Eagle Materials (EXP) Stock Drops Despite Market Gains: Important Facts to Note
In the latest trading session, Eagle Materials (EXP) closed at $188.36, marking a -0.37% move from the previous day. This move lagged the S&P 500's daily gain of 0.39%. On the other hand, the Dow registered a gain of 0.43%, and the technology-centric Nasdaq increased by 0.2%.
The the stock of maker of gypsum wallboard and cement has risen by 12.68% in the past month, leading the Construction sector's gain of 12.48% and the S&P 500's gain of 5.28%.
The investment community will be closely monitoring the performance of Eagle Materials in its forthcoming earnings report. On that day, Eagle Materials is projected to report earnings of $3.57 per share, which would represent year-over-year growth of 11.56%. Alongside, our most recent consensus estimate is anticipating revenue of $537.82 million, indicating a 5.15% upward movement from the same quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $14.14 per share and a revenue of $2.24 billion, indicating changes of +12.85% and +4.38%, respectively, from the former year.
It is also important to note the recent changes to analyst estimates for Eagle Materials. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Eagle Materials is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Eagle Materials is presently being traded at a Forward P/E ratio of 13.37. This denotes a premium relative to the industry's average Forward P/E of 12.7.
The Building Products - Concrete and Aggregates industry is part of the Construction sector. Currently, this industry holds a Zacks Industry Rank of 176, positioning it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow EXP in the coming trading sessions, be sure to utilize Zacks.com.
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
