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Eagle Materials (EXP) AI Stock Analysis
Eagle Materials
(NYSE:EXP)
EXP scores positively on core fundamentals (strong profitability/ROE and solid operating cash generation), but the overall rating is held back by weaker free cash flow conversion and higher leverage. Technicals are mildly supportive (above short-term averages, positive MACD) but still below longer-term trend levels. Valuation is reasonable on P/E, while the latest call reinforces near-term cost and demand headwinds despite constructive long-term modernization and pricing initiatives.
Eagle Materials (EXP) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $5.80B
- Dividend Yield
- 0.53%
- Average Volume (3M)
- 428.19K
- Price to Earnings (P/E)
- 15.6
- Beta (1Y)
- 0.93
- Revenue Growth
- 1.61%
- EPS Growth
- -11.27%
- Country
- US
- Employees
- 2,800
- Sector
- Basic Materials
- Sector Strength
- 61
- Industry
- Construction Materials
Eagle Materials Business Overview & Revenue Model
Company Description
Eagle Materials Inc., operating through its subsidiaries across the United States, stands as a key producer and supplier of both heavy construction and light building materials. The company's diverse operations are organized into distinct segments: C...
How the Company Makes Money
Eagle Materials makes money by producing and selling construction materials and building products, with revenue primarily generated from product sales to customers in construction-related end markets. (1) Heavy Materials revenue is driven mainly by c...
Eagle Materials Earnings Call Summary
The call was mixed but cautiously constructive. Eagle delivered record revenue, higher operating cash flow, strong liquidity, continued shareholder returns, and progress on major modernization projects. However, these positives were offset by a 14% EPS decline, lower operating earnings in both major sectors, elevated diesel, freight and raw material costs, ongoing Wallboard demand weakness, and operational disruptions at the older Mountain Cement plant.
Q2-2027 Updates
Positive Updates
Negative Updates
Company Guidance
Eagle expects fiscal 2027 capital expenditures of between $490 million and $525 million, with construction of Mountain Cement on track to be completed later this calendar year and Duke Wallboard construction at mid-fiscal 2028; once Laramie construction is complete, commissioning will take about 2 quarters, while Duke construction and commissioning will occur about 1 year after the Laramie, Wyoming, cement plant is complete. By the later part of fiscal 2028, many cost savings are expected to be accretive to Mountain Cement’s margin profile, although achieving the full 25% cost savings requires selling the full capacity of the new plant and will take several years. Price increases in cement and aggregates are effective January 1, 2027, with cement increases anywhere between $10 to $14, $15 a ton depending upon the market, and about 50% of cement demand is driven by public infrastructure spending.
Eagle Materials Financial Statement Overview
Summary
Strong profitability and returns (TTM EBIT margin ~22%, net margin ~16%, ROE ~25%) and operating cash flow that comfortably supports earnings (~2.3x net income). Offsetting factors are TTM margin compression versus the most recent annual period, rising leverage (debt/equity ~1.15 TTM), and weak free cash flow conversion (~27% of net income) alongside declining FCF.
Income Statement
78PositiveBalance Sheet
67PositiveCash Flow
62Positive| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.34B | 2.31B | 2.26B | 2.26B | 2.15B | 1.86B |
| Gross Profit | 603.21M | 652.54M | 673.14M | 685.32M | 639.27M | 519.61M |
| EBITDA | 645.72M | 764.20M | 792.63M | 811.07M | 762.74M | 634.82M |
| Net Income | 376.72M | 423.81M | 463.42M | 477.64M | 461.54M | 374.25M |
Balance Sheet | ||||||
| Total Assets | 3.97B | 3.84B | 3.26B | 2.95B | 2.78B | 2.58B |
| Cash, Cash Equivalents and Short-Term Investments | 241.17M | 297.92M | 20.40M | 34.92M | 15.24M | 19.42M |
| Total Debt | 1.76B | 1.80B | 1.28B | 1.12B | 1.12B | 974.60M |
| Total Liabilities | 2.43B | 2.37B | 1.81B | 1.64B | 1.60B | 1.45B |
| Stockholders Equity | 1.53B | 1.47B | 1.46B | 1.31B | 1.19B | 1.13B |
Cash Flow | ||||||
| Free Cash Flow | 155.50M | 197.43M | 353.27M | 443.63M | 431.58M | 443.05M |
| Operating Cash Flow | 637.26M | 614.17M | 548.55M | 563.94M | 541.73M | 517.17M |
| Investing Cash Flow | -496.76M | -431.74M | -370.13M | -175.36M | -268.59M | -74.12M |
| Financing Cash Flow | 65.64M | 95.09M | -192.94M | -368.90M | -277.31M | -692.15M |
Eagle Materials Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EXP, the sentiment is Neutral. The current price of 189.24 is above the 20-day moving average (MA) of 176.45, above the 50-day MA of 179.46, and below the 200-day MA of 201.38, indicating a neutral trend. The MACD of 4.05 indicates Negative momentum. The RSI at 59.25 is Neutral, neither overbought nor oversold. The STOCH value of 69.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for EXP.
Eagle Materials Risk Analysis
Eagle Materials disclosed 15 risk factors in its most recent earnings report. Eagle Materials reported the most risks in the "Production" category.
Latest Risks Added
0 New RisksEagle Materials Peers Comparison
Overall Rating
MLM75Outperform
CPAC73.6Outperform
VMC69Neutral
TTAM68Neutral- EXP67Neutral
KNF58Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| MLM | 75Outperform | $39.53B | 13.95 | 18.24% | 0.63% | 8.58% | 98.89% |
| CPAC | 74Outperform | $1.16B | 14.36 | 19.61% | 4.78% | 20.97% | 27.03% |
| VMC | 69Neutral | $38.21B | 33.71 | 13.04% | 0.72% | 1.61% | 0.24% |
| TTAM | 68Neutral | $2.64B | 12.17 | 16.96% | 1.37% | 5.34% | -11.89% |
| EXP | 67Neutral | $6.08B | 15.63 | 25.16% | 0.53% | 1.61% | -11.27% |
| Sector * | 61Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% |
| KNF | 58Neutral | $3.53B | 24.26 | 8.22% | ― | 10.87% | -9.45% |
* Basic Materials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| EXP | Eagle Materials | 189.24 | -16.70 | -8.11% | |
| CPAC | Cementos Pacasmayo S.a.a. | 12.73 | 5.99 | 88.87% | |
| MLM | Martin Marietta Materials | 527.83 | -79.39 | -13.07% | |
| VMC | Vulcan Materials Company | 285.51 | 0.34 | 0.12% | |
| KNF | Knife River Corporation | 57.25 | -13.74 | -19.35% | |
| TTAM | Titan America SA | 11.68 | -3.71 | -24.13% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Nov 06, 2026