StockNews.com Upgrades Builders FirstSource (NYSE:BLDR) to “Buy”

Builders FirstSource (NYSE:BLDR) was upgraded by equities research analysts at StockNews.com from a “hold” rating to a “buy” rating in a note issued to investors on Tuesday.

A number of other equities analysts have also recently weighed in on BLDR. Bank of America cut shares of Builders FirstSource from a “buy” rating to a “neutral” rating and decreased their price objective for the company from $183.00 to $180.00 in a research report on Friday, August 2nd. B. Riley cut their target price on shares of Builders FirstSource from $197.00 to $187.00 and set a “buy” rating on the stock in a report on Wednesday, August 7th. Benchmark dropped their price objective on shares of Builders FirstSource from $220.00 to $200.00 and set a “buy” rating on the stock in a report on Wednesday, August 7th. Jefferies Financial Group reiterated a “buy” rating and set a $185.00 price target (down previously from $205.00) on shares of Builders FirstSource in a research report on Friday, August 9th. Finally, Oppenheimer raised their price objective on shares of Builders FirstSource from $190.00 to $205.00 and gave the company an “outperform” rating in a research note on Tuesday, September 3rd. Four analysts have rated the stock with a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, Builders FirstSource currently has an average rating of “Moderate Buy” and a consensus target price of $184.43.

Builders FirstSource Trading Up 3.3 %

NYSE BLDR traded up $6.24 during trading on Tuesday, hitting $193.89. The stock had a trading volume of 2,055,820 shares, compared to its average volume of 1,612,960. The company has a quick ratio of 1.14, a current ratio of 1.83 and a debt-to-equity ratio of 0.88. The company has a market capitalization of $23.67 billion, a PE ratio of 16.60, a PEG ratio of 10.06 and a beta of 2.06. The firm has a 50 day moving average price of $163.42 and a 200 day moving average price of $170.74. Builders FirstSource has a twelve month low of $105.24 and a twelve month high of $214.70.

Builders FirstSource (NYSE:BLDR) last posted its quarterly earnings data on Tuesday, August 6th. The company reported $3.50 EPS for the quarter, beating the consensus estimate of $3.02 by $0.48. Builders FirstSource had a net margin of 8.25% and a return on equity of 37.05%. The business had revenue of $4.46 billion during the quarter, compared to analyst estimates of $4.48 billion. During the same quarter last year, the firm posted $3.89 earnings per share. The business’s revenue for the quarter was down 1.6% compared to the same quarter last year. As a group, equities research analysts forecast that Builders FirstSource will post 11.65 earnings per share for the current year.

Builders FirstSource announced that its Board of Directors has approved a stock buyback plan on Tuesday, August 6th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the company to reacquire up to 5.3% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling

In other news, Director Craig Arthur Steinke sold 30,000 shares of Builders FirstSource stock in a transaction on Thursday, August 8th. The stock was sold at an average price of $153.68, for a total transaction of $4,610,400.00. Following the transaction, the director now owns 95,333 shares in the company, valued at $14,650,775.44. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 1.80% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Innealta Capital LLC purchased a new position in Builders FirstSource in the second quarter valued at about $27,000. Westside Investment Management Inc. bought a new stake in shares of Builders FirstSource in the 1st quarter valued at approximately $31,000. Principal Securities Inc. acquired a new position in Builders FirstSource in the fourth quarter worth approximately $32,000. ORG Partners LLC bought a new position in Builders FirstSource during the first quarter valued at approximately $33,000. Finally, American Capital Advisory LLC bought a new position in Builders FirstSource during the first quarter valued at approximately $34,000. 95.53% of the stock is owned by hedge funds and other institutional investors.

Builders FirstSource Company Profile

Builders FirstSource, Inc, together with its subsidiaries, manufactures and supplies building materials, manufactured components, and construction services to professional homebuilders, sub-contractors, remodelers, and consumers in the United States. It offers lumber and lumber sheet goods comprising dimensional lumber, plywood, and oriented strand board products that are used in on-site house framing; manufactured products, such as wood floor and roof trusses, floor trusses, wall panels, stairs, and engineered wood products; and windows, and interior and exterior door units, as well as interior trims and custom products comprising intricate mouldings, stair parts, and columns under the Synboard brand name.