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Let’s dig into the relative performance of Insteel (NYSE:IIIN) and its peers as we unravel the now-completed Q4 commercial building products earnings season.
Commercial building products companies, which often serve more complicated projects, can supplement their core business with higher-margin installation and consulting services revenues. More recently, advances to address labor availability and job site productivity have spurred innovation. Additionally, companies in the space that can produce more energy-efficient materials have opportunities to take share. However, these companies are at the whim of commercial construction volumes, which tend to be cyclical and can be impacted heavily by economic factors such as interest rates. Additionally, the costs of raw materials can be driven by a myriad of worldwide factors and greatly influence the profitability of commercial building products companies.
The 5 commercial building products stocks we track reported a very strong Q4. As a group, revenues beat analysts’ consensus estimates by 8.4%.
While some commercial building products stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 3.2% since the latest earnings results.
Insteel (NYSE:IIIN)
Growing from a small wire manufacturer to one of the largest in the U.S., Insteel (NYSE:IIIN) provides steel wire reinforcing products for concrete.
Insteel reported revenues of $129.7 million, up 6.6% year on year. This print exceeded analysts’ expectations by 10.4%. Overall, it was a very strong quarter for the company with a solid beat of analysts’ EBITDA estimates.
Insteel scored the fastest revenue growth of the whole group. The stock is up 12.4% since reporting and currently trades at $27.92.
Is now the time to buy Insteel? Access our full analysis of the earnings results here, it’s free.
Best Q4: Janus (NYSE:JBI)
Standing out with its digital keyless entry into self-storage room technology, Janus (NYSE:JBI) is a provider of easily accessible self-storage solutions.
Janus reported revenues of $230.8 million, down 12.5% year on year, outperforming analysts’ expectations by 24.1%. The business had an incredible quarter with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
Janus delivered the biggest analyst estimates beat and highest full-year guidance raise among its peers. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 4% since reporting. It currently trades at $7.73.