Eagle Materials (EXP) AI Stock Analysis

Eagle Materials

(BMV:EXP)

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Action:N/A

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Positive Factors

Infrastructure and data-center demandExposure to infrastructure and expanding data-center construction supports durable demand across cement, aggregates, and related products. These projects typically involve large footprints and multi-year pipelines, improving volume visibility and reducing reliance on a single construction segment.

Negative Factors

Weak free-cash-flow conversionWeak conversion of earnings into free cash flow reduces the capital available for debt reduction, acquisitions, and shareholder distributions. The deterioration from prior annual conversion levels suggests elevated investment or working-capital demands may continue to constrain financial flexibility.

Eagle Materials (EXP) vs. SPDR S&P 500 ETF (SPY)

Market Cap: MXN 5.63B
Dividend Yield: 0.55%
Average Volume (3M): 1,623
Price to Earnings (P/E): 14.4
Beta (1Y): -0.01
Revenue Growth: -7.09%
EPS Growth: -14.42%
Country: Mexico
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...

Eagle Materials Earnings Call Summary

Earnings Call Date:Jul 28, 2026(Q1-2027)|% Change Since:-18.81%|Next Earnings Date:Nov 03, 2026

Earnings Call SentimentPositive

The call was broadly positive: Eagle delivered record revenue, strong operating cash flow, healthy cement and Aggregates demand, progress on high-return modernization projects, and substantial liquidity while continuing to return capital to shareholders. These positives were tempered by a 13% decline in earnings per share, lower Light Materials revenue and earnings, elevated freight and raw material costs, Mountain Cement equipment downtime, subdued housing activity, safety results below expectations, and uncertainty around tariffs and freight costs.

Positive Updates

Record Revenue and Strong Gross Margin

First-quarter revenue was a record $651 million, up 3% year-over-year. Earnings per share was $3.29 and gross margin was 24.8%.

Negative Updates

Earnings Per Share Declined

First-quarter earnings per share decreased 13% year-over-year. The decline was primarily driven by higher operating costs, increased freight costs, and unexpected downtime at the Mountain Cement plant, and was partially offset by a 5% reduction in fully diluted shares from the share repurchase program.

Company Guidance

Management continues to expect fiscal 2027 capital expenditures to range between $490 million and $525 million, with capital spending expected to peak in fiscal 2027; construction for Laramie Cement is still on track to be completed late this year, with commissioning planned for the first part of next year, while the Duke wallboard plant should commission towards the later half of 2027 and the Duke project is anticipated to be completed in mid-fiscal 2028. The Laramie project is expected to reduce the facility's operating cost by 25%, and the Duke Oklahoma wallboard plant modernization will reduce the operating cost of that facility by 20%; cement volume growth should set up nicely for better net price realization over the medium term, further benefiting from energy costs that should normalize.

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.

Production - Risks related to the company’s ability to manufacture goods and services

Latest Risks Added

0 New Risks

Eagle Materials Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

MX:EXP against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MLM	77Outperform	$38.38B	13.25	23.11%	0.62%	0.06%	125.23%
CPAC	74Outperform	$1.15B	17.66	19.61%	4.77%	20.97%	27.03%
TTAM	71Outperform	$2.56B	14.45	16.96%	1.15%	5.46%	7.16%
VMC	69Neutral	$36.10B	33.20	13.04%	0.73%	1.61%	0.24%
Sector *	61Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
KNF	55Neutral	$3.26B	23.37	8.72%	―	12.13%	-8.86%

* Basic Materials Sector Average

Performance Comparison

MX:EXP and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
MX:EXP	Eagle Materials	3147.00	-1261.10	-28.61%
CPAC	Cementos Pacasmayo S.a.a.	12.76	5.96	87.65%
MLM	Martin Marietta Materials	540.41	-81.35	-13.08%
VMC	Vulcan Materials Company	281.25	-8.84	-3.05%
KNF	Knife River Corporation	57.50	-8.72	-13.17%
TTAM	Titan America SA	13.87	-0.80	-5.47%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.

Eagle Materials AI Stock Analysis