Eagle Materials (EXP) Earnings Preview: What to Expect on October 29th
Get ready for Eagle Materials’ (EXP) upcoming earnings release on Tuesday, October 29th, 2024. Investors are on the edge of their seats, eager to see if the company can deliver on expectations and provide a positive outlook for the future.
Analyst Expectations and Key Metrics
Analysts are predicting that Eagle Materials will report earnings per share (EPS) of $4.75. This follows a strong track record of beating estimates in recent quarters, including a $0.22 beat in the last quarter, which resulted in a 2.52% increase in the share price the following day.
While past performance is a good indicator, investors also look ahead to the company’s guidance for the next quarter. This is particularly important as stock prices can be significantly influenced by future projections, not just historical results.
A Look at Past Performance
Here’s a breakdown of Eagle Materials’ EPS performance over the past four quarters and the corresponding share price changes:
| Quarter | EPS Estimate | EPS Actual | Price Change (%) |
|————-|————–|————|——————|
| Q1 2025 | 3.72 | 3.94 | 3.0 |
| Q4 2024 | 2.69 | 2.24 | -1.0 |
| Q3 2024 | 3.55 | 3.72 | 2.0 |
| Q2 2024 | 4.25 | 4.28 | 0.0 |
As of October 25th, shares of Eagle Materials were trading at $288.16. Over the past 52 weeks, shares are up a significant 88.36%. This positive momentum suggests long-term shareholders are optimistic going into this earnings release.
Analyst Sentiment and Peer Comparisons
To gain a comprehensive understanding of the market’s expectations, it’s crucial to consider the opinions of analysts. The consensus rating for Eagle Materials is currently ‘Buy,’ based on 4 analyst ratings. The average one-year price target is $311.5, implying a potential upside of 8.1%.
To provide further context, let’s examine the performance of Eagle Materials’ key competitors: Summit Materials and Knife River Holding.
| Company | Consensus Rating | 1-Year Price Target | Potential Upside (%) |
|——————|——————–|———————-|———————–|
| Summit Materials | Buy | $47.0 | -83.69 |
| Knife River Holding| Outperform | $110.0 | -61.83 |
While analysts favor Eagle Materials, Summit Materials and Knife River Holding have faced a more cautious outlook with potential downsides indicated. It’s important to consider the individual business strategies and market conditions impacting each company.
Key Takeaways: Comparing Eagle Materials to Its Peers
| Metric | Eagle Materials | Summit Materials | Knife River Holding |
|——————–|—————–|——————-|———————-|
| Consensus Rating | Buy | Buy | Outperform |
| Revenue Growth | 1.19% | 53.37% | 2.77% |
| Gross Profit | $186.87M | $368.25M | $176.22M |
| Return on Equity | 10.07% | 2.48% | 6.19% |
Eagle Materials stands out with the highest gross profit among its peers. While its revenue growth is middle-of-the-road, it has the lowest return on equity compared to its peers. This suggests the company may be prioritizing profitability over aggressive expansion or may have a higher debt load impacting its return on equity.
A Closer Look at Eagle Materials: Company Background and Financial Performance
Eagle Materials Inc. is a leading manufacturer and supplier of construction products and building materials. The company operates in two main segments:
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Heavy Materials:
Cement, concrete, and aggregates*
Light Materials:
Gypsum wallboard and recycled paperboardFinancial Performance Highlights:
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Market Capitalization:
Smaller than industry average, potentially reflecting growth expectations or operational capacity.*
Revenue Growth:
Positive performance over the past 3 months (1.19% as of June 30th, 2024). However, this growth rate is lower than the average for Materials sector peers.*
Net Margin:
Exceeds industry averages at 21.99%, demonstrating strong profitability and cost management.*
Return on Equity (ROE):
Above industry average at 10.07%, indicating effective use of equity capital.*
Return on Assets (ROA):
Stronger than industry standards at 4.47%, showcasing efficient asset utilization.*
Debt Management:
Debt-to-equity ratio exceeds industry norms at 0.83, suggesting a high debt load that may pose financial challenges.Stay Informed with Eagle Materials’ Earnings Calendar
To stay up-to-date on all of Eagle Materials’ earnings releases, visit our earnings calendar on our site.
This earnings report is a key event for Eagle Materials and its investors. By carefully analyzing past performance, analyst sentiment, and peer comparisons, investors can gain a clearer understanding of the company’s current position and potential future trajectory.
