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Top 5 Companies in the Construction Materials Industry With the Highest EV/EBITDA Ratio (VMC, MLM, EXP, HW, SUM)

By Shiri Gupta

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 19.94. Martin Mar Mtls is next with a an EV/EBITDA ratio of 15.57. Eagle Materials ranks third highest with a an EV/EBITDA ratio of 15.49.

Headwaters Inc follows with a an EV/EBITDA ratio of 14.04, and Summit Materia-A rounds out the top five with a an EV/EBITDA ratio of 12.01.

SmarTrend recommended that subscribers consider buying shares of Headwaters Inc 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 Inc have risen 28.4%. We continue to monitor Headwaters Inc for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: highest ev/ebitda ratio Vulcan Materials martin mar mtls eagle materials :hw headwaters inc summit materia-a

Ticker(s): VMC MLM EXP SUM