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IBP$240.23

Installed Building Products, Inc.

Last Updated
Aug 14, 2026about 3 hours ago
Moat & Trend
Management
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Competitive Radar

Moat Score

58/100

Executive Summary

Installed Building Products has a defensible but not dominant moat built on national scale in a highly fragmented, labor-intensive installation market. Its broad branch footprint, builder relationships, and procurement leverage create meaningful advantages in sourcing, logistics, and jobsite execution, especially for insulation and adjacent installed products. Switching costs are real because construction schedules, quality compliance, and warranty risk make buyers cautious about changing vendors. However, the business lacks a true platform effect, its brand is more operational than iconic, and much of its pricing power depends on execution rather than a legally protected asset. That combination supports a Narrow Moat rather than a Wide Moat. The moat appears stable: IBP continues to consolidate share and extend distribution, but the industry still allows capable regional competitors to compete effectively.

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Last Updated
Aug 14, 2026about 3 hours ago
Target Price
Analyst Consensus
FAIR VALUE
Financial Strength

Financial Score

69/100

Executive Summary

Installed Building Products’ most notable strength is its resilient cash generation, supported by solid margins and strong near-term liquidity. Revenue has grown steadily over time, though momentum has cooled recently, while net income and gross margin have generally improved despite a flatter operating margin and some SG&A pressure. The balance sheet remains healthy in the near term, with ample current assets and working capital, but leverage is meaningful and debt has risen, leaving tangible equity slightly negative. Cash flow quality is good, with operating cash flow and free cash flow remaining robust, although working-capital swings make conversion less smooth. Growth and forecast trends suggest a mature but still expanding business, with EPS holding up better than revenue. Overall, IBP presents a stable, cash-generative profile with moderate leverage and slowing top-line momentum, consistent with its mid-to-upper-tier ratings.

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Last Updated
Aug 14, 2026
Short Term
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Medium Term
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Price Outlook
$240.23Price at Analysis

The path of least resistance is modestly higher in the near term, with a likely probe toward $245.8 and potentially $248.1 if momentum holds. The key downside risk is a loss of $239.54, which would expose $237.52 and then $234.24; over a broader horizon, $251.79 is the first meaningful resistance to clear before the trend can improve materially.

Technical Overview

IBP’s technical profile is mixed across horizons. The short-term tape has improved, with price holding above the 20-day average, MACD positive, and RSI neutral-to-firm, but the move is not yet backed by strong volume. The medium-term picture is more cautious: price is above the 50-day average, yet still below the 200-day, and the recent Death Cross keeps the intermediate trend from turning decisively bullish. Long term, the stock remains technically damaged, trading in the lower third of its 52-week range and still well under the annual high. The most relevant levels to watch are the daily support at $239.54 and resistance at $245.8 in the short run, then $229.28 and $251.79 on the weekly frame as the broader battlegrounds.

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Frequently asked questions about Installed Building Products, Inc.

Does Installed Building Products, Inc. (IBP) have an economic moat?
Yes, though a limited one. Installed Building Products, Inc. earns a Narrow Moat rating with a moat score of 58/100, indicating competitive advantages expected to persist for roughly 10–20 years. Installed Building Products has a defensible but not dominant moat built on national scale in a highly fragmented, labor-intensive installation market.
What is Installed Building Products, Inc.'s moat score?
Installed Building Products, Inc. (IBP) has a moat score of 58/100 with a Narrow Moat rating and a stable moat trend. The score is a weighted average of five pillar ratings: network effects, switching costs, intangible assets, cost advantages, and efficient scale. Its strongest pillar is switching costs (6.5/10).
Is IBP stock overvalued or undervalued?
As of MoatScan's latest valuation, IBP appears undervalued. The AI-estimated fair value is $282.51 versus a market price of $240.23 at the time of analysis, implying roughly 18% upside to fair value. The estimate is based on a discounted cash flow (DCF) model and updates with each new financial analysis.
What is Installed Building Products, Inc.'s fair value estimate?
MoatScan estimates Installed Building Products, Inc.'s (IBP) fair value at $282.51 per share, derived from a discounted cash flow (DCF) model built on the company's reported financials, analyst growth forecasts, and a discount rate reflecting its cost of capital. See the Financial Analysis tab for the full assumptions behind the estimate.

Disclaimer: The analysis on this page is generated by AI and is provided for informational purposes only. It does not constitute financial advice, investment recommendations, or an offer to buy or sell any security. Always conduct your own due diligence and consult a qualified financial adviser before making any investment decisions.