Here's What Analysts Are Forecasting For Eagle Materials Inc. (NYSE:EXP) After Its First-Quarter Results

Eagle Materials Inc. (NYSE:EXP) shareholders are probably feeling a little disappointed, since its shares fell 4.0% to US$205 in the week after its latest quarterly results. It was a pretty mixed result, with revenues beating expectations to hit US$651m. Statutory earnings fell 2.8% short of analyst forecasts, reaching US$3.29 per share. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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Taking into account the latest results, Eagle Materials' eleven analysts currently expect revenues in 2027 to be US$2.35b, approximately in line with the last 12 months. Statutory earnings per share are expected to dip 2.9% to US$12.75 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$2.33b and earnings per share (EPS) of US$12.90 in 2027. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

Check out our latest analysis for Eagle Materials

The analysts reconfirmed their price target of US$227, showing that the business is executing well and in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Eagle Materials at US$240 per share, while the most bearish prices it at US$210. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Eagle Materials' past performance and to peers in the same industry. It's pretty clear that there is an expectation that Eagle Materials' revenue growth will slow down substantially, with revenues to the end of 2027 expected to display 1.4% growth on an annualised basis. This is compared to a historical growth rate of 5.7% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 6.9% annually. Factoring in the forecast slowdown in growth, it seems obvious that Eagle Materials is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Eagle Materials' revenue is expected to perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Eagle Materials going out to 2029, and you can see them free on our platform here..

It is also worth noting that we have found 1 warning sign for Eagle Materials that you need to take into consideration.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.