Installed Building Products (NYSE:IBP) Posts Quarterly Earnings Results

Installed Building Products (NYSE:IBP) announced its quarterly earnings data on Thursday. The construction company reported $3.24 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.83 by $0.41, FiscalAI reports. The company had revenue of $747.50 million for the quarter, compared to analysts’ expectations of $738.97 million. Installed Building Products had a return on equity of 62.74% and a net margin of 8.60%.The business’s revenue was down .4% compared to the same quarter last year. During the same quarter in the prior year, the business posted $2.88 EPS.

Here are the key takeaways from Installed Building Products’ conference call:

• Company delivered record profitability and cash generation in FY2025 with adjusted gross margin of 35%, Adjusted EBITDA of $142M, $371M cash from operations and a conservative leverage position (net debt / EBITDA ~1.1x) giving strong financial flexibility.
• Commercial and heavy commercial end markets were a major growth driver (heavy commercial same-branch sales +38% in Q4), with growing commercial backlogs and improved complementary-product penetration supporting margins.
• Core residential installation faced headwinds: full-year same-branch residential sales down ~4% and new single-family starts weak due to affordability, plus an estimated ~$20M Q1 weather-related revenue impact that could pressure near-term results.
• Management is staying acquisitive and shareholder-friendly—11 acquisitions in 2025 (~$64M revenue), guidance to acquire at least $100M of annual revenue in 2026, a new $500M buyback authorization, and a higher variable dividend—supported by ~$900M available liquidity after recent debt transactions.
• Looking ahead, management expects full-year gross margins around the 32–34% range but warned of continued price/cost pressure in the production builder segment, higher 2026 amortization (~$38M) and some incremental interest/first-quarter headwinds from recent financing.

Installed Building Products Stock Performance

Shares of Installed Building Products stock traded up $21.06 during trading on Thursday, reaching $321.80. The company’s stock had a trading volume of 533,847 shares, compared to its average volume of 332,751. Installed Building Products has a 52 week low of $150.83 and a 52 week high of $349.00. The firm has a market cap of $8.73 billion, a PE ratio of 34.64, a P/E/G ratio of 7.01 and a beta of 1.92. The business’s 50-day moving average price is $299.42 and its 200-day moving average price is $273.76. The company has a quick ratio of 2.28, a current ratio of 2.78 and a debt-to-equity ratio of 1.25.

Institutional Investors Weigh In On Installed Building Products

A number of hedge funds and other institutional investors have recently made changes to their positions in IBP. Vanguard Personalized Indexing Management LLC increased its stake in Installed Building Products by 2.0% during the 4th quarter. Vanguard Personalized Indexing Management LLC now owns 1,819 shares of the construction company’s stock worth $472,000 after acquiring an additional 35 shares during the period. Maryland State Retirement & Pension System raised its stake in Installed Building Products by 1.1% in the fourth quarter. Maryland State Retirement & Pension System now owns 3,315 shares of the construction company’s stock valued at $860,000 after purchasing an additional 35 shares in the last quarter. State of Wyoming lifted its position in Installed Building Products by 5.1% during the second quarter. State of Wyoming now owns 1,101 shares of the construction company’s stock worth $199,000 after purchasing an additional 53 shares during the period. Smartleaf Asset Management LLC grew its stake in Installed Building Products by 14.0% during the second quarter. Smartleaf Asset Management LLC now owns 439 shares of the construction company’s stock worth $78,000 after buying an additional 54 shares in the last quarter. Finally, Hsbc Holdings PLC increased its holdings in Installed Building Products by 5.9% in the 2nd quarter. Hsbc Holdings PLC now owns 1,643 shares of the construction company’s stock valued at $296,000 after buying an additional 92 shares during the period. 99.61% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of analysts have commented on the stock. Zacks Research cut shares of Installed Building Products from a “strong-buy” rating to a “hold” rating in a research note on Friday, January 16th. Wall Street Zen downgraded shares of Installed Building Products from a “buy” rating to a “hold” rating in a research note on Tuesday, February 3rd. Evercore set a $265.00 price target on Installed Building Products in a report on Thursday, November 6th. Benchmark downgraded Installed Building Products from a “buy” rating to a “hold” rating in a research report on Wednesday, February 11th. Finally, JPMorgan Chase & Co. reaffirmed an “underweight” rating and issued a $245.00 price objective on shares of Installed Building Products in a research report on Tuesday, January 13th. One analyst has rated the stock with a Buy rating, nine have issued a Hold rating and four have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and a consensus price target of $239.45.

About Installed Building Products

Installed Building Products, Inc (NYSE: IBP) is a leading national installer of specialty building products serving the U.S. residential construction market. The company partners with homebuilders and contractors to deliver a comprehensive range of interior and exterior finishing services, including insulation, drywall finishing, protective coatings and basement waterproofing systems. By offering a single-source solution, Installed Building Products helps streamline project coordination and ensures consistent service quality across multiple trades.

Founded in 1977 and headquartered in Columbus, Ohio, Installed Building Products has expanded from a regional insulation installer into a nationwide platform operating in nearly every state.