James Hardie (JHX) Increases Yet Falls Behind Market: What Investors Need to Know
The most recent trading session ended with James Hardie (JHX) standing at $37.89, reflecting a +0.88% shift from the previouse trading day's closing. The stock lagged the S&P 500's daily gain of 1.25%. Elsewhere, the Dow saw an upswing of 0.97%, while the tech-heavy Nasdaq appreciated by 1.3%.
Shares of the fiber cement maker have appreciated by 2.23% over the course of the past month, outperforming the Construction sector's loss of 1.76% and the S&P 500's gain of 1.58%.
The investment community will be closely monitoring the performance of James Hardie in its forthcoming earnings report. The company is scheduled to release its earnings on February 12, 2024.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.60 per share and revenue of $3.94 billion, indicating changes of +17.65% and +4.37%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for James Hardie. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.27% higher. James Hardie currently has a Zacks Rank of #2 (Buy).
Looking at valuation, James Hardie is presently trading at a Forward P/E ratio of 23.48. For comparison, its industry has an average Forward P/E of 17.49, which means James Hardie is trading at a premium to the group.
It's also important to note that JHX currently trades at a PEG ratio of 1.99. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. JHX's industry had an average PEG ratio of 1.88 as of yesterday's close.
The Building Products - Miscellaneous industry is part of the Construction sector. At present, this industry carries a Zacks Industry Rank of 50, placing it within the top 20% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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James Hardie Industries PLC. (JHX) : Free Stock Analysis Report
