) is 7 / 10.
What is the earnings growth outlook for INSTALLED BUILDING PRODUCTS?
The Earnings per Share (EPS) of INSTALLED BUILDING PRODUCTS (IBP) is expected to decline by -1.32% in the next year.