James Hardie Industries (NYSE:JHX) Shares Gap Up on Strong Earnings

James Hardie Industries PLC. (NYSE:JHX)’s share price gapped up before the market opened on Wednesday following a better than expected earnings announcement. The stock had previously closed at $24.38, but opened at $26.59. James Hardie Industries shares last traded at $26.3850, with a volume of 2,383,393 shares changing hands.

The construction company reported $0.24 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.23 by $0.01. James Hardie Industries had a net margin of 2.70% and a return on equity of 16.18%. The business had revenue of $1.24 billion for the quarter, compared to analyst estimates of $1.21 billion. During the same period in the prior year, the firm earned $0.36 earnings per share. James Hardie Industries’s revenue was up 30.1% on a year-over-year basis.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on JHX shares. Vertical Research raised James Hardie Industries from a “hold” rating to a “buy” rating and set a $21.00 target price on the stock in a research report on Wednesday, November 19th. JPMorgan Chase & Co. upgraded James Hardie Industries from a “neutral” rating to an “overweight” rating in a research note on Wednesday. Zacks Research upgraded James Hardie Industries from a “hold” rating to a “strong-buy” rating in a research note on Monday, January 19th. Oppenheimer increased their target price on shares of James Hardie Industries from $28.00 to $30.00 and gave the stock an “outperform” rating in a research report on Wednesday, November 19th. Finally, Truist Financial boosted their price objective on James Hardie Industries from $28.00 to $30.00 and gave the company a “buy” rating in a research note on Wednesday. One research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $26.71.

Institutional Investors Weigh In On James Hardie Industries

A number of institutional investors have recently made changes to their positions in JHX. Wellington Management Group LLP boosted its holdings in James Hardie Industries by 259.7% during the 3rd quarter. Wellington Management Group LLP now owns 50,649,731 shares of the construction company’s stock valued at $972,981,000 after acquiring an additional 36,567,726 shares during the period. Massachusetts Financial Services Co. MA lifted its holdings in James Hardie Industries by 241.0% in the second quarter. Massachusetts Financial Services Co. MA now owns 12,718,075 shares of the construction company’s stock worth $341,989,000 after buying an additional 8,988,938 shares during the period. Phoenix Financial Ltd. bought a new stake in shares of James Hardie Industries during the third quarter valued at approximately $105,839,000. Capital World Investors purchased a new position in James Hardie Industries during the third quarter valued at $86,121,000. Finally, Balyasny Asset Management L.P. boosted its holdings in shares of James Hardie Industries by 1,883.6% during the 2nd quarter. Balyasny Asset Management L.P. now owns 3,874,198 shares of the construction company’s stock valued at $104,177,000 after buying an additional 3,678,889 shares in the last quarter. Hedge funds and other institutional investors own 7.96% of the company’s stock.

James Hardie Industries Price Performance

The company has a debt-to-equity ratio of 0.80, a current ratio of 1.79 and a quick ratio of 1.23. The firm has a market cap of $11.07 billion, a P/E ratio of 95.41, a price-to-earnings-growth ratio of 8.28 and a beta of 1.80. The firm’s 50 day moving average is $22.20 and its 200 day moving average is $21.57.

About James Hardie Industries

James Hardie Industries plc (NYSE: JHX) is a global manufacturer of high-performance fiber cement building products. The company specializes in exterior cladding, trim and soffit, as well as interior backerboard solutions designed for residential and commercial construction. By combining cement, sand and cellulose fibers, James Hardie produces durable, low-maintenance materials that resist moisture, fire and termite damage, catering to builders, contractors and homeowners through a network of distributors and retail channels.

The company’s flagship products include Hardie® Plank® and Hardie® Panel® siding systems, Hardie® BackerBoard® for tile applications, and a range of architectural trim solutions.