Boise Cascade (NYSE:BCC) Cut to “Market Perform” at BMO Capital Markets

Boise Cascade (NYSE:BCC) was downgraded by stock analysts at BMO Capital Markets from an “outperform” rating to a “market perform” rating in a note issued to investors on Thursday, MarketBeat.com reports. They presently have a $88.00 target price on the construction company’s stock. BMO Capital Markets‘s price target would indicate a potential upside of 12.71% from the stock’s previous close.

A number of other equities analysts have also recently issued reports on the company. Loop Capital cut Boise Cascade from a “buy” rating to a “hold” rating and set a $85.00 price objective for the company. in a report on Monday, October 26th. The Goldman Sachs Group increased their target price on Boise Cascade from $81.00 to $91.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 5th. Zacks Research downgraded Boise Cascade from a “strong-buy” rating to a “hold” rating in a research report on Monday, August 17th. Weiss Ratings downgraded Boise Cascade from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday. Finally, Bank of America lowered their target price on shares of Boise Cascade from $89.00 to $80.00 and set an “underperform” rating for the company in a research note on Wednesday, October 14th. Two analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Boise Cascade currently has an average rating of “Hold” and an average price target of $88.17.

Boise Cascade Stock Up 4.4%

Shares of NYSE BCC opened at $78.08 on Thursday. Boise Cascade has a 1 year low of $65.00 and a 1 year high of $91.97. The firm has a 50-day simple moving average of $76.10 and a two-hundred day simple moving average of $77.15. The company has a market cap of $2.72 billion, a P/E ratio of 22.90, a PEG ratio of 0.97 and a beta of 1.08. The company has a debt-to-equity ratio of 0.24, a current ratio of 2.82 and a quick ratio of 1.31.

Boise Cascade (NYSE:BCC) last released its earnings results on Monday, November 2nd. The construction company reported $1.04 EPS for the quarter, missing analysts’ consensus estimates of $1.12 by ($0.08). Boise Cascade had a net margin of 1.83% and a return on equity of 6.18%. The business had revenue of $1.80 billion for the quarter, compared to the consensus estimate of $1.76 billion. During the same period in the prior year, the company posted $0.58 EPS. The company’s quarterly revenue was up 8.1% compared to the same quarter last year. Research analysts anticipate that Boise Cascade will post 3.86 earnings per share for the current year.

Insider Activity

In related news, SVP Jill Twedt sold 1,250 shares of the firm’s stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $79.40, for a total transaction of $99,250.00. Following the completion of the transaction, the senior vice president owned 25,295 shares of the company’s stock, valued at $2,008,423. This trade represents a 4.71% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 1.42% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Boise Cascade

Hedge funds have recently added to or reduced their stakes in the business. BlackRock Inc. purchased a new stake in Boise Cascade in the 2nd quarter worth approximately $463,729,000. Dimensional Fund Advisors LP increased its holdings in shares of Boise Cascade by 2.0% during the 1st quarter. Dimensional Fund Advisors LP now owns 2,325,781 shares of the construction company’s stock valued at $176,410,000 after purchasing an additional 46,561 shares in the last quarter. State Street Corp increased its holdings in shares of Boise Cascade by 2.8% during the 2nd quarter. State Street Corp now owns 1,497,224 shares of the construction company’s stock valued at $116,229,000 after purchasing an additional 41,324 shares in the last quarter. Atlas FRM LLC acquired a new position in shares of Boise Cascade in the 2nd quarter valued at $34,545,350. Finally, Bank of America Corp DE acquired a new position in shares of Boise Cascade in the 2nd quarter valued at $30,351,000. 96.18% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Boise Cascade

Here are the key news stories impacting Boise Cascade this week:

• Positive Sentiment: Third-quarter revenue rose 8.1% year over year to $1.80 billion, topping estimates. Plywood pricing supported Wood Products profits, although growth in engineered-wood shipments was offset by weak construction demand. Boise Cascade Q3 Earnings, Sales Rise
• Neutral Sentiment: Truist lowered its price target to $86 from $97 but maintained a Buy rating. The new target implies about 10% upside from the $78.08 reference price, while the cut signals a more cautious outlook. Truist Securities Adjusts Price Target
• Negative Sentiment: Adjusted for the stronger sales, earnings were less encouraging: EPS of $1.04 missed the $1.12 consensus. Commentary also pointed to persistent housing-market pressure, and an analyst view cited a limited recovery and a valuation above historical averages. Boise Cascade: A Good Business Facing A Bad Housing Market
• Negative Sentiment: A new James Hardie/AZEK distribution arrangement replaces lost Trex business, but inventory buildup and shifting contractor relationships create transition and execution risks. BCC Q3 deep dive

Boise Cascade Company Profile

Boise Cascade Company is a U.S.-based manufacturer of engineered wood products and a wholesale distributor of building materials. Headquartered in Boise, Idaho, the company serves the residential construction, repair and remodeling, and industrial sectors primarily across the United States.

Through its Wood Products segment, Boise Cascade manufactures laminated veneer lumber, I-joists, laminated strand lumber, plywood, and other engineered wood products used in floors, roofs, walls, and structural applications.