Eagle Materials (EXP) AI Stock Analysis

• Market Cap: $6.41B
• Dividend Yield: 0.51%
• Average Volume (3M): 419.30K
• Price to Earnings (P/E): 14.2
• Beta (1Y): 1.34
• Revenue Growth: 0.05%
• EPS Growth: 0.96%
• Country: US
• Employees: 2,500
• Sector: Basic Materials
• Sector Strength: 67
• Industry: Construction Materials
• EPS (TTM): 2.08
• Shares Outstanding: 32,704,327
• 10 Day Avg. Volume: 415,555
• 30 Day Avg. Volume: 419,296
• PEG Ratio: -0.78
• Price to Book (P/B): 3.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 21.51
• Enterprise Value/Market Cap: 0.72
• Enterprise Value/Revenue: 0.51
• Enterprise Value/Gross Profit: 6.81
• Enterprise Value/Ebitda: 1.46
• 1Y Price Target: $240.00
• Price Target Upside: 21.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9

• Rating: 76 Outperform
• Price Target: ―

Eagle Materials maintains a solid overall performance driven by strong financial health and strategic investments. While technical indicators suggest caution, the company's valuation and corporate initiatives provide a positive outlook. The earnings call reinforces confidence in future growth despite recent challenges.

Positive Factors

Company Strategy

Eagle Materials has a sustainable position as a low-cost producer given ownership of raw material supply.

Cost Structure

EXP has been insulated from the dynamic of rising syn gyp costs, as it is almost solely reliant on natural gypsum.

Tariff Impact

Tariffs could be a net positive for wallboard and cement.

Negative Factors

Energy Costs

There are some near-term risks due to a cold winter raising natural gas pricing and potential impacts on volume this quarter.

Weather Impact

Harsh weather has affected cement shipments to start the year.

Eagle Materials Business Overview & Revenue Model

Company Description

Eagle Materials (EXP) is a leading supplier of heavy construction materials and light building materials in the United States. The company operates through two primary sectors: Heavy Materials, which includes the Cement and Concrete & Aggregates segments, and Light Materials, which includes the Gypsum Wallboard and Recycled Paperboard segments. Eagle Materials is committed to delivering high-quality products used primarily in the construction of infrastructure, non-residential, and residential buildings.

How the Company Makes Money

Eagle Materials makes money through the production and sale of construction materials that are essential for infrastructure and building projects. Its Heavy Materials sector generates revenue by producing and selling cement, concrete, and aggregates, which are critical components for construction projects. The company operates cement plants and distribution terminals strategically located across the U.S., ensuring a steady supply to its clients. The Light Materials sector contributes to revenue through the manufacture and sale of gypsum wallboard and recycled paperboard. Gypsum wallboard is widely used in the construction of interior walls and ceilings, while recycled paperboard is utilized in the production of gypsum wallboard and other products. Eagle Materials benefits from long-term business relationships and distribution agreements that ensure a stable demand for its products. Additionally, the company’s strategic geographic footprint allows it to efficiently serve key markets, optimizing logistics and reducing transportation costs.

Eagle Materials Financial Statement Overview

Summary

Eagle Materials exhibits strong financial health, with consistent revenue growth and robust profitability. The company has managed its balance sheet well, maintaining stable leverage. However, slight margin compression and increasing debt levels warrant monitoring.

Income Statement

Eagle Materials demonstrates strong financial performance with consistent revenue growth. The revenue grew from $1.45 billion in 2020 to $2.26 billion in 2025, reflecting a solid growth trajectory. The company maintains healthy gross and net profit margins, with 2025 showing a gross profit margin of 29.8% and a net profit margin of 20.5%. However, there was a slight decline in EBIT and EBITDA margins in 2025 compared to 2024, which warrants monitoring.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.88 in 2025, indicating moderate leverage. The equity ratio is 44.6%, suggesting a strong equity base relative to total assets. Return on Equity (ROE) remains robust at 31.8% in 2025, showcasing effective profit generation on shareholder equity. However, slightly increasing debt levels could pose a risk if not managed properly.

Cash Flow

Cash flow analysis reveals a healthy operating cash flow to net income ratio of 1.18 in 2025, indicating efficient cash generation relative to net income. Free cash flow growth has been inconsistent, with a decrease from 2024 to 2025. The free cash flow to net income ratio is 0.76, reflecting a reasonable conversion of earnings into free cash flow, although it shows room for improvement.

Breakdown
Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
2.26B	2.26B	2.15B	1.86B	1.62B
	Gross Profit
673.14M	685.32M	639.27M	519.61M	408.36M
	EBIT
599.20M	625.53M	485.21M	514.41M	287.47M
	EBITDA
792.63M	811.07M	724.19M	601.62M	597.68M
	Net Income Common Stockholders
463.42M	477.64M	461.54M	374.25M	339.44M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
20.40M	34.92M	15.24M	19.42M	263.52M
	Total Assets
3.26B	2.95B	2.78B	2.58B	2.84B
	Total Debt
1.28B	1.12B	1.10B	974.60M	1.01B
	Net Debt
1.26B	1.09B	1.08B	955.18M	751.44M
	Total Liabilities
1.81B	1.64B	1.60B	1.45B	1.48B
	Stockholders Equity
1.46B	1.31B	1.19B	1.13B	1.36B
Cash Flow		Free Cash Flow
353.27M	443.63M	431.58M	443.05M	589.14M
	Operating Cash Flow
548.55M	563.94M	541.73M	517.17M	643.07M
	Investing Cash Flow
-370.13M	-175.36M	-268.59M	-74.12M	37.09M
	Financing Cash Flow
-192.94M	-368.90M	-277.31M	-692.15M	-530.29M

Eagle Materials Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 197.27
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EXP, the sentiment is Negative. The current price of 197.27 is below the 20-day moving average (MA) of 208.88, below the 50-day MA of 217.95, and below the 200-day MA of 251.97, indicating a bearish trend. The MACD of -6.73 indicates Positive momentum. The RSI at 36.07 is Neutral, neither overbought nor oversold. The STOCH value of 34.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EXP.

Eagle Materials Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VMC	78 Outperform	$34.45B	36.97	12.10%	0.75%	-2.24%	3.00%
EXP	76 Outperform	$6.41B	14.23	33.52%	0.51%	0.05%	0.96%
MLM	75 Outperform	$32.70B	31.19	11.88%	0.58%	-0.54%	-48.61%
CX	72 Outperform	$10.27B	7.02	6.58%	1.22%	-8.41%	570.14%
JHX	72 Outperform	$11.20B	26.89	21.05%	―	-1.59%	-15.58%
KNF	68 Neutral	$4.58B	25.47	13.76%	―	2.48%	2.22%
Sector *	51 Neutral	$2.03B	-1.27	-21.09%	3.98%	2.91%	-30.50%

Eagle Materials Corporate Events

Eagle Materials Approves Long-Term Incentive Equity Awards

On May 22, 2025, Eagle Materials Inc.’s Compensation Committee approved long-term incentive equity awards for its officers under the 2023 Equity Incentive Plan. These awards include performance-vesting and time-vesting stock options and restricted stock units, with vesting criteria linked to the company’s financial performance over a three-year period. The initiative aims to align executive incentives with shareholder interests, potentially impacting the company’s operational focus and market positioning.

The most recent analyst rating on (EXP) stock is a Hold with a $280.00 price target. To see the full list of analyst forecasts on Eagle Materials stock, see the EXP Stock Forecast page.

Eagle Materials Board Member Announces Retirement

On May 16, 2025, David B. Powers announced his retirement from the Board of Eagle Materials Inc., effective at the end of his term during the 2025 annual meeting of stockholders, with no disagreements cited regarding company operations. Additionally, the Compensation Committee approved several incentive compensation programs for fiscal year 2026, including a salaried incentive plan and divisional plans for American Gypsum and Cement Companies, which are tied to operating earnings and EBITDA performance. These plans aim to align executive and divisional performance with company goals, potentially impacting stakeholder interests by incentivizing performance-based rewards.

The most recent analyst rating on (EXP) stock is a Hold with a $280.00 price target. To see the full list of analyst forecasts on Eagle Materials stock, see the EXP Stock Forecast page.

Eagle Materials Announces $330M Plant Expansion Plan

Eagle Materials Inc. announced plans to modernize and expand its gypsum wallboard plant in Duke, Oklahoma, with a $330 million investment. This project, expected to start construction immediately and complete by the second half of 2027, will increase the plant’s capacity by 25% and reduce operating costs by nearly 20%, enhancing Eagle’s position in high-growth markets and as a low-cost producer.

The most recent analyst rating on (EXP) stock is a Hold with a $280.00 price target. To see the full list of analyst forecasts on Eagle Materials stock, see the EXP Stock Forecast page.

Eagle Materials Appoints David Rush to Board

On May 15, 2025, Eagle Materials Inc. announced the appointment of David Rush to its Board of Directors. Mr. Rush, who recently retired as CEO of Builders FirstSource, brings nearly 30 years of experience in the building products industry. His expertise in strategy, business integration, and operational finance is expected to benefit Eagle Materials and its shareholders significantly.

The most recent analyst rating on (EXP) stock is a Hold with a $280.00 price target. To see the full list of analyst forecasts on Eagle Materials stock, see the EXP Stock Forecast page.