Royal Bank of Canada Cuts Builders FirstSource (NYSE:BLDR) Price Target to $178.00

Builders FirstSource (NYSE:BLDR) had its price objective lowered by Royal Bank of Canada from $193.00 to $178.00 in a research report report published on Wednesday, Benzinga reports. Royal Bank of Canada currently has an outperform rating on the stock.

Other equities research analysts have also recently issued research reports about the stock. Wedbush restated an outperform rating and issued a $175.00 price objective on shares of Builders FirstSource in a research report on Tuesday. Bank of America cut shares of Builders FirstSource from a buy rating to a neutral rating and lowered their price objective for the company from $183.00 to $180.00 in a research report on Friday, August 2nd. Truist Financial lowered their price target on shares of Builders FirstSource from $190.00 to $180.00 and set a hold rating for the company in a research report on Wednesday, May 8th. StockNews.com cut shares of Builders FirstSource from a buy rating to a hold rating in a research report on Monday, July 22nd. Finally, Oppenheimer reiterated an outperform rating and set a $230.00 price target (down previously from $242.00) on shares of Builders FirstSource in a research report on Monday, July 29th. Six research analysts have rated the stock with a hold rating, eleven have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the stock has an average rating of Moderate Buy and an average target price of $180.47.

Builders FirstSource Price Performance

BLDR traded up $2.36 during midday trading on Wednesday, hitting $155.51. The company had a trading volume of 1,031,898 shares, compared to its average volume of 1,648,177. The company has a debt-to-equity ratio of 0.75, a quick ratio of 1.45 and a current ratio of 2.21. The company has a market capitalization of $18.98 billion, a PE ratio of 13.31, a P/E/G ratio of 2.57 and a beta of 2.04. Builders FirstSource has a twelve month low of $105.24 and a twelve month high of $214.70. The firm’s 50-day simple moving average is $149.36 and its 200-day simple moving average is $173.09.

Builders FirstSource (NYSE:BLDR) last posted its quarterly earnings data on Tuesday, August 6th. The company reported $3.50 earnings per share for the quarter, beating the consensus estimate of $3.02 by $0.48. The firm had revenue of $4.46 billion during the quarter, compared to analysts’ expectations of $4.48 billion. Builders FirstSource had a net margin of 8.57% and a return on equity of 38.66%. The company’s quarterly revenue was down 1.6% compared to the same quarter last year. During the same quarter last year, the company posted $3.89 EPS. Equities research analysts predict that Builders FirstSource will post 12.91 EPS for the current fiscal year.

Builders FirstSource declared that its board has authorized a stock repurchase program on Tuesday, August 6th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the company to reacquire up to 5.3% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling

In related news, insider Michael Hiller sold 4,875 shares of Builders FirstSource stock in a transaction that occurred on Thursday, May 30th. The shares were sold at an average price of $159.25, for a total transaction of $776,343.75. Following the transaction, the insider now owns 30,106 shares of the company’s stock, valued at approximately $4,794,380.50. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other Builders FirstSource news, insider Michael Hiller sold 4,875 shares of Builders FirstSource stock in a transaction that occurred on Thursday, May 30th. The shares were sold at an average price of $159.25, for a total value of $776,343.75. Following the transaction, the insider now owns 30,106 shares of the company’s stock, valued at $4,794,380.50. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Paul M. Mccrobie sold 9,118 shares of Builders FirstSource stock in a transaction that occurred on Friday, May 24th. The shares were sold at an average price of $170.11, for a total transaction of $1,551,062.98. Following the completion of the transaction, the insider now directly owns 22,667 shares in the company, valued at approximately $3,855,883.37. The disclosure for this sale can be found here. 1.80% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of BLDR. EdgeRock Capital LLC bought a new position in Builders FirstSource in the fourth quarter valued at approximately $25,000. Innealta Capital LLC bought a new stake in shares of Builders FirstSource in the second quarter worth $27,000. Rakuten Securities Inc. bought a new stake in shares of Builders FirstSource in the fourth quarter worth $29,000. Westside Investment Management Inc. bought a new stake in shares of Builders FirstSource in the first quarter worth $31,000. Finally, Principal Securities Inc. bought a new stake in shares of Builders FirstSource in the fourth quarter worth $32,000. Institutional investors own 95.53% of the company’s stock.

About Builders FirstSource

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.