Strong Foundation. Stronger Future. Simpson Manufacturing Co., Inc. Investor Presentation February 2026 Safe Harbor Note: The financial results in this presentation as of and for the fiscal year ended December 31, 2025 are unaudited. This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statement ...

Core Viewpoint - Investors are increasingly seeking growth stocks that demonstrate above-average growth potential, with Wesco International (WCC) being highlighted as a strong candidate due to its favorable growth metrics and Zacks Rank [2][11]. Earnings Growth - Wesco International has a historical EPS growth rate of 14.7%, with projected EPS growth of 18.2% for the current year, surpassing the industry average of 17.1% [5][4]. Asset Utilization Ratio - The company has an asset utilization ratio (sales-to-total-assets ratio) of 1.45, indicating it generates $1.45 in sales for every dollar in assets, which is higher than the industry average of 1.35 [7][6]. - Wesco's sales are expected to grow by 5.7% this year, compared to the industry average of 4.6% [7]. Earnings Estimate Revisions - There has been a positive trend in earnings estimate revisions for Wesco International, with the Zacks Consensus Estimate for the current year increasing by 0.2% over the past month [9][8]. Overall Assessment - Wesco International holds a Zacks Rank of 2 (Buy) and a Growth Score of B, indicating it is a potential outperformer and a solid choice for growth investors [11].

Core Insights - The price-to-earnings (P/E) ratio is a popular metric for assessing stock value but has notable shortcomings [1] - The EV-to-EBITDA ratio is often considered a more accurate valuation metric, providing a clearer view of a company's value and earnings potential [2][3] Valuation Metrics - EV-to-EBITDA is calculated by dividing a company's enterprise value (EV) by its earnings before interest, taxes, depreciation, and amortization (EBITDA), offering a better understanding of profitability by excluding non-cash expenses [3] - A lower EV-to-EBITDA ratio indicates a potentially undervalued stock and is particularly useful for valuing acquisition targets due to its consideration of debt [4] - Unlike P/E, EV-to-EBITDA can be applied to loss-making firms that are EBITDA-positive, making it a versatile tool for assessing companies with varying debt levels [5] Limitations of Valuation Metrics - EV-to-EBITDA varies across industries, making it less appropriate for comparing stocks in different sectors due to diverse capital requirements [6] - A strategy based solely on EV-to-EBITDA may not yield optimal results; it is recommended to combine it with other ratios like P/B, P/E, and P/S for a comprehensive analysis [7] Screening Criteria for Value Stocks - Parameters for screening value stocks include a lower EV-to-EBITDA ratio compared to the industry median, a P/E ratio below the industry median, and a P/B ratio less than the industry average [8][9] - Additional criteria include a minimum average 20-day trading volume of 50,000 shares, a current price of at least $5, and a Zacks Rank of 1 or 2, indicating strong buy potential [10][11] Selected Stocks - DNOW Inc. is highlighted as a leading energy and industrial solutions provider with a Zacks Rank of 1 and a Value Score of A, expected to have a 20.5% earnings growth rate for 2026 [11][12] - FirstSun Capital Bancorp, a financial holding company, also holds a Zacks Rank of 1 with a Value Score of A and an expected earnings growth rate of 13.8% for 2026 [12][13] - Safehold Inc., a real estate investment trust, has a Zacks Rank of 1 and a Value Score of B, with an expected earnings growth rate of 7.1% for 2026 [13][14] - Amkor Technology, a semiconductor packaging provider, has a Zacks Rank of 1 and a Value Score of B, with an expected earnings growth rate of 27.2% for 2026 [14] - CEMEX, a global construction materials company, has a Zacks Rank of 2 and a Value Score of B, with an expected earnings growth rate of 218.5% for 2026 [15]

Core Viewpoint - Eagle Materials Inc. is experiencing a decline in earnings outlook, resulting in a Zacks Rank 5 (Strong Sell) due to a long-term trend of negative earnings revisions [1][4][6]. Company Overview - Eagle Materials is a leading U.S. manufacturer of heavy construction products and light building materials, primarily producing Portland Cement and Gypsum Wallboard, essential for various construction projects [2]. Recent Performance - The company has shown impressive growth over the past 15 years, but is currently facing near-term headwinds that are negatively impacting earnings, particularly due to a challenging residential construction market [3]. Earnings Estimates - The Q4 FY26 earnings estimate has decreased by 11% since the late January earnings release, with FY26 estimates down 5% and the 2027 outlook reduced by 7%, indicating a prolonged trend of negative revisions [4]. Market Outlook - Despite current challenges, Eagle Materials is positioned to benefit from the U.S. infrastructure boom and is expected to see a rebound in the housing market, as noted by the CEO in Q3 earnings comments regarding elevated spending on public infrastructure and private non-residential construction [7].

Core Viewpoint - Maas Group Holdings (MGH) has agreed to divest its construction materials division to Heidelberg Materials Australia for up to A$1.7 billion ($1.1 billion), aligning with its strategy to focus on next-generation infrastructure, including digital and AI opportunities [1][5]. Group 1: Transaction Details - The transaction includes a contingent cash consideration of A$120 million, dependent on achieving specific operational and commercial milestones post-completion [1]. - Approximately 1,140 employees are expected to transition to Heidelberg Materials Australia as part of the deal [2]. - The completion of the transaction is subject to customary conditions, including regulatory approvals and shareholder approval, anticipated to conclude in the second half of calendar year 2026 [3]. Group 2: Strategic Focus - Maas Group plans to use the proceeds from the sale to enhance capabilities in electrical infrastructure and fund management, as well as explore capital management initiatives such as share buybacks [2]. - The sale enables a strategic refocus and disciplined redeployment of capital into areas with strong structural tailwinds, particularly in AI infrastructure [6]. - Maas Group has invested A$100 million to acquire approximately a 1.7% stake in Firmus Grid, aligning with its strategy to focus on AI infrastructure [6]. Group 3: Future Projects - Firmus Grid is a developer and operator of advanced AI infrastructure, specializing in platforms that support high-density AI workloads [7]. - Maas Group's JLE division secured a contract worth A$200 million with Firmus to support the development of Project Southgate, a critical roadmap for sovereign AI infrastructure across Australia [8].

By Sherin Sunny and Roshan Thomas Feb 5 (Reuters) - Australia's Maas Group said on Thursday it would sell its building materials division for ​up to A$1.70 billion ($1.19 billion) to pivot towards artificial intelligence-related infrastructure, sending ‌its shares crashing more than 26%. The divestment is part of the Australian construction materials, equipment and ‌services provider's broader shift towards data center construction, a sector that has attracted investor interest as demand grows for AI sup ...

Construction material suppliers’ strong earnings performance in the US probably faced a setback as the government shutdown and a lack of storms blowing off roofs stymied demand in the fourth quarter https://t.co/1nDW3HukFv ...

Summary of HOLT Materials Conference Call Industry Overview - **Sector Performance**: The Materials sector has underperformed the broader market over the past five years, with a price increase of +60% compared to +85% for the broader market. This underperformance is attributed to weak fundamentals [2][7]. - **Recovery Signs**: Positive CFROI (Cash Flow Return on Investment) revisions are emerging, with approximately 50% of revisions indicating early stabilization. The sector remains compellingly valued, trading at a significant discount compared to the broader Developed Market [2][16]. Key Opportunities - **Containers & Packaging**: This industry offers the steepest discount among all sectors on HOLT Price-to-Book (P/B) metrics. Companies like AMCR and CCK in the US, and VID in Europe, are highlighted for their low market-implied expectations [5][68]. - **Construction Materials**: Fundamentals have weakened, with market expectations for near-term CFROI at historical highs, suggesting potential valuation risks. Companies like EXP in the US and HOLN in Europe have the highest market-implied expectations [5][68]. - **Metals & Mining**: This sector benefits from strong commodity prices, although valuations are at a premium. Gold companies like Kinross (KGC) and Zijin Mining (2899) are noted for their relative value opportunities, while copper appears expensive [5][68]. CFROI Trends - **CFROI Revisions**: The breadth of CFROI revisions has improved to about 50%, indicating early signs of stabilization after a prolonged period of negative revisions since July 2022. This improvement is largely driven by the Metals & Mining sector, which has seen strong upward revisions due to a commodity rally [16][27]. - **Forecasts**: The Materials sector is projected to see CFROI rise to 5.3% in 2026 from 4.1% in 2024, marking the first year of improvement since 2021. All industries, except Construction Materials, are expected to see CFROI improvements [27][68]. Valuation Insights - **Valuation Divergence**: Despite positive CFROI revisions, the Materials sector trades at a historically elevated discount relative to the broader Developed Market (2.0x). Containers & Packaging trades at the steepest discount to its historical levels, presenting attractive valuation opportunities [68][69]. - **Cyclical vs Defensive Chemicals**: Cyclical chemicals are at a deep discount compared to defensive chemicals, indicating potential upside for cyclical names with stronger fundamentals [75][90]. Construction Materials Insights - **Market Dynamics**: The CFROI forecast for Construction Materials is at its lowest since May 2023, with market-implied CFROI at decade highs. The spread between these metrics is the widest in over 20 years, indicating mounting valuation risks [99][100]. - **Regional Performance**: North America outperforms Europe in CFROI, driven by stronger margins, with the US showing sharper gains projected for 2023-2024 [99][100]. Containers & Packaging Sector - **Operational Weakness**: The sector is experiencing operational challenges, leading to a decade-low valuation. CFROI has declined, with forecasts remaining range-bound at ~6.0% [118][131]. - **Valuation Dispersion**: Significant valuation dispersion exists, with AMCR and CCK priced for the lowest market expectations relative to forecasts, while ATR and PKG have the highest expectations despite lower quality profiles [131][134]. Metals & Mining Sector - **Premium Valuation**: The Metals & Mining industry trades at a premium to its historical valuations, supported by strong fundamentals and positive CFROI revisions. The sector has re-rated, with HOLT P/B at approximately a 60% premium to its 10-year median [139][140]. - **Gold and Silver Valuations**: Gold offers relative value despite its premium, while silver appears expensive. Kinross and Zijin Mining are noted for their low market expectations relative to forecasts [154][158]. Paper & Forest Products Sector - **Weak Fundamentals**: The industry faces challenges such as pulp price softness and weak demand, resulting in margin compression. CFROI forecasts are near historic lows, with a projected recovery to 1.5% in 2026 [162][163]. - **Valuation Opportunities**: Despite weak fundamentals, the market is pricing in a steep improvement in CFROI, indicating potential stock-picking opportunities among companies like MNDI, LPX, and WFG [177][179]. Conclusion - The Materials sector is showing signs of recovery, with selective opportunities across Containers & Packaging, Metals & Mining, and Chemicals. However, challenges remain in Construction Materials and Paper & Forest Products, necessitating careful stock selection based on valuation and growth expectations.

Company Overview - Knife River is a leading U.S.-based supplier of aggregates-based construction materials and related contracting services, operating across multiple regional segments [5] - The company generates revenue through the extraction, processing, and sale of aggregates and related materials, as well as through construction contracting services supporting public infrastructure projects [8] - As of January 27, Knife River's market capitalization is $3.91 billion, with a revenue of $3.05 billion and a net income of $148.32 million [4] Recent Developments - On January 28, Headland Capital disclosed that it sold all 63,636 shares of Knife River, with an estimated transaction value of approximately $4.89 million [2] - Despite a solid recent earnings report, Knife River's shares are down more than 31% over the past year, significantly underperforming the S&P 500 by 47.5 percentage points [3][9] - The company reported record third-quarter revenue of $1.2 billion, up 9% year over year, driven largely by acquisitions and pricing gains [6] Market Position and Challenges - Knife River's backlog reached a record $995 million, with approximately 87% tied to public infrastructure projects, most of which are expected to convert within a year [6] - The company is facing margin pressures in certain regions and has experienced weather disruptions affecting volumes [9] - In Oregon, Knife River is working to "right-size" its team and find operating efficiencies to adapt to current market conditions [9]

Core Viewpoint - Growth investors are increasingly interested in stocks with above-average financial growth, but identifying such stocks can be challenging due to inherent volatility and risks [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system helps identify promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Wesco International (WCC) is currently highlighted as a recommended growth stock, possessing a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is a critical factor for growth investors, with double-digit growth being particularly attractive [4] - Wesco International has a historical EPS growth rate of 14.7%, with projected EPS growth of 18.2% this year, surpassing the industry average of 17.5% [5] Group 3: Asset Utilization - The asset utilization ratio, or sales-to-total-assets (S/TA) ratio, is an important indicator of a company's efficiency in generating sales [6] - Wesco International's S/TA ratio is 1.45, indicating it generates $1.45 in sales for every dollar in assets, which is higher than the industry average of 1.36 [7] Group 4: Sales Growth - Wesco International is expected to achieve a sales growth of 5.7% this year, compared to the industry average of 5% [7] Group 5: Earnings Estimate Revisions - Positive trends in earnings estimate revisions correlate strongly with stock price movements [8] - Current-year earnings estimates for Wesco International have been revised upward, with the Zacks Consensus Estimate increasing by 0.2% over the past month [9] Group 6: Overall Positioning - Wesco International has earned a Growth Score of B and holds a Zacks Rank 2 due to positive earnings estimate revisions, positioning it well for potential outperformance [11]