VMC - Eagle Materials: Worth Paying More For Quality?
While I’ve maintained that there is more opportunity in other players of the construction industry (US Concrete (USCR)), there is something to be said for owning a firm that has a proven track record and a history of prudent capital management. Eagle Materials (EXP) fits that bill. Industry-leading EBITDA margin, a diversified asset base, and a healthy balance sheet have all combined to lead many to buy Eagle Materials versus alternatives. With that said, valuations are rich and we’re arguably past mid cycle earnings for construction. In my view, the premium