James Hardie (JHX) Falls on 5th Day as Weak Demand Weighs on Growth Outlook

We recently published 10 Stocks Crash as AI Glow Fades. James Hardie Industries plc (NYSE:JHX) is one of Wednesday’s worst performers.

James Hardie extended its losing streak to a fifth consecutive day on Wednesday, hitting a new record low, as investors unloaded portfolios amid a housing slump that weighed down heavily on building materials, while digesting a weaker growth outlook for the rest of the year.

During the trading session, the company dropped to its lowest 52-week price of $17.91 before paring losses to end the day just down by $18.64 apiece.

In an updated report released on Tuesday, James Hardie Industries plc (NYSE:JHX) said net income for the first quarter of fiscal year 2026 fell by 60 percent to $62.6 million from $155.3 million in the same period last year.

Net sales also dipped by 9 percent to $899.9 million from $991.9 million year-on-year.

While demand has already been expected in the next few months, James Hardie Industries plc (NYSE:JHX) forecast a further softer outlook as “single-family new construction activity has been weaker than anticipated.”

“Uncertainty is a common thread throughout conversations with customer and contractor partners. Homeowners are deferring large-ticket remodeling projects like re-siding, and affordability remains the key impediment to improvement in single-family new construction, where more recently, homebuilders are moderating their demand expectations and slowing starts to align their home inventory with a decelerating pace of traffic and sales,” James Hardie Industries plc (NYSE:JHX) CEO Aaron Erter noted.

While we acknowledge the potential of JHX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.