IBP:NYSEInstalled Building Products, Inc. Analysis
Data as of 2026-06-06 - not real-time
$197.61
Latest Price
7/10Risk
Risk Level: Medium
Executive Summary
Installed Building Products (IBP) is currently trading well below its short‑term moving averages, with the price under the 20‑day and 50‑day SMA, and the RSI lingering in the low‑30s, a classic sign of oversold conditions. The MACD histogram has just turned positive, hinting at a tentative bullish shift, yet the stock remains anchored near a key support level just above $196. Fundamentally, the company posted a revenue decline and missed both earnings and sales expectations in the latest quarter, while its debt load is high relative to equity and cash flow, making the modest 1.7% dividend and roughly 35% payout ratio a point of caution.
Valuation metrics amplify the concern: a discounted cash‑flow analysis suggests a fair value around $130, substantially lower than the current market price, and valuation multiples such as PE and PB are elevated. The market sentiment is exuberant, reflected by an extreme‑greed reading on the fear‑greed index, but the combination of high beta, very high recent volatility, and a bearish technical trend underscores significant downside risk despite the dividend cushion.
Valuation metrics amplify the concern: a discounted cash‑flow analysis suggests a fair value around $130, substantially lower than the current market price, and valuation multiples such as PE and PB are elevated. The market sentiment is exuberant, reflected by an extreme‑greed reading on the fear‑greed index, but the combination of high beta, very high recent volatility, and a bearish technical trend underscores significant downside risk despite the dividend cushion.
Market Outlook
Short Term
< 1 yearCautious
Model confidence: 7/10
Key Factors
- Recent earnings and revenue miss
- Price below short‑term moving averages and key support
- High short‑term volatility and bearish trend
Medium Term
1–3 yearsNeutral
Model confidence: 6/10
Key Factors
- Attractive dividend yield and moderate payout ratio
- Potential stabilization of cash flow and earnings
- Sector cyclicality may offer recovery as housing activity improves
Long Term
> 3 yearsNeutral
Model confidence: 5/10
Key Factors
- Strong return on equity and consistent operating cash flow
- Elevated debt levels requiring attention
- Long‑term demand for insulation and building‑product services
Key Metrics & Analysis
Financial Health
Revenue Growth-3.50%
Profit Margin8.65%
P/E Ratio21.1
ROE38.36%
ROA11.14%
Debt/Equity176.87
P/B Ratio7.9
Op. Cash Flow$381.6M
Free Cash Flow$317.2M
Technical Analysis
TrendBearish
RSI33.2
Support$196.86
Resistance$224.93
MA 20$209.36
MA 50$253.55
MA 200$270.38
MACDBullish
VolumeDecreasing
Fear & Greed Index83.02
Valuation
Fair Value$129.15
Target Price$232.58
Upside/Downside17.70%
GradeOvervalued
TypeBlend
Dividend Yield1.68%
Risk Assessment
Beta1.34
Volatility104.05%
Sector RiskHigh
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.