Builders FirstSource (NYSE:BLDR) Now Covered by Analysts at The Goldman Sachs Group

Investment analysts at The Goldman Sachs Group initiated coverage on shares of Builders FirstSource (NYSE:BLDR) in a report issued on Thursday, MarketBeat.com reports. The firm set a “buy” rating and a $225.00 price target on the stock. The Goldman Sachs Group’s target price points to a potential upside of 16.58% from the stock’s previous close.

Other analysts have also issued reports about the company. Truist Financial raised Builders FirstSource from a “hold” rating to a “buy” rating and increased their target price for the stock from $165.00 to $220.00 in a report on Monday, September 16th. Benchmark reduced their price objective on Builders FirstSource from $220.00 to $200.00 and set a “buy” rating on the stock in a research note on Wednesday, August 7th. Barclays raised their price objective on Builders FirstSource from $182.00 to $211.00 and gave the company an “overweight” rating in a research note on Wednesday. Stifel Nicolaus reduced their price objective on Builders FirstSource from $217.00 to $195.00 and set a “buy” rating on the stock in a research note on Thursday, August 8th. Finally, Robert W. Baird raised Builders FirstSource from a “neutral” rating to an “outperform” rating and raised their price objective for the company from $185.00 to $190.00 in a research note on Wednesday, August 7th. Four research analysts have rated the stock with a hold rating, fourteen have issued a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $196.38.

Builders FirstSource Stock Performance

BLDR opened at $193.00 on Thursday. The firm has a market cap of $23.56 billion, a P/E ratio of 16.52, a price-to-earnings-growth ratio of 11.48 and a beta of 2.06. Builders FirstSource has a 52-week low of $105.24 and a 52-week high of $214.70. The company has a debt-to-equity ratio of 0.88, a quick ratio of 1.14 and a current ratio of 1.83. The business’s fifty day moving average is $177.50 and its 200-day moving average is $170.23.

Builders FirstSource (NYSE:BLDR) last released its earnings results on Tuesday, August 6th. The company reported $3.50 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.02 by $0.48. The company had revenue of $4.46 billion for the quarter, compared to analyst estimates of $4.48 billion. Builders FirstSource had a return on equity of 37.05% and a net margin of 8.25%. Builders FirstSource’s quarterly revenue was down 1.6% on a year-over-year basis. During the same period in the prior year, the firm posted $3.89 EPS. Sell-side analysts expect that Builders FirstSource will post 11.68 EPS for the current fiscal year.

Builders FirstSource declared that its Board of Directors has initiated a share buyback program on Tuesday, August 6th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the company to purchase up to 5.3% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Insider Transactions at Builders FirstSource

In other news, Director Craig Arthur Steinke sold 30,000 shares of the firm’s stock in a transaction dated 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 completion of the transaction, the director now directly owns 95,333 shares in the company, valued at $14,650,775.44. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 1.80% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Builders FirstSource

A number of hedge funds have recently added to or reduced their stakes in BLDR. Vanguard Group Inc. increased its holdings in Builders FirstSource by 15.7% in the fourth quarter. Vanguard Group Inc. now owns 14,668,049 shares of the company’s stock worth $2,448,684,000 after purchasing an additional 1,985,297 shares in the last quarter. Massachusetts Financial Services Co. MA grew its stake in Builders FirstSource by 339.8% in the second quarter. Massachusetts Financial Services Co. MA now owns 1,180,358 shares of the company’s stock valued at $163,373,000 after acquiring an additional 911,990 shares during the period. Bessemer Group Inc. grew its stake in Builders FirstSource by 477,028.7% in the first quarter. Bessemer Group Inc. now owns 448,501 shares of the company’s stock valued at $93,535,000 after acquiring an additional 448,407 shares during the period. Clearbridge Investments LLC acquired a new stake in Builders FirstSource in the second quarter valued at approximately $49,000,000. Finally, Bank of New York Mellon Corp grew its stake in Builders FirstSource by 22.7% in the second quarter. Bank of New York Mellon Corp now owns 1,062,488 shares of the company’s stock valued at $147,059,000 after acquiring an additional 196,571 shares during the period. 95.53% of the stock is currently owned by 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.