Eagle MaterialsMEX:EXP 70 Operating Margin % is 17.38% as of Mar. 2026, which is 28% below its 10-year median of 24.06. GuruFocus rates MEX:EXP with a GF Score™ of 70/100 and a GF Value™ of MXN3,699.30 (Fairly Valued). The stock has 3 warning signs investors should review. Among 405 Building Materials companies, Eagle Materials ranks better than 90.86% on this metric.
Eagle Materials Inc operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Eagle Materials's Operating Margin % or its related term are showing as below:
MEX:EXP'
s Operating Margin % Range Over the Past 10 Years
Min: 19.75 Med: 24.06 Max: 27.69
Current: 24.4
MEX:EXP's Operating Margin % is ranked better than 90.86% of 405
companies
in the Building Materials industry
Industry Median: 7.64
vs MEX:EXP: 24.40
Eagle Materials's 5-Year Average Operating Margin % Growth Rate was 1.80% per year.
Eagle Materials's Operating Income for the
three
months ended in Mar. 2026 was MXN1,501 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was MXN10,342 Mil.
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
Eagle Materials Operating Margin % Related Terms
Eagle Materials Operating Margin % Historical Data
* Premium members only.
The historical data trend for Eagle Materials's Operating Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:EXP vs KNF, USLM, TTAM: Operating Margin % Comparison
For the Building Materials subindustry, Eagle Materials's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Eagle Materials Operating Margin % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Eagle Materials's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Eagle Materials's Operating Margin % falls into.
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
Eagle Materials's Operating Margin % for the fiscal year that ended in Mar. 2026 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Eagle Materials (MEX:EXP) has a Operating Margin % of 17.38% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Eagle Materials and its competitors. This is 28% below median its historical median of 24.06. Over the past decade, Eagle Materials' Operating Margin % has ranged from 19.75 to 27.69. According to the industry distribution chart, Eagle Materials ranks #37 out of 405 companies in the Building Materials industry, placing it in the top 9.1%.
Is Eagle Materials' Operating Margin % too high?
Eagle Materials' current Operating Margin % of 17.38% is 28% below median its 10-year median of 24.06. Over the past 10 years, this metric has ranged from a low of 19.75 to a high of 27.69. The Building Materials industry median Operating Margin % is 7.64. Eagle Materials' value of 17.38% is 127.5% above this industry median. Based on the distribution chart, Eagle Materials ranks #37 out of 405 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Eagle Materials has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Eagle Materials' Operating Margin % compare to KNF and USLM?
According to the Building Materials industry distribution chart, Eagle Materials ranks #37 out of 405 companies for Operating Margin %. This places Eagle Materials in the top 9% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.64. Eagle Materials' value of 17.38% is 127.5% above this benchmark. Historically, Eagle Materials' own Operating Margin % has ranged from 19.75 to 27.69 over the past decade. While the company's 10-year median is 24.06 vs. the industry median of 7.64, Eagle Materials has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for a Building Materials company?
The median Operating Margin % among Building Materials companies is 7.64, based on 405 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Eagle Materials's current Operating Margin % of 17.38% is 127.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Eagle Materials and its competitors. For the Building Materials industry, the median Operating Margin % is 7.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eagle Materials's current Operating Margin % is 17.38%, which is 28% below median its own 10-year median of 24.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eagle Materials stock overvalued right now?
Based on GuruFocus' analysis, Eagle Materials (MEX:EXP) is currently considered Fairly Valued. The stock's GF Value™ is MXN3,699.30, compared to a current price of MXN3,402.01 — trading 8% below its estimated fair value. The current Operating Margin % is 17.38%, which is 28% below median its 10-year median of 24.06 and 127.5% above the Building Materials industry median of 7.64. Eagle Materials' overall GF Score™ is 70/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Eagle Materials (MEX:EXP), the current Operating Margin % is 17.38% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Eagle Materials (MEX:EXP) Overvalued in 2026?
Based on GuruFocus' analysis, Eagle Materials stock appears to be undervalued.
The current stock price of MXN3,402.01 is trading 8% below its estimated GF Value™ of MXN3,699.30.
GuruFocus considers Eagle Materials to be Fairly Valued.
Key valuation signals for MEX:EXP:
Operating Margin %: 17.38% (28% below median its 10-year median of 24.06)
GF Value™: MXN3,699.30 vs. price of MXN3,402.01 (8% below fair value)
Industry Position: 127.5% above the Building Materials median (#37 of 405)
No single metric tells the full story. See the MEX:EXP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Eagle Materials Inc is engaged in the manufacture of heavy construction products and light building materials. Its primary products, Cement and Gypsum Wallboard, are essential for building, expanding, and repairing roads, highways, and residential, commercial, and industrial structures across America. The business is organized into two sectors: Heavy Materials, which includes the Cement and Concrete and Aggregates segments, and Light Materials, which includes the Gypsum Wallboard and Recycled Paperboard segments. The primary end market for the Cement and Concrete and Aggregates segments is infrastructure, while the primary end market for the Gypsum Wallboard and Recycled Paperboard segments is residential construction.
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