IBP Strengthens Market Position With Echols & Vanderkoy Acquisitions

Installed Building Products, Inc. IBP has accelerated its growth trajectory and expanded its geographic footprint through the strategic acquisitions of Echols Glass & Mirror, Inc. (“Echols”) and Vanderkoy Bros, LLC (“Vanderkoy”).Following the news, shares of IBP gained 2.1% after hours yesterday.Expanding Product PortfolioBoth acquisitions provide IBP with specialized capabilities across distinct categories and regions. Echols, based in Buford, GA, focuses on wholesale glass design, fabrication and retail installation for residential customers. Its diverse offerings — ranging from custom mirrors and bath hardware to closets and other interior home products — complement IBP’s insulation-focused core and strengthen its presence across the Southeastern United States. The addition of Echols not only deepens IBP’s exposure to higher-margin decorative interior categories but also supports its push into value-added services for residential clients.Strengthening Regional & End-Market DiversificationVanderkoy, headquartered in Wisconsin, specializes in drywall and metal stud framing installation. This acquisition enhances IBP’s Midwest footprint while introducing new capabilities in structural installation and retrofit work — areas that can stabilize revenue during housing slowdowns.Together, the companies expand IBP’s reach across both residential and commercial end markets. These acquisitions align with the company’s ongoing strategy to diversify its service offerings, strengthen its revenue base and grow its presence in key geographic areas.IBP’s Financially Accretive TransactionThis transaction represents significant value for IBP, adding more than $16 million in annual revenues and strengthening the company's product offerings in several important housing markets. To date, IBP is really aggressive with its buyouts and has acquired approximately $55 million in annual revenues as part of its ongoing acquisition strategy aimed at expanding its geographic reach, product portfolio and customer base.IBP’s Inorganic EffortsAs demonstrated by its recent acquisitions, strategic M&A remains a key pillar of IBP’s growth strategy, complementing organic growth while expanding the company’s reach into new markets and product categories. Although the pace of acquisitions has moderated compared to previous years, the company maintains a disciplined approach, targeting well-managed businesses that align strategically, offer a strong cultural fit, and are expected to deliver attractive returns on invested capital.IBP has completed several successful integrations to date. Notably, in the second quarter of 2025, the company acquired a Wisconsin-based installer of spray foam and air barrier products focused on the commercial market, adding approximately $4 million in annual revenues.With strong cash flow, a robust acquisition pipeline for the small and big bolt-on acquisitions, as well as proven integration capabilities, IBP is well-positioned to drive sustained margin expansion and enter its next phase of enterprise-wide growth.IBP’s Share Price PerformanceIBP stock has gained 38.9% in the year-to-date period, outperforming the Zacks Building Products - Miscellaneous industry’s 0.8% decline. The company remains confident in its long-term growth prospects, supported by a structural undersupply of residential housing and a disciplined, growth-oriented capital allocation strategy that continues to drive cost efficiencies and margin expansion. However, near-term challenges persist, including macroeconomic headwinds and ongoing concerns around housing affordability.Image Source: Zacks Investment ResearchIBP’s Zacks Rank & Key PicksCurrently, Installed Building Products carries a Zacks Rank #4 (Sell).A couple of top-ranked stocks from the Construction sector have been discussed below:Masco Corporation MAS presently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Masco delivered a trailing four-quarter earnings surprise of 4%, on average. Masco stock has declined 9.4% year to date. The Zacks Consensus Estimate for Masco’s 2025 sales and EPS indicates a decline of 2.7% and 1.9%, respectively, from the year-ago period’s levels.Everus Construction Group Inc. ECG has a Zacks Rank of 2 (Buy) at present. The company delivered a trailing four-quarter earnings surprise of 42.7%, on average. ECG stock has jumped 28.6% year to date.The Zacks Consensus Estimate for Everus Construction’s 2025 sales and EPS indicates growth of 18% and 4.6%, respectively, from the year-ago period’s levels.Armstrong World Industries, Inc. AWI has a Zacks Rank of 2 at present. The company delivered a trailing four-quarter earnings surprise of 9.9%, on average. Armstrong World Industries’ stock has gained 38.6% year to date.The Zacks Consensus Estimate for Armstrong World Industries’ 2025 sales and EPS indicates growth of 12% and 15.4%, respectively, from the year-ago period’s levels.Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Masco Corporation (MAS): Free Stock Analysis Report Armstrong World Industries, Inc. (AWI): Free Stock Analysis Report Installed Building Products, Inc. (IBP): Free Stock Analysis Report Everus Construction Group, Inc. (ECG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks