Eagle Materials (EXP) Exceeds Market Returns: Some Facts to Consider
The most recent trading session ended with Eagle Materials (EXP) standing at $203.94, reflecting a +1.91% shift from the previouse trading day's closing. The stock exceeded the S&P 500, which registered a gain of 1.41% for the day. On the other hand, the Dow registered a gain of 0.58%, and the technology-centric Nasdaq increased by 2.2%.
The maker of gypsum wallboard and cement's shares have seen an increase of 5.85% over the last month, not keeping up with the Construction sector's gain of 7.47% and outstripping the S&P 500's gain of 2.9%.
The investment community will be closely monitoring the performance of Eagle Materials in its forthcoming earnings report. The company is predicted to post an EPS of $3.56, indicating a 11.25% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $537.23 million, showing a 5.03% escalation compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $14.16 per share and a revenue of $2.24 billion, demonstrating changes of +13.01% and +7.22%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Eagle Materials. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.14% upward. Eagle Materials is holding a Zacks Rank of #2 (Buy) right now.
From a valuation perspective, Eagle Materials is currently exchanging hands at a Forward P/E ratio of 14.13. This signifies a premium in comparison to the average Forward P/E of 12.56 for its industry.
The Building Products - Concrete and Aggregates industry is part of the Construction sector. At present, this industry carries a Zacks Industry Rank of 35, placing it within the top 14% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Eagle Materials Inc (EXP) : Free Stock Analysis Report
