Eagle Materials (NYSE:EXP) Posts Quarterly Earnings Results, Misses Estimates By $0.08 EPS

Eagle Materials (NYSE:EXP) posted its quarterly earnings data on Wednesday. The construction company reported $3.29 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.37 by ($0.08), FiscalAI reports. The business had revenue of $650.97 million during the quarter, compared to analysts’ expectations of $620.35 million. Eagle Materials had a return on equity of 26.87% and a net margin of 17.32%.The business’s quarterly revenue was up 2.6% compared to the same quarter last year. During the same period in the previous year, the business posted $3.76 EPS.

Here are the key takeaways from Eagle Materials’ conference call:

• Record revenue and resilient demand: First-quarter revenue rose 3% year over year to $651 million, supported by stronger cement, aggregates, and recycled paperboard volumes. Infrastructure spending and data-center-related construction continued to support heavy-materials demand.
• Profitability was pressured by costs and downtime: EPS fell 13% to $3.29, while heavy-materials operating earnings declined 11% and light-materials earnings fell 16%. Higher freight and raw-material costs, along with an approximately $6 million impact from unexpected Mountain Cement equipment downtime, were the primary factors.
• Housing and wallboard remain stable but subdued: Wallboard demand held up better than expected despite weak housing activity, although light-materials revenue declined 5% because of lower wallboard volumes and pricing. Eagle implemented a June 1 wallboard price increase mainly to offset elevated freight costs.
• Modernization projects remain on schedule: The Laramie cement modernization is expected to be completed late this year and commissioned in early 2027, with targeted operating-cost reductions of 25%. The Duke Oklahoma wallboard modernization is expected to commission in the latter half of 2027 and reduce operating costs by 20%.
• Strong cash generation supports capital returns: Operating cash flow increased 13% to $154 million, while Eagle returned $92 million to shareholders through dividends and share repurchases. Management said its balance sheet, with $234 million in cash and nearly $1 billion of liquidity, provides flexibility for additional buybacks, high-return projects, and disciplined M&A.

Eagle Materials Price Performance

NYSE EXP traded up $1.10 on Friday, reaching $206.58. The company had a trading volume of 268,253 shares, compared to its average volume of 468,223. The stock has a market capitalization of $6.38 billion, a PE ratio of 16.35 and a beta of 1.37. Eagle Materials has a 12 month low of $171.99 and a 12 month high of $245.53. The company has a quick ratio of 2.09, a current ratio of 3.23 and a debt-to-equity ratio of 1.24. The firm’s 50 day moving average price is $215.04 and its 200 day moving average price is $210.81.

Eagle Materials Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, July 20th. Shareholders of record on Monday, June 15th were issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date was Monday, June 15th. Eagle Materials’s payout ratio is currently 7.62%.

Institutional Investors Weigh In On Eagle Materials

Several large investors have recently made changes to their positions in EXP. Caisse de depot et placement du Quebec increased its position in shares of Eagle Materials by 3.6% in the third quarter. Caisse de depot et placement du Quebec now owns 1,426 shares of the construction company’s stock worth $332,000 after acquiring an additional 50 shares in the last quarter. EverSource Wealth Advisors LLC lifted its holdings in shares of Eagle Materials by 102.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 172 shares of the construction company’s stock valued at $35,000 after acquiring an additional 87 shares in the last quarter. Russell Investments Group Ltd. boosted its position in Eagle Materials by 0.3% during the 4th quarter. Russell Investments Group Ltd. now owns 26,029 shares of the construction company’s stock worth $5,382,000 after purchasing an additional 87 shares during the period. Kestra Private Wealth Services LLC boosted its position in Eagle Materials by 5.2% during the 3rd quarter. Kestra Private Wealth Services LLC now owns 1,802 shares of the construction company’s stock worth $420,000 after purchasing an additional 89 shares during the period. Finally, Sprott Inc. increased its holdings in Eagle Materials by 3.7% in the 4th quarter. Sprott Inc. now owns 2,578 shares of the construction company’s stock valued at $533,000 after purchasing an additional 92 shares in the last quarter. 96.07% of the stock is owned by institutional investors.

Analysts Set New Price Targets

EXP has been the topic of several recent research reports. Wall Street Zen upgraded shares of Eagle Materials from a “sell” rating to a “hold” rating in a research report on Saturday, May 16th. JPMorgan Chase & Co. raised Eagle Materials from an “underweight” rating to a “neutral” rating and set a $225.00 price target for the company in a report on Tuesday, June 2nd. Citigroup raised their price objective on Eagle Materials from $217.00 to $240.00 and gave the stock a “neutral” rating in a research note on Wednesday, July 8th. Royal Bank Of Canada boosted their price objective on Eagle Materials from $208.00 to $219.00 and gave the company a “sector perform” rating in a research note on Wednesday, May 20th. Finally, Stephens upped their price target on shares of Eagle Materials from $225.00 to $230.00 and gave the stock an “equal weight” rating in a research report on Thursday. One investment analyst has rated the stock with a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $223.44.

Eagle Materials Company Profile

Eagle Materials Inc (NYSE:EXP) is a Dallas, Texas–based manufacturer of building materials serving construction and heavy industry markets across the United States. The company’s primary products include portland and masonry cements, gypsum wallboard, lightweight aggregate, paperboard packaging, and roofing granules. These product lines support a wide range of end uses—from residential and commercial buildings to infrastructure projects and industrial applications.

Since its spin-off from a major homebuilding company in 2004, Eagle Materials has grown through targeted facility expansions and strategic acquisitions.