James Hardie secures deal with McKinley Homes

CHICAGO - James Hardie Building Products Inc. (NYSE: JHX), a leading manufacturer of fiber cement siding and exterior solutions with a market capitalization of $10.2 billion, has entered into an exclusive three-year agreement with McKinley Homes, a prominent developer in the Southeastern U.S. According to InvestingPro analysis, the company currently appears undervalued, with strong financial health metrics and robust cash flows that sufficiently cover interest payments. The partnership, announced today, will see James Hardie supply its Hardie® siding and trim for all new McKinley Homes developments across five states until 2027.

The collaboration aligns with McKinley Homes’ commitment to constructing high-quality homes and James Hardie’s dedication to providing innovative and durable exterior products. The company’s financial strength is evident in its healthy gross profit margin of 39.5% and impressive current ratio of 2.18, indicating strong operational efficiency and solid liquidity position. For deeper insights into James Hardie’s financial performance and growth potential, investors can access comprehensive analysis through InvestingPro, which offers exclusive ProTips and detailed metrics. Mary Mead, Vice President of Sales & Marketing at McKinley Homes, expressed confidence in the agreement, stating that it will enable the delivery of homes with superior design, performance, and reliability—a hallmark of Hardie® products.

Hardie® siding is noted for its non-combustible properties, resistance to pests, and ability to withstand damage from water and extreme weather conditions. The product range offers a variety of colors and styles, providing homeowners with design flexibility while ensuring long-term protection.

Sean Gadd, President of James Hardie North America, emphasized the shared focus on quality and innovation between the two companies and the extended reach of Hardie® products into more communities as a result of this deal.

This strategic partnership is set to raise the bar for new residential construction in Alabama, Tennessee, Georgia, Texas, and North Carolina by combining aesthetically pleasing designs with long-lasting performance.

James Hardie Industries plc, the parent company of James Hardie Building Products Inc., is recognized as the top siding brand in North America and is known for its inclusive culture and commitment to safety, employing a diverse workforce of over 3,700 people in the region. The company generates annual revenue of $3.9 billion and maintains a strong market position. InvestingPro subscribers can access detailed financial analysis, including 10 additional ProTips and a comprehensive research report that provides actionable insights for informed investment decisions.

The information for this article is based on a press release statement from James Hardie Building Products Inc.

In other recent news, James Hardie Industries has reported its latest shareholder update, filed with the U.S. Securities and Exchange Commission. The report, dated April 28, 2025, provides transparency into the company’s operations and compliance with international reporting standards. In a significant business development, James Hardie has entered an exclusive multi-year agreement with Daiwa House USA’s subsidiaries, Stanley Martin Homes, CastleRock Communities, and Trumark Homes, to supply siding and trim products through 2027. This partnership is expected to enhance the quality of new housing developments across the United States.

Additionally, James Hardie has collaborated with 3D property technology firm Hover to launch the Hardie™ Designer, an AI-powered tool that allows homeowners to visualize their home’s exterior with Hardie® products. This innovation aims to simplify the home renovation process and empower homeowners in their design decisions. Truist Securities recently reiterated its Buy rating on James Hardie, maintaining a price target of $45.00, and highlighting the strategic value of the company’s collaborations and potential synergies.

Moreover, James Hardie has expanded its partnership with CBH Homes, making the Idaho-based builder the first to offer a complete suite of Hardie® siding and trim products. This move is expected to set a new benchmark for home quality and style within Idaho’s housing market. These developments underscore James Hardie’s ongoing commitment to innovation and quality in the building materials industry.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.