An important meeting regarding Eagle Materials Inc. (EXP, Financial) is scheduled for May 29 in Chicago. This event is being organized by Stephens, and it aims to provide insights and analysis pertinent to confident investing decisions.
Investors will have the opportunity to gain a deeper understanding of the company's performance metrics and strategic priorities. The meeting is positioned as a valuable occasion to make well-informed investment choices concerning EXP. Attendees can anticipate discussions that highlight market resilience and potential undervaluation within the company's stock.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 10 analysts, the average target price for Eagle Materials Inc (EXP, Financial) is $255.31 with a high estimate of $285.00 and a low estimate of $220.00. The average target implies an upside of 19.04% from the current price of $214.47. More detailed estimate data can be found on the Eagle Materials Inc (EXP) Forecast page.
Based on the consensus recommendation from 12 brokerage firms, Eagle Materials Inc's (EXP, Financial) average brokerage recommendation is currently 2.4, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Eagle Materials Inc (EXP, Financial) in one year is $226.28, suggesting a upside of 5.51% from the current price of $214.47. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Eagle Materials Inc (EXP) Summary page.
EXP Key Business Developments
Release Date: May 20, 2025
- Revenue: Record fiscal year revenue of $2.3 billion, up slightly from the prior year.
- Earnings Per Share (EPS): Record EPS of $13.77, a 1% increase from the previous year.
- Fourth Quarter Revenue: $470 million, down 1% due to lower cement and gypsum wallboard sales volumes.
- Fourth Quarter EPS: Down 11%, affected by adverse weather and increased maintenance costs.
- Heavy Materials Revenue: Annual revenue declined 2% to $1.4 billion, with a 5% decrease in cement sales volume.
- Heavy Materials Operating Earnings: Declined 11% to $311 million.
- Light Materials Revenue: Increased 3% to $969 million, driven by higher wallboard sales prices.
- Light Materials Operating Earnings: Increased 3% to $389 million.
- Operating Cash Flow: $549 million for fiscal 2025.
- Capital Expenditure: Increased to $195 million, with significant investment in the Mountain Cement plant.
- Share Repurchases and Dividends: $332 million returned to shareholders through share repurchases and dividends.
- Net Leverage Ratio: 1.5 times at the end of fiscal 2025.
- Liquidity: Total liquidity of approximately $560 million at the end of the fiscal year.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Eagle Materials Inc (EXP, Financial) achieved its lowest total recordable injury rate in company history, highlighting a strong safety culture.
- The company reported record fiscal year revenue of $2.3 billion and record earnings per share of $13.77.
- Significant sustainability efforts are underway, including a $22 million wastewater treatment facility upgrade to reduce water consumption by 50%.
- Strategic acquisitions in the Aggregates sector increased production capacity by 50%, enhancing market presence.
- Eagle Materials Inc (EXP) maintained a strong balance sheet with a net leverage ratio of 1.5 times, allowing continued investment and shareholder returns.
Negative Points
- Fourth quarter revenue was down 1% due to lower cement and gypsum wallboard sales volumes.
- Adverse weather impacted Cement and Concrete and Aggregates businesses, causing production interruptions.
- Heavy Materials sector saw a 50% decline in fourth-quarter operating earnings due to weather disruptions and maintenance costs.
- Wallboard pricing faced pressure from increased freight costs, impacting overall profitability.
- Cement volumes have been muted due to slow infrastructure spending and adverse weather conditions.
