Jhx

JHX trades at 61.3x trailing earnings while sales are projected to grow just 4.0% a year.

If you own JHX, you own a housing supplier priced like demand is hot when management says demand stayed soft.

jhx

industrials large cap updated mar 13, 2026
$23.89
market cap ~$14B · 52-week range $16–$27
xvary composite: 56 / 100 · below average
our overall rating — combines growth, value, risk, and momentum
Start here if you're new
what it is
James Hardie makes siding, backerboard, and gypsum products used in homes and commercial buildings.
how it gets paid
Last year Jhx made $3.9B in revenue. North America was the main engine at $2.89B, or 74% of sales.
why growth slowed
Revenue fell 1.5% last year. Adjusted operating profit was $330 million, with a 26.6% margin, but the core north america fiber-cement business saw organic sales down 2% as singlefamily volumes.
what just happened
JHX reported $0.24 EPS, a 4% miss versus the $0.25 estimate, while gross margin stayed at 38.8%.
At a glance
B+ balance sheet — decent shape, but not bulletproof
50/100 earnings predictability — expect surprises
61.3x trailing p/e — you're paying up for this one
11.0% return on capital — nothing to write home about
xvary composite: 56/100 — below average
What they do
James Hardie makes siding, backerboard, and gypsum products used in homes and commercial buildings.
This business wins because builders already know the brand, the install process, and the distribution network. That is switching costs (hard to change suppliers) → plain English: crews stick with what works → so what: James Hardie keeps pricing power even in a weak market. You can see it in the numbers: 74% of fiscal 2024 sales came from North America, and adjusted operating profit still hit $330 million in the latest reported quarter.
industrials large-cap building-products housing-cycle fiber-cement
How they make money
$3.9B annual revenue · their business grew -1.5% last year
North America
$2.89B
Australia & New Zealand
$0.43B
Europe
$0.35B
Rest of world
$0.23B
The products that matter
exterior cladding materials
Fiber cement siding
part of a $3.9B revenue base
this is the flagship logic of the company even if the current dataset does not break out product-level sales. With revenue at $3.9B and operating margin at 30.0%, the core siding franchise is doing real work.
core line
tile substrate materials
Backerboard
38.8% gross margin business
backerboard sits inside a company keeping 38.8 cents of gross profit from every revenue dollar. In human-speak: product mix matters here, even if this page's source file is thin on exact segment splits.
margin support
interior wall products
Fiber gypsum products
$4.6B debt makes execution matter
with $4.6B in long-term debt, each product line matters for cash generation, not just volume. Selling more boards helps. Selling them profitably matters more.
cash flow watch
Key numbers
61.3x
trailing p/e
P/E (price-to-earnings) → plain English: how much you pay for each dollar of profit → so what: JHX is priced like growth is easy when demand is not.
16.9%
operating margin
Operating margin → plain English: profit after running the business → so what: James Hardie is still a solid earner even in a mixed housing market.
11.0%
return on capital
Return on capital → plain English: how well management turns investment into profit → so what: 11.0% is decent, but not high enough to justify any price.
$4.6B
long-term debt
Debt is 25% of capital, which is manageable but leaves less room for mistakes if housing weakens again.
Financial health
B+
strength
  • balance sheet grade B+ — solid but not elite
  • risk rank 3 — safer than 50% of stocks
  • price stability 35 / 100
  • long-term debt $4.6B (25% of capital)
  • net profit margin 16.5% — keeps 16 cents of every dollar in revenue
  • return on equity 14% — $0.14 profit for every $1 investors have put in
B+ — functional but not a standout on the balance sheet.
Total return vs. market

You invested $10,000 in JHX 3 years ago → it's now worth $11,580.

The index would have given you $14,540.

same period. same starting point. JHX trailed the market by $2,960.

source: institutional data · total return
What just happened
missed estimates
JHX reported $0.24 EPS, a 4% miss versus the $0.25 estimate, while gross margin stayed at 38.8%.
The EPS miss was small. The louder fact is that management said sales jumped but underlying demand stayed soft, with margin gains leaning on pricing and mix rather than clean volume strength.
$3.9B
ttm revenue
$0.24
eps
38.8%
gross margin
the number that mattered
$0.24 matters because the business missed by just 1 cent, yet the stock still carries a 61.3x trailing multiple.
source: company earnings report, 2026

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What could go wrong

the risk is specific here: JHX is still priced like growth should show up soon, while the current snapshot still shows revenue down 1.5%.

!
high
end-market demand stays soft
revenue already declined 1.5% to $3.9B. If construction and renovation activity stay muted, you do not need another big drop for sentiment to crack.
this touches the full $3.9B revenue base
!
high
multiple compression
61.3x trailing earnings is a demanding price for a cyclical materials company. The business can stay decent and the stock can still re-rate lower if growth does not reappear.
valuation risk sits on every dollar of current earnings
∘
med
debt gets louder if the slowdown lingers
$4.6B of long-term debt and 25% debt to capital look manageable while margins hold. They get less comfortable when revenue is shrinking and investors are already paying up for recovery.
capital structure matters more with $4.6B in debt
∘
med
estimate confidence is only average
earnings predictability is 50/100. In human terms, this is not a name where you should assume the path from $3.9B to $7B is neat or automatic.
estimates can move faster than the story investors tell themselves
a slower housing backdrop, a 61.3x multiple, and $4.6B of debt is not a fatal setup. It is a setup where one weak quarter can change the mood quickly.
source: institutional data · regulatory filings · risk analysis
Pay attention to
earnings
next earnings report
the current dataset does not show the exact date. That is thin, and it matters, because this stock needs growth evidence more than another margin headline.
metric
revenue back above zero
revenue fell 1.5% last year. You want that number positive again before getting too comfortable with 61.3x earnings.
risk
debt carrying more of the story
$4.6B in long-term debt is manageable while margins hold. It becomes a louder issue if demand weakens again.
trend
institutional flow
87 buyers versus 108 sellers in 4q2025 is a mild yellow flag. Watch whether that gap closes or widens next.
Analyst rankings
earnings predictability
50 / 100
in human-speak, analysts do not see a perfectly smooth earnings story here.
risk rank
3
middle-of-the-pack safety. Not fragile, not defensive.
price stability
35 / 100
this does not trade like a sleepy income stock. The share price moves.
source: institutional data
Institutional activity

87 buyers vs. 108 sellers in 4q2025. total institutional holdings: 0.2B shares.

source: institutional data · 2q2025-4q2025
source: institutional data
Price targets
3-5 year target range
$16 $45
$24 current price
$31 target midpoint · +30% from current · 3-5yr high: $60 (+150% · 26% ann'l return)
source: institutional data · analyst targets

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