James Hardie Insiders Sold $30; Stock Falls to $24.58
Director Jesse Singh and NA President Jonathan Skelly sold $28.31 million of James Hardie shares at $30+ in late August; the stock has since fallen to $24.58 after Investor Day with unchanged guidance
James Hardie Insiders Sold at $30; Stock Hits $24.58
NEW YORK, October 15 —
Director Jesse Singh sold $26.33 million of James Hardie Industries plc (JHX) shares at $30.08, $30.34 in late August; NA President Jonathan Skelly added $1.98 million at $30.45, $30.46 days later. The stock fell at Investor Day on an unchanged near-term earnings outlook and now trades at $24.58, roughly $5.50 below those exits, against a $35.22 analyst consensus.
- Singh sold 871,557 shares at $30.08, $30.34; Skelly sold 65,000 at $30.45, $30.46. Total insider sales: $28.31 million, zero purchases.
- JHX at $24.58 trades at 15.5x forward earnings, $14.27 billion market cap; Wall Street consensus target $35.22.
- Trailing revenue $5.41 billion, up 63.9% year-over-year; three consecutive EPS beats heading into the next quarter.
The Selling Pattern
Singh exercised 530,100 options at an $11.23 strike, roughly $19 below market, and sold across five open-market transactions at $30.08, $30.34 on August 21-24. Skelly, who runs the North American operation producing fiber cement siding under the Hardie, AZEK Exteriors, and Versatex brands and wood-alternative decking under TimberTech and StruXure, sold 65,000 shares at $30.45, $30.46 on August 25. No insider bought shares in the 90-day period; the absence of any countervailing purchase complicates the option-mechanics explanation.
What Happened the Week Insiders Cashed Out
The same week Singh and Skelly sold, James Hardie disclosed a material definitive agreement in an 8-K filed August 20; reports indicate Holcim agreed to acquire the fermacell brand, with plans to close remaining European fiber cement operations. Shareholders also approved amendments to the articles of incorporation and bylaws. The combined picture is a company sharpening its North American focus following the AZEK acquisition, which drove trailing revenue to $5.41 billion, up 63.9% year-over-year. When Investor Day arrived and near-term guidance stayed put, the stock fell and has not recovered.
| Ticker | Mkt cap | Fwd P/E | 52-wk |
|---|---|---|---|
| JHX | $14.3B | 15.5x | +13.3% |
| CRH | $52.7B | 12.3x | -32.3% |
| EXP | $5.0B | 12.0x | -31.5% |
| SSD | $7.0B | 17.6x | -0.4% |
| SUZ | $10.5B | 5.8x | -1.8% |
| IX | $39.2B | 3.1x | +46.7% |
Three Beats In, the Next Quarter Is the Test
Three consecutive EPS beats suggest near-term fundamentals still outperform the price, but at 15.5x forward earnings, a multiple that leaves thin margin in the DCF for guidance cuts, the August exits remain a data point worth watching. CEO Aaron Erter received grants totaling approximately 120,560 shares on August 17-20 and made no open-market sales, a contrast to Singh and Skelly. James Hardie also named Jennifer Kong-Picarello, CFO of Terex Corporation (NYSE: TEX), as independent director effective October 1, per an SEC filing. Next quarter's EPS is the checkpoint: a beat closes the gap toward the $35.22 consensus; a miss validates the August exits. Run the free James Hardie Industries plc deep-dive →
Basis Report is independent research for informational purposes. It is not investment advice and not a recommendation to buy or sell any security.
Frequently Asked Questions
Why did James Hardie insiders sell in August?
Director Jesse Singh sold 871,557 shares at $30.08, $30.34, exercising options at an $11.23 strike roughly $19 below market. NA President Jonathan Skelly sold 65,000 shares at $30.45, $30.46 days later. However, the absence of any insider purchases in the 90-day period complicates the option-mechanics explanation.
What happened to James Hardie stock after insiders sold?
The stock traded at roughly $30 when insiders sold in late August and has since fallen to $24.58, a decline of roughly $5.50. The drop followed Investor Day, where the company provided an unchanged near-term earnings outlook. Wall Street's analyst consensus target remains at $35.22.
Has James Hardie beaten earnings recently?
Yes, James Hardie posted three consecutive EPS beats heading into the next quarter. Trailing revenue stands at $5.41 billion, up 63.9% year-over-year, following the company's AZEK acquisition which sharpened its North American focus.
What material news did James Hardie announce when insiders sold?
The same week Singh and Skelly sold shares, James Hardie disclosed that Holcim agreed to acquire the fermacell brand, with plans to close remaining European fiber cement operations. Shareholders simultaneously approved amendments to the articles of incorporation and bylaws.
Is the CEO buying or selling James Hardie stock?
CEO Aaron Erter received grants totaling approximately 120,560 shares on August 17-20 and made no open-market sales, contrasting with Singh and Skelly's substantial stock sales.
Director Jesse Singh and NA President Jonathan Skelly sold a combined $28.31 million in JHX shares at $30.08–$30.46 in late August, weeks before the stock fell at an Investor Day where management left its near-term earnings outlook unchanged. The stock now trades at $24.58 — approximately $5.50 below those insider exit prices — while the analyst consensus target sits at $35.22.