Builders FirstSource (NYSE:BLDR) Sets New 12-Month Low – Should You Sell?

Builders FirstSource, Inc. (NYSE:BLDR) shares hit a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $64.61 and last traded at $65.0180, with a volume of 156791 shares changing hands. The stock had previously closed at $66.40.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the company. Royal Bank Of Canada reduced their target price on Builders FirstSource from $107.00 to $88.00 and set an “outperform” rating for the company in a research note on Friday, July 31st. Robert W. Baird set a $75.00 target price on shares of Builders FirstSource in a research report on Friday, July 31st. UBS Group decreased their price objective on Builders FirstSource from $122.00 to $88.00 and set a “buy” rating for the company in a report on Friday, July 31st. Truist Financial lowered their price target on Builders FirstSource from $115.00 to $90.00 and set a “buy” rating for the company in a research report on Friday, July 31st. Finally, Weiss Ratings lowered shares of Builders FirstSource from a “sell (d+)” rating to a “sell (d)” rating in a research report on Tuesday, July 21st. Nine investment analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $90.35.

Builders FirstSource Trading Down 1.7%

The firm has a market cap of $7.03 billion, a P/E ratio of 71.85, a price-to-earnings-growth ratio of 2.20 and a beta of 1.44. The company has a quick ratio of 1.09, a current ratio of 1.79 and a debt-to-equity ratio of 1.14. The firm’s 50-day simple moving average is $74.74 and its 200 day simple moving average is $82.06.

Builders FirstSource (NYSE:BLDR) last released its earnings results on Thursday, July 30th. The company reported $1.17 earnings per share for the quarter, missing analysts’ consensus estimates of $1.25 by ($0.08). Builders FirstSource had a net margin of 0.71% and a return on equity of 11.73%. The company had revenue of $3.86 billion for the quarter, compared to the consensus estimate of $3.91 billion. During the same period in the prior year, the company earned $2.38 earnings per share. The firm’s revenue was down 8.8% on a year-over-year basis. As a group, analysts expect that Builders FirstSource, Inc. will post 3.15 earnings per share for the current year.

Hedge Funds Weigh In On Builders FirstSource

Institutional investors and hedge funds have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in Builders FirstSource in the 2nd quarter valued at about $700,934,000. Schwartz Investment Counsel Inc. lifted its holdings in Builders FirstSource by 17.1% during the fourth quarter. Schwartz Investment Counsel Inc. now owns 95,800 shares of the company’s stock valued at $9,857,000 after purchasing an additional 14,000 shares during the last quarter. Fiera Capital Corp boosted its position in Builders FirstSource by 36.0% during the fourth quarter. Fiera Capital Corp now owns 653,839 shares of the company’s stock worth $67,273,000 after purchasing an additional 173,230 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. boosted its position in Builders FirstSource by 10.3% during the fourth quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 238,867 shares of the company’s stock worth $24,993,000 after purchasing an additional 22,270 shares during the period. Finally, Northwestern Mutual Wealth Management Co. increased its stake in shares of Builders FirstSource by 99,084.1% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 2,241,561 shares of the company’s stock worth $230,634,000 after purchasing an additional 2,239,301 shares in the last quarter. 95.53% of the stock is owned by institutional investors.

Builders FirstSource Company Profile

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.