- CRH plc (CRH): 8 Best Basic Materials Stocks to Buy According to Hedge Funds
May 10, 2026
CRH plc (NYSE:CRH) is one of the best basic materials stocks to buy according to hedge funds. On April 30, CRH reported a strong start to 2026, with Q1 revenues rising 9% to $7.4 billion. This was fueled by positive underlying demand, disciplined pricing, and contributions from recent acquisitions, particularly within the Americas Materials Solutions segment, which saw a 21% revenue increase. While the company recorded a net loss of $0.2 billion due to higher depreciation and impairment charges, Adjusted EBITDA grew by 18% to $0.6 billion.
The company is actively reshaping its portfolio by reallocating capital toward higher-growth water infrastructure and utility markets. CRH agreed to $1.9 billion in divestitures across non-core businesses, including its construction accessories and lawn and garden operations. Simultaneously, it is investing $0.9 billion in nine acquisitions, highlighted by the $0.7 billion agreement to acquire Axius Water to strengthen its position in the specialized water quality solutions sector in North America.CRH plc (CRH): 8 Best Basic Materials Stocks to Buy According to Hedge Funds
CRH plc (NYSE:CRH) reaffirmed its full-year 2026 guidance, projecting net income between $3.9 billion and $4.1 billion and Adjusted EBITDA in the range of $8.1 billion to $8.5 billion. The company continues to return value to shareholders, declaring a 5% increase in its quarterly dividend to $0.39 per share and initiating a new $0.3 billion share buyback tranche.
CRH plc (NYSE:CRH) manufactures and distributes a wide range of superior building materials and products used in infrastructure, commercial, residential, and public construction projects worldwide.
While we acknowledge the potential of CRH as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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- Cardinal Infrastructure to Report Q1 Earnings: Here's What to Know
May 8, 2026
Cardinal Infrastructure Group Inc. CDNL is scheduled to report first-quarter 2026 results on May 12, before the opening bell.
In the fourth quarter of 2025, the company’s revenues came in around $146 million.
How Are Estimates Placed for CDNL Stock?
The Zacks Consensus Estimate for first-quarter earnings per share (EPS) has trended upward to 18 cents from 16 cents over the past 60 days. The consensus mark for revenues is pegged at $126.6 million.
Cardinal Infrastructure Group Inc. Price and EPS SurpriseCardinal Infrastructure Group Inc. Price and EPS Surprise
Cardinal Infrastructure Group Inc. price-eps-surprise | Cardinal Infrastructure Group Inc. Quote
Factors to Note Ahead of Cardinal Infrastructure’s Q1 Results
The first quarter of 2026 will mark Cardinal Infrastructure’s debut as a public company. In the quarter, the company’s top line is expected to have witnessed a seasonal low point, with construction seasonality making a return. Although this uncertain scenario is likely to have taken a toll on the revenue performance of the company, robust project activity in residential and commercial development bolsters optimism for the quarter.
CDNL’s performance is expected to have been supported by growing residential demand across its three core North Carolina markets, alongside increased demand volumes of commercial, DOT and municipal work. Notably, its strategic acquisition efforts are expected to have aided the quarter to some extent, especially buyouts including Page, Purcell and Red Clay.
Meanwhile, the return of seasonality is also expected to have posed a threat to the company’s profitability in the first quarter. Moreover, increased IPO-related and acquisition costs, alongside elevated general and administrative expenses and ongoing macro uncertainties, are likely to have taken a toll on the bottom line.
Nonetheless, CDNL expects these costs and expenses to restrict its margins and profitability in the near term, making it well-positioned in the market in the long term.
What the Zacks Model Unveils for CDNL
Our proven model does not conclusively predict an earnings beat for Cardinal Infrastructure this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here.
CDNL’s Earnings ESP: The company has an Earnings ESP of 0.00%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
CDNL’s Zacks Rank: The stock carries a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Recent Construction Releases
CRH plc CRH posted an adjusted loss in the first quarter of 2026, which came in wider than the Zacks Consensus Estimate and the value reported a year ago. On the other hand, total revenues topped the consensus mark and grew year over year.
CRH’s top-line growth was driven by positive underlying demand and contributions from recent tuck-in acquisitions, with the company highlighting momentum across infrastructure-led end markets. Cost pressures, along with heavier non-cash charges tied to portfolio actions, created a tougher bridge from revenue growth to per-share results. For 2026, CRH reaffirmed guidance calling for net income of $3.9-$4.1 billion and EPS of $5.60-$6.05.
Quanta Services, Inc. PWR reported a strong first-quarter 2026 performance, driven by solid execution across both of its operating segments. Management said revenue growth and margin performance exceeded its expectations across the business, supported by the company’s solutions-based model and “execution certainty” from its craft-skilled workforce.
Total backlog was $48.5 billion at March 31, 2026, reflecting continued demand across Quanta’s end markets. For 2026, Quanta now forecasts consolidated revenues of $34.7-$35.2 billion and adjusted EPS of $13.55-$14.25. Adjusted EBITDA is projected to be in the range of $3.49-$3.65 billion, up from the earlier expectation of $3.34–$3.50 billion.
Weyerhaeuser Company WY reported mixed first-quarter 2026 results with adjusted EPS topping the Zacks Consensus Estimate, while the revenues marginally missed the same. Year over year, the bottom line remained flat while the top line declined. Weyerhaeuser’s first quarter was shaped by a sharp sequential recovery in profitability, with adjusted EBITDA jumping to $308 million, helped by a sizeable conservation easement transaction and improved results across operating segments.
For second-quarter 2026, Timberlands earnings (before special items) and adjusted EBITDA are expected to be comparable with first-quarter 2026 levels. Strategic Land Solutions is expected to step down materially, with earnings about down $80 million and adjusted EBITDA about $70 million lower than the first quarter of 2026.
Story Continues
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- Paddy Power owner threatens to quit London Stock Exchange for good
May 7, 2026
Flutter, the parent company of Paddy Power, changed its primary listing from London to New York in 2024 - Richard Levine/Alamy
The gambling giant behind Paddy Power and Betfair has threatened to ditch the London Stock Exchange in a fresh blow to the City.
Dublin-headquartered Flutter on Thursday revealed it had launched a review of its listing on London’s main market which could see it leave the exchange for good.
The gambling group said it expects to complete its review by the end of June and will make a final decision shortly after. It warned that this could result in it leaving the London Stock Exchange completely while keeping its main listing in New York.
It comes two years after Flutter switched its primary listing from London to New York in a major blow to the UK’s troubled stock market, which has suffered a series of high-profile exits in recent years.
If the delisting is confirmed, the move would echo a similar decision by building materials group CRH, which said in March that it would delist entirely after similarly switching its primary listing to New York.
Fintech business Wise, construction equipment company Ashtead, investment firm Petershill Partners and drugmaker Indivior are among the companies that have either switched their primary listings or left the London market entirely.
Tui delisted from the London Stock Exchange in 2024 and moved its main listing to Frankfurt, while Just Eat quit for Amsterdam just a few months later.
Arm Holdings, the Cambridge-based chip giant, also opted to list in New York in 2023, despite extensive efforts to persuade it to float in London by Rishi Sunak’s government.
The exodus has been driven by low valuations and a relative lack of activity on the London stock market compared to New York, which has prompted firms to abandon the UK for America.
Flutter’s threat to leave London for good now poses a fresh setback for the troubled exchange, which is also struggling to attract new listings.
The company’s move to New York in 2024 followed its rapid expansion in the US through the acquisition of sports betting company FanDuel as it sought to capitalise on a loosening of gambling laws in America.
The review of Flutter’s London listing comes as Rachel Reeves seeks to boost Britain’s stock markets by cutting red tape in the City and encouraging savers to buy stocks and shares.
The Chancellor’s push to strengthen the London market has also seen her cut the amount of cash that savers are allowed to hold in tax-free individual savings accounts and urge pension funds to invest more in UK stocks.
Flutter reported revenues of $4.3bn (£3.2bn) in the first quarter, up 17pc on the previous year, thanks to growth in online gambling.
Story Continues
However, bosses warned the company had suffered from unfavourable sports results, denting markets including the UK.
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- Interesting CRH Put And Call Options For June 26th
May 7, 2026
Investors in CRH plc (Symbol: CRH) saw new options become available today, for the June 26th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the CRH options chain for the new June 26th contracts and identified one put and one call contract of particular interest.
The put contract at the $102.00 strike price has a current bid of $1.10. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $102.00, but will also collect the premium, putting the cost basis of the shares at $100.90 (before broker commissions). To an investor already interested in purchasing shares of CRH, that could represent an attractive alternative to paying $113.98/share today.
Because the $102.00 strike represents an approximate 11% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 80%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 1.08% return on the cash commitment, or 7.87% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for CRH plc, and highlighting in green where the $102.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $116.00 strike price has a current bid of $3.40. If an investor was to purchase shares of CRH stock at the current price level of $113.98/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $116.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 4.76% if the stock gets called away at the June 26th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if CRH shares really soar, which is why looking at the trailing twelve month trading history for CRH plc, as well as studying the business fundamentals becomes important. Below is a chart showing CRH's trailing twelve month trading history, with the $116.00 strike highlighted in red:
Considering the fact that the $116.00 strike represents an approximate 2% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 52%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 2.98% boost of extra return to the investor, or 21.78% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example is 44%, while the implied volatility in the call contract example is 35%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $113.98) to be 30%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
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Also see: Industrial Stocks Hedge Funds Are Buying
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Consumer Goods Dividend Stocks
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
- Construction Partners to Report Q2 Earnings: What to Expect?
May 6, 2026
Construction Partners, Inc. ROAD is scheduled to report its second-quarter fiscal 2026 results on May 8, before the opening bell.
In the last reported quarter, the company’s adjusted earnings and revenues topped the Zacks Consensus Estimate by 51.6% and 7%, respectively. Also, the bottom and the top lines grew 88% and 44.1% year over year, respectively.
Construction Partners’ earnings topped the consensus mark in two of the trailing four quarters and missed on the remaining two occasions, the average surprise being 85.3%.
How are Estimates Placed for ROAD Stock?
The Zacks Consensus Estimate for the company's fiscal second-quarter earnings indicates a loss per share of five cents, which has widened over the past 30 days from four cents per share. The estimated figure indicates a 162.5% year-over-year plunge from earnings per share (EPS) of eight cents.
The consensus mark for revenues is pegged at $687 million, suggesting growth of 20.2% from the year-ago reported figure of $571.7 million.
Construction Partners, Inc. Price and EPS SurpriseConstruction Partners, Inc. Price and EPS Surprise
Construction Partners, Inc. price-eps-surprise | Construction Partners, Inc. Quote
Factors to Note Ahead of Construction Partners’ Q2 Results
Construction Partners’ top-line performance in the fiscal second quarter is expected to have been boosted by the robust public infrastructure spending trends, resulting in increased project activity. Besides, non-residential private construction activity is also likely to have witnessed modest growth trends, supporting the company’s revenue growth. Moreover, its recent acquisitions in Texas and Florida expanded its geographical reach in high-growth regions that feature robust public and private project activity. This provides attractive opportunities for ROAD to expand market share and likely take advantage of its scale.
However, despite strong operational performance and increased market demand, the company’s bottom line is likely to have witnessed a significant downturn during the fiscal second quarter. The tepid scenario is expected to have mainly stemmed from the ongoing economic and geopolitical challenges, like the Iran conflict and labor shortages.
Also, an increase in general and administrative expenses and acquisition-related costs is likely to have taken a toll on the margin growth during the quarter.
Nonetheless, Construction Partners’ profitable business initiatives, including a local market dynamic approach, along with its focus on short-duration and low-risk projects, are likely to enable it to continue its growth momentum in this uncertain market.
Story Continues
What the Zacks Model Unveils for ROAD
Our proven model conclusively predicts an earnings beat for Construction Partners this time around. The company possesses the right combination of the two key ingredients — a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) — which increases the odds of an earnings beat.
ROAD’s Earnings ESP: The company has an Earnings ESP of +57.14%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
ROAD’s Zacks Rank: The stock currently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Recent Construction Releases
CRH plc CRH posted an adjusted loss in the first quarter of 2026, which came in wider than the Zacks Consensus Estimate and the value reported a year ago. On the other hand, total revenues topped the consensus mark and grew year over year.
CRH’s top-line growth was driven by positive underlying demand and contributions from recent tuck-in acquisitions, with the company highlighting momentum across infrastructure-led end markets. Cost pressures, along with heavier non-cash charges tied to portfolio actions, created a tougher bridge from revenue growth to per-share results. For 2026, CRH reaffirmed guidance calling for net income of $3.9-$4.1 billion and EPS of $5.60-$6.05.
Quanta Services, Inc. PWR reported a strong first-quarter 2026 performance, driven by solid execution across both of its operating segments. Management said revenue growth and margin performance exceeded its expectations across the business, supported by the company’s solutions-based model and “execution certainty” from its craft-skilled workforce.
Total backlog was $48.5 billion at March 31, 2026, reflecting continued demand across Quanta’s end markets. For 2026, Quanta now forecasts consolidated revenues of $34.7-$35.2 billion and adjusted EPS of $13.55-$14.25. Adjusted EBITDA is projected to be in the range of $3.49-$3.65 billion, up from the earlier expectation of $3.34–$3.50 billion.
Weyerhaeuser Company WY reported mixed first-quarter 2026 results with adjusted EPS topping the Zacks Consensus Estimate, while the revenues marginally missed the same. Year over year, the bottom line remained flat while the top line declined. Weyerhaeuser’s first quarter was shaped by a sharp sequential recovery in profitability, with adjusted EBITDA jumping to $308 million, helped by a sizeable conservation easement transaction and improved results across operating segments.
For second-quarter 2026, Timberlands earnings (before special items) and adjusted EBITDA are expected to be comparable with first-quarter 2026 levels. Strategic Land Solutions is expected to step down materially, with earnings about down $80 million and adjusted EBITDA about $70 million lower than the first quarter of 2026.
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- CRH Shares Cross Below 200 DMA
May 4, 2026
In trading on Thursday, shares of CRH plc (Symbol: CRH) crossed below their 200 day moving average of $94.06, changing hands as low as $93.70 per share. CRH plc shares are currently trading off about 0.1% on the day. The chart below shows the one year performance of CRH shares, versus its 200 day moving average:
Looking at the chart above, CRH's low point in its 52 week range is $71.175 per share, with $110.97 as the 52 week high point — that compares with a last trade of $94.80.
Click here to find out which 9 other stocks recently crossed below their 200 day moving average »
Also see: Institutional Holders of PGZ
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APEN shares outstanding history
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
- CRH: Expecting Full-Year Outperformance After Q1 Beat
May 4, 2026 · seekingalpha.com
I am retaining a 'Buy' rating for CRH following my evaluation of its recent quarterly results and full-year outlook. CRH's topline grew strongly by 18.4% YoY in 1Q2026, with its Americas Materials Solutions unit being the standout performer. I see upside to management's FY26 EBITDA guidance, considering untapped government funding and the company's active portfolio reshaping activities.
- 11 out of 13 materials stocks deliver EPS wins this week: Earnings Scorecard
May 2, 2026
Materials stocks grabbed the spotlight this week as Wall Street digested earnings reports from companies including LyondellBasell Industries (LYB [https://seekingalpha.com/symbol/LYB]), Nucor (NUE [https://seekingalpha.com/symbol/NUE]), Air Products and Chemicals (APD [https://seekingalpha.com/symbol/APD]), and Linde (LIN [https://seekingalpha.com/symbol/LIN]).
The materials sector (XLB [https://seekingalpha.com/symbol/XLB]) has gained over 13.5% so far this year, outperforming the broader S&P 500 Index, which is up about 5.3%.
In this week's earnings recap, 13 tickers reported results, out of which 11 companies exceeded EPS expectations, while one company matched estimates and one missed expectations. On the revenue front, 11 companies beat revenue consensus estimates, while LyondellBasell Industries and CRH (CRH [https://seekingalpha.com/symbol/CRH]) failed to meet Street expectations.
Below are the latest quarterly reports from some of the key players that reported results this week:
LyondellBasell (LYB [https://seekingalpha.com/symbol/LYB]) reported [https://seekingalpha.com/news/4583741-lyondellbasell-gaap-eps-of-049-beats-by-033-revenue-of-719b-misses-by-180m] mixed Q1 results as EPS of $0.49 beat Street expectations by $0.33, while revenue of $7.19B was $180M below expectations and declined 6.3% year-over-year.
Nucor (NUE [https://seekingalpha.com/symbol/NUE]) jumped [https://seekingalpha.com/news/4580933-nucor-hits-all-time-high-after-easy-q1-earnings-beat-ubs-downgrades-on-valuation] nearly 5% on Tuesday after reporting Q1 GAAP earnings [https://seekingalpha.com/news/4580289-nucor-non-gaap-eps-of-0_77-revenue-of-9_5b-beats-by-640m#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews] of $3.23/share, beating Wall Street consensus by $0.41, while revenue surged to $9.5B from $7.83B in the year-earlier quarter.
The company said it posted sequential earnings growth across its three main business segments compared with Q4, with particularly strong growth in its steel mills segment, which was helped by higher average selling prices and volumes across all product groups.
For Q2, the company anticipates improved earnings across all three segments, citing higher realized selling prices with stable volumes in its steel mills, higher volumes with stable pricing in the steel products segment, and higher realized pricing in the raw materials segment.
Air Products and Chemicals (APD [https://seekingalpha.com/symbol/APD]) beat [https://seekingalpha.com/news/4583251-air-products-raises-fy2026-eps-outlook-to-13-13_25-while-targeting-1b-capex-reduction] Q2 non-GAAP EPS estimates by $0.14, reporting non-GAAP EPS of $3.20, while revenue of $3.17B was $100M above Street expectations and increased 8.6% year-over-year.
The firm also raised full-year EPS guidance to $13 to $13.25 while keeping fiscal 2026 CapEx around $4 billion and reiterating a plan to reduce spending by about $1 billion.
Linde (LIN [https://seekingalpha.com/symbol/LIN]) shares gained [https://seekingalpha.com/news/4583672-linde-non-gaap-eps-of-4_33-beats-by-0_06-revenue-of-8_8b-beats-by-200m] on Friday after the company reported first-quarter non-GAAP EPS of $4.33, beating Street estimates by $0.06, while revenue of $8.8B was $200M above market estimates.
For the full year 2026, the company expects adjusted diluted earnings per share to be in the range of $17.60 to $17.90 (vs. consensus of $17.84), up 7% to 9%, assuming a favorable currency impact of 1%. Full-year capital expenditures are expected to be in the range of $5.0 billion to $5.5 billion to support growth and maintenance requirements, including the $7.1 billion contractual sale of gas project backlog.
For the upcoming week, Albemarle (ALB [https://seekingalpha.com/symbol/ALB]), DuPont (DD [https://seekingalpha.com/symbol/DD]), and Corteva (CTVA [https://seekingalpha.com/symbol/CTVA]) are among the key materials companies scheduled to report quarterly results.
MORE ON STATE STREET® MATERIALS SELECT SECTOR SPDR® ETF, LYONDELLBASELL, ETC.
* LyondellBasell targets $500m incremental cash flow in 2026 as Middle East disruptions reshape petrochemicals markets [https://seekingalpha.com/news/4584281-lyondellbasell-targets-500m-incremental-cash-flow-in-2026-as-middle-east-disruptions-reshape]
* USA Rare Earth is best performing materials stock in April [https://seekingalpha.com/news/4583774-usa-rare-earth-is-best-performing-materials-stock-in-april]
- How Investors Are Reacting To CRH (CRH) Q1 Loss, Reaffirmed 2026 Guidance, And Portfolio Shake-Up
May 2, 2026
CRH plc reported past first-quarter 2026 results showing revenue of US$7,370 million, a net loss of US$176 million, and US$48 million of asset impairments, while reaffirming full-year 2026 net income guidance of US$3.90 billion to US$4.10 billion and diluted EPS of US$5.60 to US$6.05. Alongside these results, CRH is reshaping its portfolio with US$1.90 billion of planned divestitures, around US$900 million of acquisitions including Axius Water, and a further US$300 million share buyback, underscoring its focus on higher-value infrastructure and capital returns. We’ll now examine how CRH’s reaffirmed earnings guidance and active portfolio reshaping could influence the company’s existing investment narrative.
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CRH Investment Narrative Recap
To own CRH, you need to believe its scale in core infrastructure, exposure to U.S. public spending and connected materials portfolio can support resilient earnings through cycles. The Q1 2026 net loss, including US$48 million of impairments, does not appear to materially change the near term focus on execution within U.S. federal infrastructure programs, but it does underline ongoing integration and capital allocation risks as the company reshapes its portfolio.
The reaffirmed 2026 net income and EPS guidance after a loss-making quarter is the announcement most tied to this update, because it anchors the market’s attention on whether CRH can still deliver its earnings goals while executing US$1.90 billion of divestitures, around US$900 million of acquisitions and further share buybacks. For investors tracking catalysts, the key question is how quickly these moves translate into cleaner margins and more infrastructure weighted earnings.
Yet behind the reaffirmed outlook, investors should also be aware of how dependent CRH’s medium term growth story is on sustained U.S. federal infrastructure funding...
Read the full narrative on CRH (it's free!)
CRH's narrative projects $44.1 billion revenue and $4.9 billion earnings by 2029. This requires 5.6% yearly revenue growth and about a $1.2 billion earnings increase from $3.7 billion today.
Uncover how CRH's forecasts yield a $142.95 fair value, a 24% upside to its current price.
Exploring Other PerspectivesCRH 1-Year Stock Price Chart
Three members of the Simply Wall St Community currently see CRH’s fair value between US$106.55 and US$142.95, underlining how far opinions can spread. Against that backdrop, the reaffirmed US$3.90 billion to US$4.10 billion 2026 net income guidance keeps the spotlight on execution in public infrastructure and how that might influence the company’s longer term earnings power, so it can be useful to compare several viewpoints before forming your own.
Story Continues
Explore 3 other fair value estimates on CRH - why the stock might be worth 8% less than the current price!
Decide For Yourself
Don't just follow the ticker - dig into the data and build a conviction that's truly your own.
A great starting point for your CRH research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision. Our free CRH research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate CRH's overall financial health at a glance.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include CRH.
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- CRH plc Q1 2026 Earnings Call Summary
May 1, 2026
CRH plc Q1 2026 Earnings Call Summary - Moby
Strategic Execution and Portfolio Optimization
Performance was driven by a 'connected portfolio' strategy, where integrated offerings in aggregates, cement, and roads capture a greater share of wallet on large-scale projects. Revenue growth of 9% and EBITDA growth of 18% were supported by disciplined commercial execution and positive contributions from recent acquisitions despite seasonal headwinds. Management is actively recycling capital by divesting non-core businesses like Lawn & Garden and MoistureShield to fund higher-growth opportunities in water infrastructure. The 'Winning Way' operational framework focuses on continuous improvement across 4,000 locations, contributing to a 70 basis point margin expansion in the first quarter. Strategic positioning is heavily aligned with three secular megatrends: transportation, water infrastructure, and reindustrialization (data centers and manufacturing plants). The Americas Materials Solutions segment saw robust volume growth in aggregates (14%) and cement (10%), reflecting strong early-season project activity and infrastructure demand.
2026 Outlook and Growth Assumptions
Full-year 2026 adjusted EBITDA guidance is reaffirmed at $8.1 billion to $8.5 billion, assuming normal seasonal weather and no major geopolitical dislocations. Guidance includes a $200 million net incremental EBITDA contribution from the combined impact of $1.9 billion in divestments and $900 million in acquisitions. Management expects record investment in transportation infrastructure for 2026, supported by the fact that approximately 50% of IIJA highway funds are yet to be deployed. The acquisition of Axius Water, expected to close in Q2 2026, is projected to drive significant commercial and self-supply synergies within the water quality segment. Financial capacity for the next five years is estimated at approximately $40 billion for growth investments and shareholder returns.
Portfolio Shifts and Risk Management
Agreed to divest three non-core businesses for $1.9 billion to maximize shareholder value and reallocate capital into more connected, higher-growth platforms. Energy costs represent approximately 5% of annual revenues; management utilizes a rolling 9-month hedging policy to mitigate price volatility and provide cost visibility. The winter-fill program allows CRH to store about half of its annual liquid requirements off-season, providing a competitive advantage in procurement and security of supply. Adverse weather in Western Europe and subdued U.S. residential new-build activity acted as minor headwinds, though infrastructure demand remained a resilient offset.
Story Continues
Q&A Session Insights
Guidance assumptions following recent portfolio transactions
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Management confirmed the $200 million net EBITDA contribution from M&A and divestments was already factored into the reaffirmed $8.1B-$8.5B guidance range. Strong early-season project activity and healthy backlogs provide confidence in the full-year targets.
Impact of energy price spikes on margins
CRH uses a mature 9-month rolling hedge to manage energy costs, which account for roughly 5% of revenue. Commercial teams are implementing targeted mid-year price increases on a market-by-market basis to protect and expand margins despite input volatility.
Volume and pricing expectations for aggregates and cement
Aggregates are expected to see low single-digit volume growth and mid-single-digit pricing growth for the full year. Cement pricing is expected to show low single-digit improvement, following three years of exceptional gains, supported by strong regional demand.
Outlook for IIJA reauthorization and infrastructure funding
Management expressed optimism for a multi-year reauthorization with a 'meaningful step-up' in investment, noting continued bipartisan support for core infrastructure. Even under a continuing resolution, record funding levels from 2026 would carry over into 2027, providing high visibility for project demand.
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