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Highest EV/EBITDA Ratio in the Construction Materials Industry Detected in Shares of Vulcan Materials (VMC, MLM, EXP, HW, USLM)

By David Diaz

Below are the three companies in the Construction Materials industry with the highest enterprise value to EBITDA (EV/EBITDA) ratios. EV/EBITDA is an important metric used in valuing comparable companies. It is capital structure neutral and generally the lower the ratio, the more undervalued the company is believed to be.

Vulcan Materials ranks highest with a an EV/EBITDA ratio of 17.77. Martin Marietta Materials is next with a an EV/EBITDA ratio of 15.75. Eagle Materials ranks third highest with a an EV/EBITDA ratio of 14.69.

Headwaters follows with a an EV/EBITDA ratio of 14.27, and United States Lime & Minerals rounds out the top five with a an EV/EBITDA ratio of 11.55.

SmarTrend recommended that subscribers consider buying shares of Headwaters on November 9th, 2016 as our technology indicated a new Uptrend was in progress when shares hit $18.88. Since that recommendation, shares of Headwaters have risen 24.7%. We continue to monitor Headwaters for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: highest ev/ebitda ratio Vulcan Materials Martin Marietta Materials eagle materials headwaters united states lime & minerals

Ticker(s): VMC MLM EXP HW USLM