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Building Product Stock Q3 Earnings on Nov 2: VMC, RYN & More
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After a series of third-quarter earnings releases by companies in the construction sector, we are gearing up for the next batch of reports this week. With the earnings season picking up pace, 53.8% companies in the construction space have reported their third-quarter results. According to our latest Earnings Preview, 42.9% have surpassed earnings estimates while 14.3% beat revenue expectations.
Total earnings for these construction companies increased 5.5% on 7.3% higher revenues. The sector is likely to register a 6.1% increase in earnings on 7% revenue growth.
Positives like a healthier economy, improving employment levels, low interest rates, positive consumer confidence and a tight supply situation raise optimism about the sector’s performance. Further, a strong home remodeling market along with solid job data and rising consumer confidence are doing the trick for these stocks.
So far, some of the leading companies in the construction sector have reported their third-quarter numbers. Masco Corporation (MAS - Free Report) reported third-quarter results wherein both earnings and revenues missed the Zacks Consensus Estimate. PulteGroup Inc..’s (PHM - Free Report) third-quarter 2016 earnings were in line with the Zacks Consensus Estimate while revenues missed the same. KB Home (KBH - Free Report) reported third-quarter numbers wherein earnings surpassed analysts’ expectations by 7.7% and also increased 83% year over year.
Let us take a look at how a few building product stocks are placed ahead of their third-quarter earnings releases on Nov 1.
Vulcan Materials Company (VMC - Free Report) is the nation's largest producer of construction aggregates.
As per our model, a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat earnings.
Thus, Vulcan Materials is not likely to beat earnings this quarter as it has an earnings ESP of -3.57% and a Zacks Rank #5 (Strong Sell).
Last quarter, the company posted a negative earnings surprise of 10.89%. The company reported positive earnings surprises in two of the past four quarters, with an average beat of 86.44%.
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at $1.12 per share, reflecting an increase of 18.16% year over year, while the consensus for revenues is at $1.11 billion, implying 6.77% year-over-year growth.
Jacksonville, FL-based Rayonier Inc. (RYN - Free Report) is a timberland real estate investment trust with assets located in some of the most productive timber growing regions in the U.S. and New Zealand. The company has a Zacks Rank #3 (Hold) and earnings ESP of 0.00%. Please check our Earnings ESP Filter that enables you to find stocks that are expected to come out with earnings surprises.
Our proven model does not conclusively show a beat for Rayonier this quarter. In the preceding quarter, the company posted a positive earnings surprise of 133.33%. The company also reported positive earnings surprises in all the past four quarters, with an average beat of 63.49%.
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at 14 cents a share, reflecting a decline of 17.65% year over year, while the consensus for revenues is at $153.6 million, reflecting a 1.27% year-over-year increase.
Headquartered in Denver, Summit Materials, Inc. (SUM - Free Report) is a construction material company supplying company aggregates, cement, ready-mix concrete and asphalt primarily in the United States and western Canada.
In the previous quarter, the company posted a positive earnings surprise of 4.55%. Summit Materials reported positive earnings surprises in all the past four quarters, with an average beat of 11.72%.
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at 73 cents a share, reflecting an increase of 2.44% year over year, while the consensus for revenues is at $494.38 million, implying 4.76% year-over-year growth.
CaesarStone Ltd (CSTE - Free Report) manufactures engineered quartz surfaces for residential and commercial buildings. The company has an earnings ESP of 0.00% and a Zacks Rank #3 which makes it difficult to predict a beat for CaesarStone this quarter.
In the previous quarter, the company posted a positive earnings surprise of 19.67%. CaesarStone reported positive earnings surprises in one of the past four quarters, with a average negative surprise of 1.11%.
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at 77 cents a share, reflecting an increase of 13.97% year over year, while the consensus for revenues is at $152.8 million, implying 11.7% year-over-year growth.
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Building Product Stock Q3 Earnings on Nov 2: VMC, RYN & More
After a series of third-quarter earnings releases by companies in the construction sector, we are gearing up for the next batch of reports this week. With the earnings season picking up pace, 53.8% companies in the construction space have reported their third-quarter results. According to our latest Earnings Preview, 42.9% have surpassed earnings estimates while 14.3% beat revenue expectations.
Total earnings for these construction companies increased 5.5% on 7.3% higher revenues. The sector is likely to register a 6.1% increase in earnings on 7% revenue growth.
Positives like a healthier economy, improving employment levels, low interest rates, positive consumer confidence and a tight supply situation raise optimism about the sector’s performance. Further, a strong home remodeling market along with solid job data and rising consumer confidence are doing the trick for these stocks.
So far, some of the leading companies in the construction sector have reported their third-quarter numbers. Masco Corporation (MAS - Free Report) reported third-quarter results wherein both earnings and revenues missed the Zacks Consensus Estimate. PulteGroup Inc..’s (PHM - Free Report) third-quarter 2016 earnings were in line with the Zacks Consensus Estimate while revenues missed the same. KB Home (KBH - Free Report) reported third-quarter numbers wherein earnings surpassed analysts’ expectations by 7.7% and also increased 83% year over year.
Let us take a look at how a few building product stocks are placed ahead of their third-quarter earnings releases on Nov 1.
Vulcan Materials Company (VMC - Free Report) is the nation's largest producer of construction aggregates.
As per our model, a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat earnings.
Thus, Vulcan Materials is not likely to beat earnings this quarter as it has an earnings ESP of -3.57% and a Zacks Rank #5 (Strong Sell).
Last quarter, the company posted a negative earnings surprise of 10.89%. The company reported positive earnings surprises in two of the past four quarters, with an average beat of 86.44%.
VULCAN MATLS CO Price and EPS Surprise
VULCAN MATLS CO Price and EPS Surprise | VULCAN MATLS CO Quote
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at $1.12 per share, reflecting an increase of 18.16% year over year, while the consensus for revenues is at $1.11 billion, implying 6.77% year-over-year growth.
Jacksonville, FL-based Rayonier Inc. (RYN - Free Report) is a timberland real estate investment trust with assets located in some of the most productive timber growing regions in the U.S. and New Zealand. The company has a Zacks Rank #3 (Hold) and earnings ESP of 0.00%. Please check our Earnings ESP Filter that enables you to find stocks that are expected to come out with earnings surprises.
Our proven model does not conclusively show a beat for Rayonier this quarter. In the preceding quarter, the company posted a positive earnings surprise of 133.33%. The company also reported positive earnings surprises in all the past four quarters, with an average beat of 63.49%.
RAYONIER INC Price and EPS Surprise
RAYONIER INC Price and EPS Surprise | RAYONIER INC Quote
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at 14 cents a share, reflecting a decline of 17.65% year over year, while the consensus for revenues is at $153.6 million, reflecting a 1.27% year-over-year increase.
Headquartered in Denver, Summit Materials, Inc. (SUM - Free Report) is a construction material company supplying company aggregates, cement, ready-mix concrete and asphalt primarily in the United States and western Canada.
Our model hints at a beat for the company as it has an earnings ESP of +4.11% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
In the previous quarter, the company posted a positive earnings surprise of 4.55%. Summit Materials reported positive earnings surprises in all the past four quarters, with an average beat of 11.72%.
SUMMIT MATERLS Price and EPS Surprise
SUMMIT MATERLS Price and EPS Surprise | SUMMIT MATERLS Quote
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at 73 cents a share, reflecting an increase of 2.44% year over year, while the consensus for revenues is at $494.38 million, implying 4.76% year-over-year growth.
CaesarStone Ltd (CSTE - Free Report) manufactures engineered quartz surfaces for residential and commercial buildings. The company has an earnings ESP of 0.00% and a Zacks Rank #3 which makes it difficult to predict a beat for CaesarStone this quarter.
In the previous quarter, the company posted a positive earnings surprise of 19.67%. CaesarStone reported positive earnings surprises in one of the past four quarters, with a average negative surprise of 1.11%.
CAESARSTONE LTD Price and EPS Surprise
CAESARSTONE LTD Price and EPS Surprise | CAESARSTONE LTD Quote
For the third quarter, the Zacks Consensus Estimate for earnings is pegged at 77 cents a share, reflecting an increase of 13.97% year over year, while the consensus for revenues is at $152.8 million, implying 11.7% year-over-year growth.
Now See Our Private Investment Ideas
While the above ideas are being shared with the public, other trades are hidden from everyone but selected members. Would you like to peek behind the curtain and view them? Starting today, for the next month, you can follow all Zacks' private buys and sells in real time from value to momentum . . . from stocks under $10 to ETF and option moves . . . from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors. Click here for Zacks' secret trades >>