James Hardie Industries plc (JHX) Securities Class Action Lawsuit Investigation

Shamis & Gentile P.A., a law firm that advocates for investors who are victims of securities fraud, is investigating potential claims against James Hardie Industries plc (JHX).

If you purchased or acquired James Hardie Industries plc securities and suffered losses, you may be eligible to join this securities investigation and seek compensation.

About James Hardie Industries plc

James Hardie Industries is a global building materials company known for manufacturing fiber cement siding and related products. The company’s operations are concentrated in North America, which accounts for approximately 74% of its net sales.

The company has also pursued growth strategies, including the acquisition of AZEK, a U.S. decking manufacturer, through a significant merger deal announced in March 2025.

Potential Concerns Under Investigation

Lawyers are investigating whether James Hardie Industries made misleading statements or omitted key information regarding its North American business performance and inventory levels from May 20, 2025, through August 19, 2025.

On May 20, 2025's Q4 2024 earnings call, CEO Aaron Erter highlighted the company’s “competitive positioning,” referencing “our largest, fastest-growing customers” and strategies to “create demand across the value chain.”

He further described the full-year 2025 results as evidence of the “inherent strength of our unique value proposition and the underlying momentum in our strategy against a softer market environment.”

Attorneys could examine if these statements were misleading, as they may have implied robust, sustainable demand in North America and successful execution of strategy.

However, on August 19, 2025, James Hardie Industries revealed that North American net sales had actually fallen 12% year-over-year, driven by double-digit volume declines.

Management explained this was largely due to customers “made efforts to return to more normal inventory levels” after prior buildup, and further warned that significant inventory destocking among North American distributors would continue to pressure sales in subsequent quarters.

Legal professionals might examine whether the company adequately disclosed the risks of inventory buildup and the potential for a subsequent decline in sales.

The investigation may focus on whether management’s prior positive statements about strong North American margins and volumes were misleading, as these figures were allegedly bolstered by temporary inventory surges rather than sustainable market share gains.

The timing of these disclosures is also significant. On August 20, 2025, the day after the earnings announcement, James Hardie Industries plc’s stock price dropped 34%, falling from $28.43 to $18.64.

This single-day loss erased over one-third of the company’s market value, representing hundreds of millions of dollars in shareholder losses.

Notably, there was no broad market event or unrelated negative news that could explain this decline, potentially suggesting that the stock drop was directly tied to the company’s revelations about inventory and sales.

Securities attorneys could also look into whether management omitted material information in periodic filings and communications, such as the risk of inventory buildup and its impact on future sales.

The investigation might further consider whether key executives had knowledge of these issues. North America’s importance to the company’s overall results and the magnitude of the sales decline suggest that these matters may have been apparent to senior management.

Lastly, attorneys may examine if executive compensation structures or the timing of the AZEK merger provided incentives to maintain an inflated stock price.

Your Rights and Next Steps

Investors who purchased James Hardie Industries plc securities between May 20, 2025, and August 19, 2025, and suffered losses may have important legal rights. This is an active investigation, not a filed lawsuit, but it could lead to a class action to recover damages for affected shareholders.

Lawyers are ready to help investors understand their options. Investors may be able to participate in any potential class action if the investigation results in a lawsuit.

By joining the investigation, shareholders can help ensure that their interests are represented and that any potential recovery is distributed fairly among those who were harmed.

It is important for investors to act quickly, as securities investigations can be time-sensitive. Those who purchased shares during the proposed class period and experienced losses tied to the alleged corrective disclosure on August 2025 may be eligible to participate.

You May Be Entitled to Compensation

If you purchased or acquired James Hardie Industries plc securities and suffered financial losses, you may be entitled to compensation. Securities investigations move quickly, so acting now may help protect your rights and maximize any potential recovery.

To join the investigation and learn more about your options, complete the form below.