# Eagle Materials (EXP.US)

Canonical: https://gigainvestors.com/s/EXP

Analysis as of: 2026-10-16T07:28:25.264Z. Financial observations: FY1997–FY2027.

Listing currency: USD. Reporting currency: USD.

## Verdict

A wonderful business at a fair price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: yes.

Share price: $170.58 per share; close as of 2026-10-15.

Estimated value: low $234.08 per share, central $326.96 per share, high $382.75 per share. Buy at or below the central value $326.96 per share. Valuation as of 2026-10-16T07:28:25.264Z; scenarios are not confidence intervals.

Expected annual return: 16.2% at the stated quote. About 16.2% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.12×

Chart: Operating margin; fiscal year observations.

- FY2018: 0.21×

- FY2019: 0.21×

- FY2020: 0.19×

- FY2021: 0.22×

- FY2022: 0.25×

- FY2023: 0.27×

- FY2024: 0.28×

- FY2025: 0.27×

- FY2026: 0.24×

- LTM to Jun 2026: 0.23×

### moat: pass

- ROIC, median of available years: 16.5%

- ROIC, second-lowest year: 13.0%

- Typical minus recent gross margin: -1.4 pp

- Typical gross margin (annual median): 26.8%

- Recent gross margin (lower of latest and 3-year median): 28.3%

- Years with nonpositive capital: 0

- Capital spending / revenue: 7.0%

- ROIC including acquisitions, ten-year median: 14.1%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 10.5%

- FY2018: 15.4%

- FY2019: 14.7%

- FY2020: 13.0%

- FY2021: 15.6%

- FY2022: 21.2%

- FY2023: 24.0%

- FY2024: 24.2%

- FY2025: 20.9%

- FY2026: 17.5%

### economics: pass

- Owner earnings / net income, 5-yr: 0.94×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $2.1B

- Net income, five-year total: $2.2B

- Return on incremental invested capital: 79.4%

- Working capital / revenue, annual change: -0.6 pp

- Working capital / revenue, change between three-year averages: -2.4 pp

- Working capital / revenue, final three-year average: 21.6%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 1.15×

- FY2023: 1.06×

- FY2024: 1.06×

- FY2025: 0.92×

- FY2026: 0.50×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 14.7% vs 20.9%

- Per-share earnings: 4.10 to 13.61 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -4.3%

- Ordinary dilution, 5-year annual growth: -5.1%

- Market cap gain: $1.2B

- Cumulative retained earnings: $418M

- Diluted shares, 10-year annual growth: -4.3%

- Diluted shares, 5-year annual growth: -5.1%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: 16.2%

- Per-share value change: $9.51

- Per-share value, starting three-year median: $4.10

- Per-share value, ending three-year median: $13.61

- Buybacks concentrated in cheaper years (correlation): 0.14

- Average buyback yield: 5.7%

- Buyback history: 10 years

- Debt-funded buybacks: No

- Acquisition spending: $449M

- Cumulative net income, 10 years: $3.1B

- ROIC, first three-year median: 14.7%

- ROIC, last three-year median: 20.9%

Chart: Earnings per share; fiscal year observations.

- FY2017: $4.10

- FY2018: $5.28

- FY2019: $1.47

- FY2020: $1.68

- FY2021: $8.12

- FY2022: $9.14

- FY2023: $12.46

- FY2024: $13.61

- FY2025: $13.77

- FY2026: $13.16

### accounting: pass

- Sloan accruals: -5.0%

- Receivables to sales index (DSRI): 1.04×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 3.5%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.45×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.40×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -5.9%

- FY2018: -3.4%

- FY2019: -13.0%

- FY2020: -11.1%

- FY2021: -10.7%

- FY2022: -5.5%

- FY2023: -2.9%

- FY2024: -2.9%

- FY2025: -2.6%

- FY2026: -5.0%

## Holders

- [Seth Klarman](https://gigainvestors.com/BAUPOST): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Thomas Gayner](https://gigainvestors.com/MKL): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 45% since Nov 2024 · "Fourth Quarter EPS: Down 11%, affected by adverse weather and increased maintenance costs." (finance.yahoo.com, May 2025) · sales +0.7%

Story as of 2026-10-16T09:58:43.796Z; price observation 2026-10-15.

Price needs cash profits to shrink 2.3% a year for ten years

### Sales · FY2026–2027

sales +0.7%; source https://www.sec.gov/Archives/edgar/data/918646/000119312526230979/exp-20260331.htm; observed 2026-05-19.

- FY2018: $1.4B 

- FY2019: $1.4B 

- FY2020: $1.5B 

- FY2021: $1.6B 

- FY2022: $1.9B 

- FY2023: $2.1B 

- FY2024: $2.3B 

- FY2025: $2.3B 

- FY2026: $2.3B 

- FY2027: $2.3B 

### Gross margin · FY2026

gross margin 28.3%; source https://www.sec.gov/Archives/edgar/data/918646/000119312526230979/exp-20260331.htm; observed 2026-05-19.

- FY2017: 25.8% 

- FY2018: 24.4% 

- FY2019: 23.4% 

- FY2020: 22.8% 

- FY2021: 25.2% 

- FY2022: 27.9% 

- FY2023: 29.8% 

- FY2024: 30.3% 

- FY2025: 29.8% 

- FY2026: 28.3% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in building materials; annual sales are USD 2.3 billion.

- Source: https://www.sec.gov/Archives/edgar/data/918646/000119312526230979/exp-20260331.htm (filed 2026-05-19); FY2026: revenue 2308658000; grossProfit 652543000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); EXP.US: Eagle Materials Inc., through its subsidiaries, manufactures and sells heavy construction products and light building materials in the United States. The company operates in four segments: Cement, Concrete and Aggregates, Gypsum Wallboard, and Recycled Paperboard. It engages in the mining of limestone for the manufacture, production, distribution, and sale of portland cement, including Portland limestone cement; grinding and sale of slag; and mining of gypsum for the manufacture and sale of gypsum wallboards used to finish the interior walls and ceilings in residential, commercial, and industrial structures, as well as containerboard and lightweight packaging grades. The company is also involved in the manufacture and sale of recycled paperboard to the gypsum wallboard industry and other paperboard converters; sale of readymix concrete; and mining and sale of aggregates, such as crushed stone, sand, and gravel. Its products are used in commercial and residential construction; public construction projects to build, expand, and repair roads and highways; and repair and remodel activities. The company was formerly known as Centex Construction Products, Inc. and changed its name to Eagle Materials, Inc. in January 2004. Eagle Materials Inc. was founded in 1963 and is headquartered in Dallas, Texas.

### Why customers stay

Margins ranged from 28.3% to 30.3% during 2024–26; it earns 16.5% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2024: grossProfit / revenue = 30.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2025: grossProfit / revenue = 29.8%.

- Source: https://www.sec.gov/Archives/edgar/data/918646/000119312526230979/exp-20260331.htm (filed 2026-05-19); FY2026: grossProfit / revenue = 28.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); 10-year return on capital observations [[2017,0.10513075910508245],[2018,0.15392837559268],[2019,0.14742485522660842],[2020,0.13006076720353588],[2021,0.15571651813329057],[2022,0.2116677684859757],[2023,0.24046499677899016],[2024,0.24159834725070123],[2025,0.20935920890816995],[2026,0.1752221313945548]]; median 0.16546932476392268. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 18.8% of cash earnings on expansion; earns 79.4% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2017: growth capex 0; upkeep 56938000; owner earnings 233072000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2018: growth capex 17942000; upkeep 114015000; owner earnings 256632000. Growth capex / owner earnings = 0.06991333894448082.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2019: growth capex 7655780.809761822; upkeep 161217219.19023818; owner earnings 30177780.809761822. Growth capex / owner earnings = 0.2536893238778298.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2020: growth capex 18601000; upkeep 113518000; owner earnings 70894000. Growth capex / owner earnings = 0.26237763421446103.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2021: growth capex 0; upkeep 53933000; owner earnings 414598000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2022: growth capex 0; upkeep 74121000; owner earnings 428937000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2023: growth capex 0; upkeep 110143000; owner earnings 489951000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2024: growth capex 0; upkeep 120305000; owner earnings 507166000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); FY2025: growth capex 1031683.8164645135; upkeep 194249316.1835355; owner earnings 428068683.81646454. Growth capex / owner earnings = 0.0024100894446809156.

- Source: https://www.sec.gov/Archives/edgar/data/918646/000119312526230979/exp-20260331.htm (filed 2026-05-19); FY2026: growth capex 39755215.23195368; upkeep 376983784.7680463; owner earnings 211571215.23195368. Growth capex / owner earnings = 0.18790465039570012.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); Incremental return on capital 0.7937009325673683, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); Dividend observations: [[2017,19341000],[2018,19438000],[2019,18927000],[2020,17142000],[2021,4163000],[2022,30770000],[2023,37496000],[2024,35298000],[2025,33722000],[2026,32385000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/918646/000119312526230979/exp-20260331.htm (filed 2026-05-19); FY2026: cash repurchases 390392000 USD.

### Are managers owners

Insiders own 1.2% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); EXP.US SharesStats.PercentInsiders = 1.243 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits shrink 2.3% yearly over ten years; actual growth was 7.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-05-19); Ten-year compound average after fade. Initial solved rate -0.04467805844232847. Price 170.58; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share 3.1981495652888032 → FY2026 6.57180184936759. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $80.97 per share

- 2016-11: $97.20 per share

- 2016-12: $98.53 per share

- 2017-01: $104.58 per share

- 2017-02: $103.71 per share

- 2017-03: $97.14 per share

- 2017-04: $95.97 per share

- 2017-05: $94.30 per share

- 2017-06: $92.42 per share

- 2017-07: $94.10 per share

- 2017-08: $97.25 per share

- 2017-09: $106.70 per share

- 2017-10: $105.57 per share

- 2017-11: $111.93 per share

- 2017-12: $113.30 per share

- 2018-01: $112.05 per share

- 2018-02: $100.23 per share

- 2018-03: $103.05 per share

- 2018-04: $98.96 per share

- 2018-05: $108.38 per share

- 2018-06: $104.97 per share

- 2018-07: $99.35 per share

- 2018-08: $92.33 per share

- 2018-09: $85.24 per share

- 2018-10: $73.84 per share

- 2018-11: $73.00 per share

- 2018-12: $61.03 per share

- 2019-01: $71.00 per share

- 2019-02: $76.44 per share

- 2019-03: $84.30 per share

- 2019-04: $90.91 per share

- 2019-05: $86.06 per share

- 2019-06: $92.70 per share

- 2019-07: $82.78 per share

- 2019-08: $84.19 per share

- 2019-09: $90.01 per share

- 2019-10: $91.34 per share

- 2019-11: $92.03 per share

- 2019-12: $90.66 per share

- 2020-01: $91.17 per share

- 2020-02: $78.93 per share

- 2020-03: $58.42 per share

- 2020-04: $61.01 per share

- 2020-05: $66.76 per share

- 2020-06: $70.22 per share

- 2020-07: $80.23 per share

- 2020-08: $81.77 per share

- 2020-09: $86.32 per share

- 2020-10: $85.25 per share

- 2020-11: $90.99 per share

- 2020-12: $101.35 per share

- 2021-01: $110.03 per share

- 2021-02: $125.38 per share

- 2021-03: $134.41 per share

- 2021-04: $138.14 per share

- 2021-05: $146.76 per share

- 2021-06: $142.11 per share

- 2021-07: $141.32 per share

- 2021-08: $156.84 per share

- 2021-09: $131.16 per share

- 2021-10: $148.36 per share

- 2021-11: $154.22 per share

- 2021-12: $166.46 per share

- 2022-01: $145.85 per share

- 2022-02: $136.83 per share

- 2022-03: $128.36 per share

- 2022-04: $123.32 per share

- 2022-05: $130.56 per share

- 2022-06: $109.94 per share

- 2022-07: $126.45 per share

- 2022-08: $119.62 per share

- 2022-09: $107.18 per share

- 2022-10: $122.31 per share

- 2022-11: $136.34 per share

- 2022-12: $132.85 per share

- 2023-01: $146.08 per share

- 2023-02: $140.32 per share

- 2023-03: $146.75 per share

- 2023-04: $148.21 per share

- 2023-05: $162.93 per share

- 2023-06: $186.42 per share

- 2023-07: $184.37 per share

- 2023-08: $189.32 per share

- 2023-09: $166.52 per share

- 2023-10: $153.91 per share

- 2023-11: $181.05 per share

- 2023-12: $202.84 per share

- 2024-01: $226.28 per share

- 2024-02: $253.55 per share

- 2024-03: $271.75 per share

- 2024-04: $250.71 per share

- 2024-05: $232.39 per share

- 2024-06: $217.46 per share

- 2024-07: $272.30 per share

- 2024-08: $257.75 per share

- 2024-09: $287.65 per share

- 2024-10: $285.46 per share

- 2024-11: $308.92 per share

- 2024-12: $246.76 per share

- 2025-01: $256.74 per share

- 2025-02: $226.21 per share

- 2025-03: $221.93 per share

- 2025-04: $226.39 per share

- 2025-05: $202.21 per share

- 2025-06: $202.11 per share

- 2025-07: $224.29 per share

- 2025-08: $230.90 per share

- 2025-09: $233.04 per share

- 2025-10: $212.32 per share

- 2025-11: $223.72 per share

- 2025-12: $206.68 per share

- 2026-01: $203.81 per share

- 2026-02: $223.80 per share

- 2026-03: $189.45 per share

- 2026-04: $210.11 per share

- 2026-05: $221.18 per share

- 2026-06: $225.00 per share

- 2026-07: $204.94 per share

- 2026-08: $194.26 per share

- 2026-09: $171.02 per share

- 2026-10: $170.58 per share

## Annual estimated value (USD per share)

- FY2017: low $41.07 per share, central $46.73 per share, high $54.27 per share

- FY2018: low $62.11 per share, central $80.92 per share, high $94.64 per share

- FY2019: low $56.86 per share, central $64.70 per share, high $75.13 per share

- FY2020: low $56.29 per share, central $65.81 per share, high $76.22 per share

- FY2021: low $103.14 per share, central $144.98 per share, high $169.33 per share

- FY2022: low $114.44 per share, central $163.49 per share, high $192.04 per share

- FY2023: low $179.77 per share, central $256.80 per share, high $301.66 per share

- FY2024: low $199.61 per share, central $285.14 per share, high $334.95 per share

- FY2025: low $208.33 per share, central $297.60 per share, high $349.59 per share

- FY2026: low $223.52 per share, central $311.41 per share, high $364.19 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/918646/000119312526230979/exp-20260331.htm); period 2026-03-31, filed 2026-05-19.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.