Builders FirstSource (NYSE:BLDR) Reaches New 52-Week Low – Time to Sell?

Builders FirstSource, Inc. (NYSE:BLDR) reached a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $73.14 and last traded at $72.99, with a volume of 178814 shares. The stock had previously closed at $74.88.

Wall Street Analyst Weigh In

BLDR has been the subject of several recent analyst reports. Wells Fargo & Company decreased their target price on shares of Builders FirstSource from $87.00 to $85.00 and set an “equal weight” rating for the company in a report on Friday, May 1st. Stifel Nicolaus cut their price target on shares of Builders FirstSource from $115.00 to $93.00 and set a “hold” rating on the stock in a report on Monday, March 16th. Bank of America reduced their price target on shares of Builders FirstSource from $123.00 to $100.00 and set a “neutral” rating for the company in a research report on Monday, April 20th. Weiss Ratings cut shares of Builders FirstSource from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, March 20th. Finally, Raymond James Financial cut their target price on shares of Builders FirstSource from $140.00 to $100.00 in a research note on Friday, May 1st. Nine analysts have rated the stock with a Buy rating, ten have issued a Hold rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $101.88.

Builders FirstSource Trading Up 1.7%

The company has a market cap of $7.91 billion, a PE ratio of 28.18, a PEG ratio of 1.75 and a beta of 1.49. The company has a debt-to-equity ratio of 1.15, a quick ratio of 1.09 and a current ratio of 1.76. The company has a 50 day simple moving average of $85.10 and a two-hundred day simple moving average of $102.42.

Builders FirstSource (NYSE:BLDR) last posted its quarterly earnings results on Thursday, April 30th. The company reported $0.27 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.12). Builders FirstSource had a return on equity of 14.89% and a net margin of 1.97%.The company had revenue of $3.29 billion during the quarter, compared to analysts’ expectations of $3.17 billion. During the same period last year, the company earned $1.51 earnings per share. Builders FirstSource’s revenue for the quarter was down 10.1% compared to the same quarter last year. Sell-side analysts forecast that Builders FirstSource, Inc. will post 4.26 EPS for the current year.

Builders FirstSource declared that its board has authorized a share buyback program on Thursday, April 30th that authorizes the company to repurchase $500.00 million in outstanding shares. This repurchase authorization authorizes the company to purchase up to 5.4% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s management believes its stock is undervalued.

Insider Transactions at Builders FirstSource

In other news, Director Paul S. Levy acquired 50,000 shares of Builders FirstSource stock in a transaction that occurred on Friday, March 13th. The stock was purchased at an average price of $87.73 per share, with a total value of $4,386,500.00. Following the completion of the transaction, the director owned 1,727,191 shares in the company, valued at approximately $151,526,466.43. This trade represents a 2.98% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 2.70% of the company’s stock.

Institutional Investors Weigh In On Builders FirstSource

A number of hedge funds and other institutional investors have recently made changes to their positions in BLDR. Integrated Wealth Concepts LLC increased its holdings in Builders FirstSource by 9.3% in the first quarter. Integrated Wealth Concepts LLC now owns 3,460 shares of the company’s stock worth $432,000 after buying an additional 295 shares during the last quarter. Woodline Partners LP lifted its stake in Builders FirstSource by 40.7% in the first quarter. Woodline Partners LP now owns 9,723 shares of the company’s stock valued at $1,215,000 after acquiring an additional 2,812 shares during the last quarter. EverSource Wealth Advisors LLC grew its position in Builders FirstSource by 180.0% in the second quarter. EverSource Wealth Advisors LLC now owns 1,582 shares of the company’s stock worth $185,000 after acquiring an additional 1,017 shares in the last quarter. Baird Financial Group Inc. grew its position in Builders FirstSource by 230.7% in the second quarter. Baird Financial Group Inc. now owns 18,942 shares of the company’s stock worth $2,210,000 after acquiring an additional 13,215 shares in the last quarter. Finally, Jump Financial LLC increased its stake in shares of Builders FirstSource by 144.1% during the 2nd quarter. Jump Financial LLC now owns 7,223 shares of the company’s stock worth $843,000 after purchasing an additional 4,264 shares during the last quarter. 95.53% of the stock is owned by hedge funds and other institutional investors.

About Builders FirstSource

Builders FirstSource, Inc is a leading supplier of structural and value-added building products and services to professional contractors, homebuilders and remodelers. The company provides a comprehensive range of materials and prefabricated components that support all phases of residential construction, from site development and framing to finishing and installation.

The company’s core offerings include lumber and lumber sheet goods, windows and doors, millwork, roofing and siding, and engineered wood products such as roof and floor trusses.