Building products installation services company Installed Building Products (NYSE:IBP) will be reporting results this Thursday before market open. Here’s what investors should know.
Installed Building Products beat analysts’ revenue expectations last quarter, reporting revenues of $747.5 million, flat year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ adjusted operating income estimates.
Is Installed Building Products a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Installed Building Products’s revenue to decline 2.3% year on year, a further deceleration from the 1.2% decrease it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Installed Building Products has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Installed Building Products’s peers in the home builders segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Taylor Morrison Home’s revenues decreased 26.8% year on year, beating analysts’ expectations by 4.1%, and D.R. Horton reported a revenue decline of 2.3%, falling short of estimates by 0.7%. Taylor Morrison Home traded up 3.9% following the results while D.R. Horton was also up 5.1%.
Read our full analysis of Taylor Morrison Home’s results here and D.R. Horton’s results here.
There has been positive sentiment among investors in the home builders segment, with share prices up 9.9% on average over the last month. Installed Building Products is up 5.5% during the same time and is heading into earnings with an average analyst price target of $289.25 (compared to the current share price of $282.36).
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