INSTALLED BUILDING PRODUCTS (IBP)
US45780R1014 - Common Stock
Taking everything into account, IBP scores 6 out of 10 in our fundamental rating. IBP was compared to 66 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. These ratings could make IBP a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year IBP was profitable.
In the past year IBP had a positive cash flow from operations.
Each year in the past 5 years IBP has been profitable.
IBP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 12.50%, IBP belongs to the best of the industry, outperforming 89.23% of the companies in the same industry.
IBP's Return On Equity of 36.86% is amongst the best of the industry. IBP outperforms 95.38% of its industry peers.
IBP has a better Return On Invested Capital (16.85%) than 92.31% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for IBP is above the industry average of 10.45%.
The 3 year average ROIC (14.63%) for IBP is below the current ROIC(16.85%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.5% | ||
| ROE | 36.86% | ||
| ROIC | 16.85% |
ROA(3y)10.68%
ROA(5y)9.29%
ROE(3y)36.71%
ROE(5y)33.57%
ROIC(3y)14.63%
ROIC(5y)13.36%
1.3 Margins
IBP has a better Profit Margin (8.90%) than 70.77% of its industry peers.
IBP's Profit Margin has improved in the last couple of years.
IBP has a better Operating Margin (13.58%) than 78.46% of its industry peers.
IBP's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 33.95%, IBP is in the better half of the industry, outperforming 72.31% of the companies in the same industry.
In the last couple of years the Gross Margin of IBP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.58% | ||
| PM (TTM) | 8.9% | ||
| GM | 33.95% |
OM growth 3Y10.25%
OM growth 5Y13.22%
PM growth 3Y14.26%
PM growth 5Y16.47%
GM growth 3Y2.78%
GM growth 5Y3.79%
2. Health
2.1 Basic Checks
IBP has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for IBP has been increased compared to 1 year ago.
Compared to 5 years ago, IBP has less shares outstanding
The debt/assets ratio for IBP has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.16 indicates that IBP is not in any danger for bankruptcy at the moment.
IBP's Altman-Z score of 6.16 is amongst the best of the industry. IBP outperforms 84.62% of its industry peers.
IBP has a debt to FCF ratio of 3.13. This is a good value and a sign of high solvency as IBP would need 3.13 years to pay back of all of its debts.
IBP has a Debt to FCF ratio of 3.13. This is in the better half of the industry: IBP outperforms 64.62% of its industry peers.
IBP has a Debt/Equity ratio of 1.25. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.25, IBP is not doing good in the industry: 75.38% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 3.13 | ||
| Altman-Z | 6.16 |
ROIC/WACC1.69
WACC9.97%
2.3 Liquidity
IBP has a Current Ratio of 3.18. This indicates that IBP is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 3.18, IBP perfoms like the industry average, outperforming 58.46% of the companies in the same industry.
IBP has a Quick Ratio of 2.67. This indicates that IBP is financially healthy and has no problem in meeting its short term obligations.
IBP has a Quick ratio of 2.67. This is amongst the best in the industry. IBP outperforms 89.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.18 | ||
| Quick Ratio | 2.67 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.76% over the past year.
The Earnings Per Share has been growing by 30.95% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 2.58% in the past year.
Measured over the past years, IBP shows a quite strong growth in Revenue. The Revenue has been growing by 15.77% on average per year.
EPS 1Y (TTM)10.76%
EPS 3Y33.3%
EPS 5Y30.95%
EPS Q2Q%14.88%
Revenue 1Y (TTM)2.58%
Revenue growth 3Y18.9%
Revenue growth 5Y15.77%
Sales Q2Q%5.09%
3.2 Future
Based on estimates for the next years, IBP will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.43% on average per year.
IBP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.11% yearly.
EPS Next Y14.2%
EPS Next 2Y10.95%
EPS Next 3Y14.43%
EPS Next 5YN/A
Revenue Next Year9.97%
Revenue Next 2Y7.99%
Revenue Next 3Y9.11%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 25.05, IBP can be considered very expensive at the moment.
Based on the Price/Earnings ratio, IBP is valued a bit more expensive than 64.62% of the companies in the same industry.
IBP's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.41.
A Price/Forward Earnings ratio of 20.98 indicates a rather expensive valuation of IBP.
63.08% of the companies in the same industry are cheaper than IBP, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 20.59. IBP is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.05 | ||
| Fwd PE | 20.98 |
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 61.54% 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 | 26.72 | ||
| EV/EBITDA | 15.72 |
4.3 Compensation for Growth
IBP's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
IBP has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as IBP's earnings are expected to grow with 14.43% in the coming years.
PEG (NY)1.76
PEG (5Y)0.81
EPS Next 2Y10.95%
EPS Next 3Y14.43%
5. Dividend
5.1 Amount
IBP has a yearly dividend return of 0.57%, which is pretty low.
Compared to an average industry Dividend Yield of 2.49, IBP pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.57, IBP pays less dividend than the S&P500 average, which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
5.2 History
IBP has been paying a dividend for less than 5 years, so it still needs to build a 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 33.36% of its income as dividend. This is a sustainable payout ratio.
DP33.36%
EPS Next 2Y10.95%
EPS Next 3Y14.43%
INSTALLED BUILDING PRODUCTS
NYSE:IBP (7/26/2024, 7:04:00 PM)
After market: 265.53 0 (0%)265.53
+17.8 (+7.19%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.55B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.05 | ||
| Fwd PE | 20.98 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.76
PEG (5Y)0.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.5% | ||
| ROE | 36.86% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 13.58% | ||
| PM (TTM) | 8.9% | ||
| GM | 33.95% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.18 | ||
| Quick Ratio | 2.67 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)10.76%
EPS 3Y33.3%
EPS 5Y
EPS Q2Q%
EPS Next Y14.2%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.58%
Revenue growth 3Y18.9%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y