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IBP (Installed Building Products) PE Ratio : 24.21 (As of Oct. 31, 2024)


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What is Installed Building Products PE Ratio?

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2024-10-31), Installed Building Products's share price is $216.90. Installed Building Products's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 was $8.96. Therefore, Installed Building Products's PE Ratio for today is 24.21.

During the past 13 years, Installed Building Products's highest PE Ratio was 58.52. The lowest was 11.95. And the median was 29.78.

Installed Building Products's EPS (Diluted) for the three months ended in Jun. 2024 was $2.30. Its EPS (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 was $8.96.

As of today (2024-10-31), Installed Building Products's share price is $216.90. Installed Building Products's EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2024 was $10.57. Therefore, Installed Building Products's PE Ratio without NRI ratio for today is 20.52.

During the past 13 years, Installed Building Products's highest PE Ratio without NRI was 57.97. The lowest was 11.29. And the median was 27.86.

Installed Building Products's EPS without NRI for the three months ended in Jun. 2024 was $3.02. Its EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2024 was $10.57.

During the past 12 months, Installed Building Products's average EPS without NRI Growth Rate was 24.60% per year. During the past 3 years, the average EPS without NRI Growth Rate was 38.10% per year. During the past 5 years, the average EPS without NRI Growth Rate was 39.60% per year.

During the past 13 years, Installed Building Products's highest 3-Year average EPS without NRI Growth Rate was 76.20% per year. The lowest was 22.80% per year. And the median was 34.75% per year.

Installed Building Products's EPS (Basic) for the three months ended in Jun. 2024 was $2.32. Its EPS (Basic) for the trailing twelve months (TTM) ended in Jun. 2024 was $9.01.

Back to Basics: PE Ratio


Installed Building Products PE Ratio Historical Data

The historical data trend for Installed Building Products's PE Ratio 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.

* Premium members only.

Installed Building Products PE Ratio Chart

Installed Building Products Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.21 31.17 34.84 11.06 21.23

Installed Building Products Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
PE Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 16.55 14.29 21.23 29.27 22.96

Competitive Comparison of Installed Building Products's PE Ratio

For the Residential Construction subindustry, Installed Building Products's PE Ratio, along with its competitors' market caps and PE Ratio 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.


Installed Building Products's PE Ratio Distribution in the Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, Installed Building Products's PE Ratio distribution charts can be found below:

* The bar in red indicates where Installed Building Products's PE Ratio falls into.



Installed Building Products PE Ratio Calculation

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.

Installed Building Products's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=216.90/8.960
=24.21

Installed Building Products's Share Price of today is $216.90.
Installed Building Products's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $8.96.


* 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.

It can also be calculated from the numbers for the whole company:


There are at least three kinds of PE Ratios used by different investors. They are Trailing Twelve Month PE Ratio, Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio based on inflation-adjusted normalized PE Ratio is called Shiller PE Ratio, after Yale professor Robert Shiller.

In the calculation of PE Ratio, the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.


Installed Building Products  (NYSE:IBP) PE Ratio Explanation

The PE Ratio can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.

In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio is positive. Also for stocks with the same PE Ratio, the one with faster growth business is more attractive.

If a company loses money, the PE Ratio becomes meaningless.

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio divided by the growth ratio. He thinks a company with a PE Ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio of 20, instead of a company growing 10% a year with a PE Ratio of 10.

Because the PE Ratio measures how long it takes to earn back the price you pay, the PE Ratio can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.

Similar to the PE Ratio without NRI or PS Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PE Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

Investors need to be aware that the PE Ratio can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratios are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio.

PE Ratio can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio.


Installed Building Products PE Ratio Related Terms

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Installed Building Products Business Description

Traded in Other Exchanges
Address
495 South High Street, Suite 50, Columbus, OH, USA, 43215
Installed Building Products Inc is an insulation installer serving the residential new construction market and are also a diversified installer of complementary building products, including waterproofing, fire-stopping and fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving, mirrors and other products throughout the United States. The company installs fiberglass insulation, spray foam insulation, and cellulose insulation. The company has three operating segments consisting of Installation, Manufacturing and Distribution operations. Majority of revenue is generated from Installation segment.
Executives
Janet E. Jackson director C/O INSTALLED BUILDING PRODUCTS, INC., 495 SOUTH HIGH STREET, SUITE 50, COLUMBUS OH 43215
Jason R Niswonger officer: SVP, Finance & IR C/O INSTALLED BUILDING PRODUCTS, INC., 495 S. HIGH STREET, SUITE 50, COLUMBUS OH 43215
Todd R Fry officer: Chief Accounting Officer CHAMPION INDUSTRIES, P O BOX 2968, HUNTINGTON WV 25728-2968
Jeffrey W. Edwards director, 10 percent owner, officer: President, CEO & Chairman C/O INSTALLED BUILDING PRODUCTS, INC., 495 SOUTH HIGH STREET, SUITE 50, COLUMBUS OH 43215
Michael Thomas Miller director, officer: See Remarks C/O INSTALLED BUILDING PRODUCTS, INC., 495 SOUTH HIGH STREET, SUITE 50, COLUMBUS OH 43215
William Jeffrey Hire officer: President of External Affairs C/O INSTALLED BUILDING PRODUCTS, INC., 495 S. HIGH STREET, SUITE 50, COLUMBUS OH 43215
Marchelle E Moore director C/O INSTALLED BUILDING PRODUCTS, INC., 495 S. HIGH STREET, SUITE 50, COLUMBUS OH 43215
Margot Lebenberg Carter director C/O INSTALLED BUILDING PRODUCTS, INC., 495 S. HIGH STREET, SUITE 50, COLUMBUS OH 43215
Jay P. Elliott officer: Chief Operating Offier C/O INSTALLED BUILDING PRODUCTS, INC., 495 SOUTH HIGH STREET, SUITE 50, COLUMBUS OH 43215
Michael H Thomas director 100 E CAMPUS VIEW BLVD STE 170, C/O TEAM AMERICA, COLUMBUS OH 43235
Lawrence A. Hilsheimer director 425 WINTER ROAD, DELAWARE OH 43015
Vikas Verma director C/O INSTALLED BUILDING PRODUCTS, INC., 495 S. HIGH STREET, SUITE 50, COLUMBUS OH 43215
David R Meuse director 191 WEST NATIONWIDE BLVD, COLUMBUS OH 43215
J Michael Nixon director, 10 percent owner C/O INSTALLED BUILDING PRODUCTS, INC., 495 SOUTH HIGH STREET, SUITE 50, COLUMBUS OH 43215
Installed Building Systems, Inc. director, 10 percent owner, other: Director by Deputization 495 SOUTH HIGH STREET, SUITE 50, COLUMBUS OH 43215