10 Best Basic Materials Stocks To Buy Now

3. CRH plc (NYSE:CRH)

Number of Hedge Fund Holders: 75             

CRH plc (NYSE:CRH) is a multinational producer of various construction products utilized in building endeavors, functioning through a vertically integrated business structure. Over the last ten years, the firm has grown into a prominent company in the building materials industry, gaining more exposure to upstream building operations, including cement and aggregates. The majority of CRH’s geographic reach is in developed markets. North America makes almost 75% of EBITDA and is CRH’s largest market. The firm is the biggest asphalt and aggregate producer in the United States.

Morningstar analysts applaud CRH for its strategic realignment, which integrates upstream and downstream operations to become a one-stop shop for construction customers. The group’s exposure to publicly supported infrastructure development in the US makes it the most defensive of Morningstar’s coverage of European building materials. As the biggest roadbuilder in North America, CRH is in a good position to gain from newly enacted US legislation that increases financing for highway and road building by 50%. Reshoring activity and guaranteed funding for US infrastructure projects promote a stable price environment for building materials, which strengthens profitability measures.

Leader in low-carbon cement technology Sublime Systems is stepping up its unprecedented partnership with two of the biggest suppliers of building materials, CRH and Holcim, to further its goal of having a rapid and significant impact on world CO2 emissions.

CRH plc (NYSE:CRH) maintains its financial performance as the industry leader. It reported $1.3 billion in net income for the second quarter of 2024, an 8% YoY. The year-over-year growth of Adjusted EBITDA was 12%. The future is still looking bright, with leading positions in high-growth markets and good underlying momentum.

Edgar Wachenheim’s Greenhaven Associates is the only stakeholder in the company from among the funds in Insider Monkey’s database. It owns 11,155,273 shares worth $1.03 billion as of Q2.