- James Hardie Industries (JHX) demonstrates strong technical momentum.
- Shares are up 60% over the past year.
- Analyst sentiment is predominantly bullish, with 13 “Strong Buy” ratings and consensus price targets ranging from $33.50 to $65.
- JHX’s outlook is closely tied to the U.S. housing industry; building permit issuance is a key forward indicator for performance.
Today’s Featured Stock
Valued at $17 billion, James Hardie Industries (JHX) pioneered the development of fiber cement technology in the 1980s. It has many product applications including external siding, trim and fascia, ceiling lining and flooring, partitioning, decorative columns, fencing, and drainage pipes.
What I’m Watching
I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals and superior current momentum. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. JHX checks those boxes. The Trend Seeker issued a new “Buy” signal on May 27. Since then, the stock has gained 31.05%.
Barchart’s Technical Indicators for James Hardie Industries
Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.
James Hardie Industries scored a 52-week of $31.35 on Aug. 13.
- James Hardie has a Weighted Alpha of 60.8.
- JHX has a 100% “Buy” opinion from Barchart.
- The stock has gained 60.3% over the past 52 weeks.
- James Hardie has its Trend Seeker “Buy” signal intact.
- The stock recently traded at $30.22 with a 50-day moving average of $26.63.
- JHX had 14 new highs and gained 19.62% in the last month.
- 60-month beta of 1.77.
- Relative Strength Index (RSI) is at 62.62.
- There’s a technical support level around $29.87.
Don’t Forget the Fundamentals
- $17 billion market capitalization.
- 25.25x trailing price-earnings ratio.
- Revenue is projected to grow 18.56% this year and another 6.60% next year.
- Earnings are estimated to increase 21.46% this year and an additional 21.72% next year.
Analyst and Investor Sentiment on James Hardie Industries
- The Wall Street analysts followed by Barchart give the stock 13 “Strong Buy” and 4 “Hold” opinions with price targets between $33.50 and $40.00.
- Value Line rates the stock “Average” with price targets from $45 to $65.
- Morningstar thinks the stock is fairly valued.
- CFRA’s MarketScope rates the stock as “Sell.”
- 1,020 investors are following the stock on Seeking Alpha, which rates it a “Buy.”
- TipRanks’ analysts’ consensus price target is $35.33 for a 16.96% gain.
- Short interest is 2.13% of the float with 1.60 days to cover the float.
The Bottom Line on James Hardie Industries
James Hardie’s success will depend on the U.S. housing industry. Follow the issuance of building permits and that will be a good indicator of what's ahead for this company.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.