First Trust Advisors LP Boosts Stake in Eagle Materials Inc $EXP

Key Points

• First Trust Advisors LP increased its Eagle Materials stake by 8.8% in the first quarter, bringing its holdings to 61,389 shares worth approximately $11.6 million. Institutional investors collectively own 96.07% of EXP.
• Eagle Materials reported record quarterly revenue of $651.0 million, up 2.6% year over year and above estimates, supported by stronger Heavy Materials and cement volumes. However, EPS fell 13% to $3.29, missing consensus, while net earnings and adjusted EBITDA also declined.
• Shares opened at $206.41, down 1.7%, while analysts maintain a consensus Hold rating with an average price target of $223.44. Wells Fargo cut its target to $231 but retained an Overweight rating, and the company continues returning capital through dividends and share repurchases.

First Trust Advisors LP raised its stake in shares of Eagle Materials Inc (NYSE:EXP - Free Report) by 8.8% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 61,389 shares of the construction company's stock after acquiring an additional 4,965 shares during the quarter. First Trust Advisors LP owned approximately 0.20% of Eagle Materials worth $11,630,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also made changes to their positions in the stock. Clearstead Advisors LLC lifted its position in shares of Eagle Materials by 266.7% during the fourth quarter. Clearstead Advisors LLC now owns 132 shares of the construction company's stock valued at $27,000 after buying an additional 96 shares during the last quarter. IFP Advisors Inc grew its position in shares of Eagle Materials by 389.3% in the 4th quarter. IFP Advisors Inc now owns 137 shares of the construction company's stock worth $28,000 after buying an additional 109 shares during the last quarter. Los Angeles Capital Management LLC purchased a new position in shares of Eagle Materials in the 4th quarter worth approximately $29,000. Measured Wealth Private Client Group LLC bought a new position in shares of Eagle Materials during the 3rd quarter worth approximately $34,000. Finally, EverSource Wealth Advisors LLC raised its stake 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 worth $35,000 after acquiring an additional 87 shares in the last quarter. 96.07% of the stock is currently owned by hedge funds and other institutional investors.

Eagle Materials News Summary

Here are the key news stories impacting Eagle Materials this week:

• Positive Sentiment: Revenue reached a record $651.0 million, up 3% year over year and above Wall Street expectations. Heavy Materials revenue increased 8%, while cement sales volume rose 8% to a record 2.1 million tons. Eagle Materials Reports First Quarter Results
• Positive Sentiment: Eagle Materials generated $154 million in operating cash flow and repurchased approximately $84 million of stock, or 406,500 shares, signaling continued capital returns and management confidence. Eagle Materials Q1 Revenue Rises to Record $651 Million
• Neutral Sentiment: Wells Fargo lowered its price target from $240 to $231 but retained an Overweight rating, implying approximately 11.9% potential upside based on the referenced price. The reduced target reflects more cautious expectations rather than a bearish rating.
• Negative Sentiment: Diluted EPS fell 13% year over year to $3.29, below the commonly cited consensus estimate of $3.37. Net earnings declined 17% to $102.1 million and adjusted EBITDA dropped 11% to $190.5 million, raising concerns about margins and operating costs. Eagle Materials Fiscal First Quarter Earnings
• Negative Sentiment: Light Materials revenue decreased 5%, and gypsum wallboard sales volume fell 2% to 772 million square feet. Zacks Research also downgraded EXP from “strong buy” to “hold,” adding to the near-term pressure on the stock.

Eagle Materials Trading Down 1.7%

Shares of Eagle Materials stock opened at $206.41 on Friday. The firm's 50 day simple moving average is $215.04 and its two-hundred day simple moving average is $210.81. The firm has a market capitalization of $6.38 billion, a price-to-earnings ratio of 16.32 and a beta of 1.37. Eagle Materials Inc has a 12-month low of $171.99 and a 12-month high of $245.53. The company has a current ratio of 3.23, a quick ratio of 2.09 and a debt-to-equity ratio of 1.24.

Eagle Materials (NYSE:EXP - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The construction company reported $3.29 EPS for the quarter, missing the consensus estimate of $3.37 by ($0.08). The company had revenue of $650.97 million for the quarter, compared to analyst estimates of $620.35 million. Eagle Materials had a return on equity of 26.87% and a net margin of 17.32%.The company's quarterly revenue was up 2.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $3.76 earnings per share. Analysts predict that Eagle Materials Inc will post 12.9 EPS for the current year.

Eagle Materials Dividend Announcement

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

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on EXP shares. Jefferies Financial Group restated a "hold" rating and issued a $200.00 target price on shares of Eagle Materials in a research note on Wednesday, May 20th. JPMorgan Chase & Co. upgraded Eagle Materials from an "underweight" rating to a "neutral" rating and set a $225.00 price objective 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 report on Wednesday, July 8th. Royal Bank Of Canada raised their price objective on Eagle Materials from $208.00 to $219.00 and gave the stock a "sector perform" rating in a research report on Wednesday, May 20th. Finally, Wells Fargo & Company reduced their target price on Eagle Materials from $240.00 to $231.00 and set an "overweight" rating on the stock in a research report on Thursday. One research 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 an average target price of $223.44.

Eagle Materials 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.

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