Eagle Materials Inc. (NYSE:EXP) is one of the Best Cement Stocks to Buy For the Long Term. On February 24, RBC Capital initiated coverage of Eagle Materials Inc. (NYSE:EXP) with a Sector Perform rating and a $208 price target.

​The analyst noted that the company is leaving around $88 per share of value untapped by combining the heavy and light side businesses, thereby creating a conglomerate discount. The firm highlighted that splitting the two businesses could unlock enhanced shareholder value. RBC noted that the residential exposure poses risks now, but heavy-side assets could cap gains later as the housing market recovers.

​For context, the light side refers to business including wallboard and paperboard, while the heavy side refers to cement, aggregates, and concrete operations.

​Eagle Materials Inc. (NYSE:EXP) is a US producer of basic construction inputs used in infrastructure and building projects. It focuses on both “heavy” materials (for roads and structures) and “light” materials (for interior building and packaging).

While we acknowledge the potential of EXP as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years

Disclosure: None. Follow Insider Monkey on Google News.