NYSE · IBP

Installed Building Products, Inc.

Consumer Cyclical · Residential Construction

$195.38▼ 1.85% ($3.68)today

As of 10:26 AM ET

52-week

$193.11$349.00

Market cap

$5.26B

What the market price implies · Reverse DCF

To support a price of $195.38, this model requires revenue to grow by 11.61%/yr over the next 10 years, compounded annually.

Historical revenue grew by 10.83%/yr over the past 4 years. The required annual growth rate is 0.77 percentage points higher.

Selected forecast · Base scenario

3.67%/yr · actual 10-year annualized revenue growth

Year 1 growth: 5.74%

Market-implied · Base operating assumptions + edited margins

11.61%/yr · flat 10-year annualized revenue growth

Reverse DCF solves revenue growth itself using Base operating assumptions and your edited margins. Changing forecast growth alone does not change the implied rate. This is a model-implied requirement, not an analyst forecast.

Valuation

Recommended · Revenue & margin DCF

Price used

$195.38

Estimated value / share

$111.35

Base scenario

This estimate is 43.01% below the price used.

USD · TTM ending 2026-06-30

Year 1 growth 5.74% · Ending margin 12.41% · Discount rate 12.46%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future revenue, operating margins, and the investment needed to support them.

Price timestamp: Sep 18, 2026, 2:26 PM UTC
Financial statement period: TTM ending 2026-06-30
Data refreshed: Sep 18, 2026, 2:26 PM UTC · provider

Why this method?

FCFF is positive, but the series is too unstable to anchor a direct cash-flow CAGR and the business still fails the steady-state comparability checks. Use a revenue-and-margin transition model instead of normalizing and compounding current FCFF.

Is FCFF positive and has it been for 3+ consecutive years? 13 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 139.3%.

Do you have 5+ years of positive FCFF history? 13 consecutive positive FCFF years are available.

Is the business model structurally similar to what it should be in 10 years? 10.0-year FCFF CAGR of 42.2% exceeds the 20.0% sustainability threshold — compounding current cash flows at that historical rate would produce an unreliable forward projection.

Price vs Fundamentals

Why The Stock Is Moving

Likely fundamental deteriorationModerate confidence

1Y Price: -23.05%Revenue (TTM): 0.27%FCF (TTM): -85.48%P/FCF: 97th pct

What changed

The stock fell 23.05% over the last year. Revenue grew 0.27% over the trailing twelve months. Operating margin moved from 12.54% to 12.41%. Free cash flow declined 85.48% over the trailing twelve months.

What the market seems to be pricing

The market is reacting to weaker business momentum more than just compressing the valuation multiple. Even if the shares already screen cheap on P/FCF, investors are still discounting lower future earnings power.

What would invalidate this read

Operating margin stands at 12.41%. Free cash flow fell 85.48% — a return toward positive territory would undermine the deterioration thesis. If margins and cash flow stabilize while the stock stays depressed, the gap shifts from fundamental damage toward pure multiple compression.

Performance

Return analysis

Company profile

Installed Building Products, Inc. (IBP) is a leading U.S. firm specializing in the provision and installation of a wide range of construction materials for both residential and commercial developers.

CEOJeffrey W. Edwards

SectorConsumer Cyclical

IndustryResidential Construction

Employees10,400

IPO dateFeb 13, 2014

https://www.installedbuildingproducts.com

Market multiples

Forward P/E—

EV/EBITDA14.45

Enterprise value$7.71B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth2.3%

Gross margin (FY2025)33.97%▲0.2ppvs FY2024

Operating margin (FY2025)13.01%0.0ppvs FY2024

ROE38.45%▲0.9ppvs FY2025

Analyst consensus

RatingHold

Target price$236.86▲21.23%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Nov 4, 2026

Q4 FY26 · EPS est $2.88 · Revenue est $790.91M

View

Dividends

$3.34/shareQuarterly4yr growth streakSafe

IBP pays a dividend with a 1.71% dividend yield, 4 consecutive years of growth, growing at 14.85% annually, covered 3.4× by free cash flow.

Dividend Yield

1.71%

Annual Div / Share

$3.34

3yr CAGR

+14.85%

Doubles every ~5.0yr

Payout Ratio

35.78%

Safe

Dividend Growth Rate

3yr CAGR

+14.85%

Dividend Safety

10/10Safe

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$3.34+5.7%

2025$3.16+6.0%

2024$2.98+35.1%

2023$2.21+2.8%

2022$2.15—

Income Projection

Invest

USD

Growth rate:

Reinvest dividends

Today

$17/yr

$1/mo

In 5 yrs

$30/yr+76%

$3/mo

In 10 yrs

$53/yr+211%

$4/mo

Today	In 5 yrs	In 10 yrs
$17/yr $1/mo	$30/yr+76% $3/mo	$53/yr+211% $4/mo

Long-range projections use a capped 12% annual growth assumption.

Yield-on-cost grows from 1.71% → 5.31% over 10yr

Analysis

Dividend Strengths

Well-covered by free cash flow

The dividend is covered 3.4× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Risks to Watch

No strong risk signal stands out from the latest period pair.

NYSE · IBP

Installed Building Products, Inc.

Consumer Cyclical · Residential Construction

$195.38▼ 1.85% ($3.68)today

As of 10:26 AM ET

52-week

$193.11$349.00

Market cap

$5.26B

What the market price implies · Reverse DCF

To support a price of $195.38, this model requires revenue to grow by 11.61%/yr over the next 10 years, compounded annually.

Historical revenue grew by 10.83%/yr over the past 4 years. The required annual growth rate is 0.77 percentage points higher.

Selected forecast · Base scenario

3.67%/yr · actual 10-year annualized revenue growth

Year 1 growth: 5.74%

Market-implied · Base operating assumptions + edited margins

11.61%/yr · flat 10-year annualized revenue growth

Valuation

Recommended · Revenue & margin DCF

Price used

$195.38

Estimated value / share

$111.35

Base scenario

This estimate is 43.01% below the price used.

USD · TTM ending 2026-06-30

Year 1 growth 5.74% · Ending margin 12.41% · Discount rate 12.46%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future revenue, operating margins, and the investment needed to support them.

Price timestamp: Sep 18, 2026, 2:26 PM UTC
Financial statement period: TTM ending 2026-06-30
Data refreshed: Sep 18, 2026, 2:26 PM UTC · provider

Why this method?

Is FCFF positive and has it been for 3+ consecutive years? 13 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 139.3%.

Do you have 5+ years of positive FCFF history? 13 consecutive positive FCFF years are available.

Price vs Fundamentals

Why The Stock Is Moving

Likely fundamental deteriorationModerate confidence

1Y Price: -23.05%Revenue (TTM): 0.27%FCF (TTM): -85.48%P/FCF: 97th pct

What changed

What the market seems to be pricing

What would invalidate this read

Performance

Return analysis

Company profile

Installed Building Products, Inc. (IBP) is a leading U.S. firm specializing in the provision and installation of a wide range of construction materials for both residential and commercial developers.

CEOJeffrey W. Edwards

SectorConsumer Cyclical

IndustryResidential Construction

Employees10,400

IPO dateFeb 13, 2014

https://www.installedbuildingproducts.com

Market multiples

Forward P/E—

EV/EBITDA14.45

Enterprise value$7.71B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth2.3%

Gross margin (FY2025)33.97%▲0.2ppvs FY2024

Operating margin (FY2025)13.01%0.0ppvs FY2024

ROE38.45%▲0.9ppvs FY2025

Analyst consensus

RatingHold

Target price$236.86▲21.23%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Nov 4, 2026

Q4 FY26 · EPS est $2.88 · Revenue est $790.91M

View

Dividends

$3.34/shareQuarterly4yr growth streakSafe

IBP pays a dividend with a 1.71% dividend yield, 4 consecutive years of growth, growing at 14.85% annually, covered 3.4× by free cash flow.

Dividend Yield

1.71%

Annual Div / Share

$3.34

3yr CAGR

+14.85%

Doubles every ~5.0yr

Payout Ratio

35.78%

Safe

Dividend Growth Rate

3yr CAGR

+14.85%

Dividend Safety

10/10Safe

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$3.34+5.7%

2025$3.16+6.0%

2024$2.98+35.1%

2023$2.21+2.8%

2022$2.15—

Income Projection

Invest

USD

Growth rate:

Reinvest dividends

Today

$17/yr

$1/mo

In 5 yrs

$30/yr+76%

$3/mo

In 10 yrs

$53/yr+211%

$4/mo

Today	In 5 yrs	In 10 yrs
$17/yr $1/mo	$30/yr+76% $3/mo	$53/yr+211% $4/mo

Long-range projections use a capped 12% annual growth assumption.

Yield-on-cost grows from 1.71% → 5.31% over 10yr

Analysis

Dividend Strengths

Well-covered by free cash flow

The dividend is covered 3.4× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Risks to Watch

No strong risk signal stands out from the latest period pair.