BUILDERS FIRSTSOURCE INC (BLDR)
US12008R1077 - Common Stock
Taking everything into account, BLDR scores 5 out of 10 in our fundamental rating. BLDR was compared to 39 industry peers in the Building Products industry. BLDR scores excellent on profitability, but there are some minor concerns on its financial health. BLDR is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
BLDR had positive earnings in the past year.
In the past year BLDR had a positive cash flow from operations.
BLDR had positive earnings in each of the past 5 years.
Each year in the past 5 years BLDR had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 11.37%, BLDR is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
Looking at the Return On Equity, with a value of 27.85%, BLDR is in the better half of the industry, outperforming 79.49% of the companies in the same industry.
BLDR has a better Return On Invested Capital (15.42%) than 71.79% of its industry peers.
BLDR had an Average Return On Invested Capital over the past 3 years of 24.82%. This is significantly above the industry average of 13.33%.
The 3 year average ROIC (24.82%) for BLDR is well above the current ROIC(15.42%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.37% | ||
| ROE | 27.85% | ||
| ROIC | 15.42% |
ROA(3y)18.91%
ROA(5y)14.22%
ROE(3y)41.29%
ROE(5y)35.6%
ROIC(3y)24.82%
ROIC(5y)20.1%
1.3 Margins
The Profit Margin of BLDR (7.40%) is worse than 61.54% of its industry peers.
In the last couple of years the Profit Margin of BLDR has grown nicely.
BLDR has a Operating Margin of 10.65%. This is in the lower half of the industry: BLDR underperforms 61.54% of its industry peers.
BLDR's Operating Margin has improved in the last couple of years.
BLDR has a Gross Margin (33.55%) which is in line with its industry peers.
BLDR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.65% | ||
| PM (TTM) | 7.4% | ||
| GM | 33.55% |
OM growth 3Y26.05%
OM growth 5Y21.66%
PM growth 3Y34.92%
PM growth 5Y27.7%
GM growth 3Y10.63%
GM growth 5Y7.15%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BLDR is creating value.
BLDR has less shares outstanding than it did 1 year ago.
The number of shares outstanding for BLDR has been increased compared to 5 years ago.
The debt/assets ratio for BLDR is higher compared to a year ago.
2.2 Solvency
BLDR has an Altman-Z score of 3.86. This indicates that BLDR is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.86, BLDR is in line with its industry, outperforming 46.15% of the companies in the same industry.
The Debt to FCF ratio of BLDR is 2.14, which is a good value as it means it would take BLDR, 2.14 years of fcf income to pay off all of its debts.
BLDR has a better Debt to FCF ratio (2.14) than 64.10% of its industry peers.
BLDR has a Debt/Equity ratio of 0.83. This is a neutral value indicating BLDR is somewhat dependend on debt financing.
BLDR's Debt to Equity ratio of 0.83 is on the low side compared to the rest of the industry. BLDR is outperformed by 71.79% of its industry peers.
Although BLDR does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 2.14 | ||
| Altman-Z | 3.86 |
ROIC/WACC1.52
WACC10.11%
2.3 Liquidity
A Current Ratio of 1.77 indicates that BLDR should not have too much problems paying its short term obligations.
The Current ratio of BLDR (1.77) is worse than 64.10% of its industry peers.
A Quick Ratio of 1.16 indicates that BLDR should not have too much problems paying its short term obligations.
BLDR has a Quick ratio of 1.16. This is comparable to the rest of the industry: BLDR outperforms 41.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
BLDR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.70%.
The Earnings Per Share has been growing by 50.28% on average over the past years. This is a very strong growth
The Revenue has decreased by -3.31% in the past year.
Measured over the past years, BLDR shows a quite strong growth in Revenue. The Revenue has been growing by 17.22% on average per year.
EPS 1Y (TTM)-10.7%
EPS 3Y67.96%
EPS 5Y50.28%
EPS Q2Q%-27.59%
Revenue 1Y (TTM)-3.31%
Revenue growth 3Y25.94%
Revenue growth 5Y17.22%
Sales Q2Q%-6.66%
3.2 Future
BLDR is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.12% yearly.
The Revenue is expected to grow by 3.09% on average over the next years.
EPS Next Y-20.18%
EPS Next 2Y-10.99%
EPS Next 3Y-0.12%
EPS Next 5YN/A
Revenue Next Year-3.15%
Revenue Next 2Y0.72%
Revenue Next 3Y3.09%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.65, which indicates a very decent valuation of BLDR.
79.49% of the companies in the same industry are more expensive than BLDR, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of BLDR to the average of the S&P500 Index (27.54), we can say BLDR is valued rather cheaply.
With a Price/Forward Earnings ratio of 12.83, BLDR is valued correctly.
BLDR's Price/Forward Earnings ratio is rather cheap when compared to the industry. BLDR is cheaper than 82.05% of the companies in the same industry.
BLDR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.99, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.65 | ||
| Fwd PE | 12.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BLDR is valued a bit cheaper than the industry average as 74.36% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, BLDR is valued cheaper than 89.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.9 | ||
| EV/EBITDA | 8.73 |
4.3 Compensation for Growth
BLDR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.23
EPS Next 2Y-10.99%
EPS Next 3Y-0.12%
5. Dividend
5.1 Amount
No dividends for BLDR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BUILDERS FIRSTSOURCE INC
NYSE:BLDR (12/24/2024, 7:58:23 PM)
After market: 148.82 0 (0%)148.82
-0.21 (-0.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners97.48%
Inst Owner Change9.96%
Ins Owners1.76%
Ins Owner Change-0.5%
Market Cap17.13B
Analysts81.74
Price Target215.82 (45.02%)
Short Float %1.87%
Short Ratio1.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.3%
Min EPS beat(2)1.07%
Max EPS beat(2)13.53%
EPS beat(4)4
Avg EPS beat(4)16.18%
Min EPS beat(4)1.07%
Max EPS beat(4)37.05%
EPS beat(8)8
Avg EPS beat(8)31.68%
EPS beat(12)12
Avg EPS beat(12)45.29%
EPS beat(16)16
Avg EPS beat(16)49.63%
Revenue beat(2)0
Avg Revenue beat(2)-4.66%
Min Revenue beat(2)-6.77%
Max Revenue beat(2)-2.55%
Revenue beat(4)1
Avg Revenue beat(4)-2.14%
Min Revenue beat(4)-6.77%
Max Revenue beat(4)1%
Revenue beat(8)4
Avg Revenue beat(8)-0.5%
Revenue beat(12)8
Avg Revenue beat(12)4.36%
Revenue beat(16)11
Avg Revenue beat(16)4.77%
PT rev (1m)3.02%
PT rev (3m)15.09%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-31.1%
EPS NY rev (1m)0.81%
EPS NY rev (3m)0.98%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-12.96%
Revenue NY rev (1m)-0.56%
Revenue NY rev (3m)-2.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.65 | ||
| Fwd PE | 12.83 | ||
| P/S | 1.02 | ||
| P/FCF | 9.9 | ||
| P/OCF | 8.11 | ||
| P/B | 3.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.73 |
EPS(TTM)12.77
EY8.58%
EPS(NY)11.6
Fwd EY7.79%
FCF(TTM)15.04
FCFY10.1%
OCF(TTM)18.34
OCFY12.33%
SpS145.39
BVpS38.64
TBVpS-2.98
PEG (NY)N/A
PEG (5Y)0.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.37% | ||
| ROE | 27.85% | ||
| ROCE | 19.94% | ||
| ROIC | 15.42% | ||
| ROICexc | 16% | ||
| ROICexgc | 36.08% | ||
| OM | 10.65% | ||
| PM (TTM) | 7.4% | ||
| GM | 33.55% | ||
| FCFM | 10.34% |
ROA(3y)18.91%
ROA(5y)14.22%
ROE(3y)41.29%
ROE(5y)35.6%
ROIC(3y)24.82%
ROIC(5y)20.1%
ROICexc(3y)25%
ROICexc(5y)20.66%
ROICexgc(3y)58.51%
ROICexgc(5y)43.85%
ROCE(3y)32.1%
ROCE(5y)26%
ROICexcg growth 3Y23.99%
ROICexcg growth 5Y16.43%
ROICexc growth 3Y7.69%
ROICexc growth 5Y8.56%
OM growth 3Y26.05%
OM growth 5Y21.66%
PM growth 3Y34.92%
PM growth 5Y27.7%
GM growth 3Y10.63%
GM growth 5Y7.15%
F-Score5
Asset Turnover1.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 2.14 | ||
| Debt/EBITDA | 1.58 | ||
| Cap/Depr | 67.06% | ||
| Cap/Sales | 2.28% | ||
| Interest Coverage | 9.07 | ||
| Cash Conversion | 89.86% | ||
| Profit Quality | 139.72% | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z | 3.86 |
F-Score5
WACC10.11%
ROIC/WACC1.52
Cap/Depr(3y)65.13%
Cap/Depr(5y)80.89%
Cap/Sales(3y)1.81%
Cap/Sales(5y)1.66%
Profit Quality(3y)108.41%
Profit Quality(5y)109.71%
High Growth Momentum
Growth
EPS 1Y (TTM)-10.7%
EPS 3Y67.96%
EPS 5Y50.28%
EPS Q2Q%-27.59%
EPS Next Y-20.18%
EPS Next 2Y-10.99%
EPS Next 3Y-0.12%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.31%
Revenue growth 3Y25.94%
Revenue growth 5Y17.22%
Sales Q2Q%-6.66%
Revenue Next Year-3.15%
Revenue Next 2Y0.72%
Revenue Next 3Y3.09%
Revenue Next 5YN/A
EBIT growth 1Y-19.46%
EBIT growth 3Y58.75%
EBIT growth 5Y42.61%
EBIT Next Year0.51%
EBIT Next 3Y4.79%
EBIT Next 5YN/A
FCF growth 1Y-45.85%
FCF growth 3Y131.26%
FCF growth 5Y58.78%
OCF growth 1Y-39.14%
OCF growth 3Y107%
OCF growth 5Y52.16%