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The 5-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past five years. As of today (2026-08-12), Eagle Materials's 5-Year Sortino Ratio is 0.42.
Eagle Materials (NYSE:EXP) 5-Year Sortino Ratio Explanation
The 5-Year Sortino Ratio inidicates the risk-adjusted return of an investment over the past five year. It is calculated as the annualized result of the average five-year monthly excess returns divided by the standard deviation of negative returns in the five-year period. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.
Differnt from the Sharpe Ratio that penalizes both upside and downside volatility equally, the Sortino Ratio penalizes only those returns falling below a user-specified target or required rate of return. The expected returns here is set to the risk-free rate as well.
Eagle Materials 5-Year Sortino Ratio Related Terms
EXP vs KNF, USLM, TTAM: 5-Year Sortino Ratio Comparison
For the Building Materials subindustry, Eagle Materials's 5-Year Sortino Ratio, along with its competitors' market caps and 5-Year Sortino 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.
Eagle Materials 5-Year Sortino Ratio vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Eagle Materials's 5-Year Sortino Ratio distribution charts can be found below:
* The bar in red indicates where Eagle Materials's 5-Year Sortino Ratio falls into.
The 5-Year Sortino Ratio measures the risk-adjusted return of an investment asset or portfolio in the last five year, focusing specifically on downside risk rather than total risk. A stock / portfolio's 5-Year Sortino Ratio can be calculated by dividing the difference between the five-year average monthly returns of the investment and the risk-free rate, by the standard deviation of the downside risks over the past five year.
A downside risk is a potential loss from the asset or investment. The Downside risk here is measured by the downside deviation, which is the standard deviation of negative returns.
Eagle Materials (EXP) has a 5-Year Sortino Ratio of 0.42 as of Aug. 12, 2026. 5-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past five years. View historical data for Eagle Materials and its competitors.
Is Eagle Materials' 5-Year Sortino Ratio too high?
Eagle Materials' current 5-Year Sortino Ratio is 0.42. Overall, Eagle Materials has a GF Score™ of 96/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Eagle Materials' 5-Year Sortino Ratio compare to KNF and USLM?
Eagle Materials' 5-Year Sortino Ratio of 0.42 can be compared against companies in the Building Materials industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Sortino Ratio for a Building Materials company?
A good 5-Year Sortino Ratio depends on the Building Materials industry context. However, 5-Year Sortino Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Sortino Ratio mean?
A high 5-Year Sortino Ratio can signal that a stock is expensive relative to its fundamentals. 5-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past five years. View historical data for Eagle Materials and its competitors. Eagle Materials's current 5-Year Sortino Ratio is 0.42. 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 (EXP) is currently considered Modestly Undervalued. The stock's GF Value™ is $244.71, compared to a current price of $210.75 — trading 13.9% below its estimated fair value. The current 5-Year Sortino Ratio is 0.42. Eagle Materials' overall GF Score™ is 96/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Sortino Ratio calculated?
5-Year Sortino Ratio is calculated from a company's financial statements. For Eagle Materials (EXP), the current 5-Year Sortino Ratio is 0.42 as of Aug. 12, 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 (EXP) Overvalued in 2026?
Based on GuruFocus' analysis, Eagle Materials stock appears to be undervalued.
The current stock price of $210.75 is trading 13.9% below its estimated GF Value™ of $244.71.
GuruFocus considers Eagle Materials to be Modestly Undervalued.
Key valuation signals for EXP:
5-Year Sortino Ratio: 0.42
GF Value™: $244.71 vs. price of $210.75 (13.9% below fair value)
No single metric tells the full story. See the 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.
96GF Score
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5-Year Sortino Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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