EAGLE MATERIALS INC (EXP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EXP - US26969P1084 - Common Stock
235.66 USD
+14.71 (+6.66%)
235.66 USD
0 (0%)
EXP gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 13 industry peers in the Construction Materials industry. EXP scores excellent on profitability, but there are some minor concerns on its financial health. EXP is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year EXP was profitable.
EXP had a positive operating cash flow in the past year.
In the past 5 years EXP has always been profitable.
EXP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EXP's Return On Assets of 13.11% is amongst the best of the industry. EXP outperforms 84.62% of its industry peers.
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.
The Return On Invested Capital of EXP (14.48%) is better than 84.62% of its industry peers.
EXP had an Average Return On Invested Capital over the past 3 years of 17.09%. This is significantly above the industry average of 9.37%.
| 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
Looking at the Profit Margin, with a value of 19.41%, EXP belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
In the last couple of years the Profit Margin of EXP has grown nicely.
Looking at the Operating Margin, with a value of 25.56%, EXP belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
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.
The number of shares outstanding for EXP has been reduced compared to 5 years ago.
Compared to 1 year ago, EXP has a worse debt to assets ratio.
2.2 Solvency
EXP has an Altman-Z score of 4.30. This indicates that EXP is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.30, EXP belongs to the top 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 69.23% of its industry peers.
EXP has a Debt/Equity ratio of 0.83. This is a neutral value indicating EXP is somewhat dependend on debt financing.
EXP has a worse Debt to Equity ratio (0.83) than 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 5.28 | ||
| Altman-Z | 4.3 |
ROIC/WACC1.39
WACC10.45%
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's Current ratio of 2.72 is fine compared to the rest 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.
With a Quick ratio value of 1.22, EXP perfoms like the industry average, outperforming 46.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.72 | ||
| Quick Ratio | 1.22 |
3. Growth
3.1 Past
EXP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.81%.
Measured over the past years, EXP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.47% on average per year.
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
Based on estimates for the next years, EXP will show a small growth in Earnings Per Share. The EPS will grow by 6.13% on average per year.
The Revenue is expected to grow by 3.69% on average over the next years.
EPS Next Y-1.06%
EPS Next 2Y2.47%
EPS Next 3Y6.13%
EPS Next 5YN/A
Revenue Next Year1.31%
Revenue Next 2Y2.43%
Revenue Next 3Y3.69%
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
EXP is valuated rather expensively with a Price/Earnings ratio of 17.29.
Based on the Price/Earnings ratio, EXP is valued a bit cheaper than 76.92% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.19, EXP is valued a bit cheaper.
A Price/Forward Earnings ratio of 16.20 indicates a correct valuation of EXP.
Based on the Price/Forward Earnings ratio, EXP is valued a bit cheaper than 76.92% of the companies in the same industry.
EXP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.29 | ||
| Fwd PE | 16.2 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EXP is valued a bit cheaper than 76.92% of the companies in the same industry.
EXP's Price/Free Cash Flow ratio is rather cheap when compared to the industry. EXP is cheaper than 92.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.02 | ||
| EV/EBITDA | 11.08 |
4.3 Compensation for Growth
EXP has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.89
EPS Next 2Y2.47%
EPS Next 3Y6.13%
5. Dividend
5.1 Amount
EXP has a yearly dividend return of 0.45%, which is pretty low.
Compared to an average industry Dividend Yield of 2.22, EXP has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 1.94, EXP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
5.2 History
On average, the dividend of EXP grows each year by 20.56%, which is quite nice.
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
EXP pays out 7.46% of its income as dividend. This is a sustainable payout ratio.
The dividend of EXP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP7.46%
EPS Next 2Y2.47%
EPS Next 3Y6.13%
235.66
+14.71 (+6.66%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryConstruction Materials
Earnings (Last)
Earnings (Next)
Inst Owners104.31%
Inst Owner Change0%
Ins Owners0.98%
Ins Owner Change0.93%
Market Cap7.56B
Revenue(TTM)2.30B
Net Income(TTM)446.80M
Analysts67.5
Price Target241.64 (2.54%)
Short Float %5.01%
Short Ratio3.63
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-DateN/A
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)-2.87%
PT rev (3m)-5.33%
EPS NQ rev (1m)-0.02%
EPS NQ rev (3m)-4.82%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.57%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)-1.7%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.29 | ||
| Fwd PE | 16.2 | ||
| P/S | 3.28 | ||
| P/FCF | 31.02 | ||
| P/OCF | 14.42 | ||
| P/B | 4.92 | ||
| P/tB | 7.98 | ||
| EV/EBITDA | 11.08 |
EPS(TTM)13.63
EY5.78%
EPS(NY)14.54
Fwd EY6.17%
FCF(TTM)7.6
FCFY3.22%
OCF(TTM)16.34
OCFY6.93%
SpS71.8
BVpS47.94
TBVpS29.52
PEG (NY)N/A
PEG (5Y)0.89
Graham Number121.26
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 | 4.3 |
F-Score5
WACC10.45%
ROIC/WACC1.39
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 Y-1.06%
EPS Next 2Y2.47%
EPS Next 3Y6.13%
EPS Next 5YN/A
Revenue 1Y (TTM)1.5%
Revenue growth 3Y6.69%
Revenue growth 5Y9.99%
Sales Q2Q%2.45%
Revenue Next Year1.31%
Revenue Next 2Y2.43%
Revenue Next 3Y3.69%
Revenue Next 5YN/A
EBIT growth 1Y-6.43%
EBIT growth 3Y9.2%
EBIT growth 5Y15.68%
EBIT Next Year20.23%
EBIT Next 3Y11.74%
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 for 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.
How financially healthy is EAGLE MATERIALS INC?
The financial health rating of EAGLE MATERIALS INC (EXP) is 6 / 10.
Can you provide the expected EPS growth for EXP stock?
The Earnings per Share (EPS) of EAGLE MATERIALS INC (EXP) is expected to decline by -1.06% in the next year.