Builders FirstSource, Inc. (NYSE:BLDR) Sees Significant Decrease in Short Interest

Builders FirstSource, Inc. (NYSE:BLDR) was the target of a large decrease in short interest in the month of November. As of November 15th, there was short interest totalling 2,280,000 shares, a decrease of 8.1% from the October 31st total of 2,480,000 shares. Approximately 2.0% of the shares of the company are sold short. Based on an average trading volume of 1,370,000 shares, the short-interest ratio is presently 1.7 days.

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on BLDR shares. Oppenheimer reiterated an “outperform” rating and issued a $225.00 price objective on shares of Builders FirstSource in a research note on Tuesday, October 29th. Jefferies Financial Group increased their price objective on shares of Builders FirstSource from $185.00 to $223.00 and gave the stock a “buy” rating in a research note on Wednesday, October 9th. Barclays increased their price objective on shares of Builders FirstSource from $182.00 to $211.00 and gave the stock an “overweight” rating in a research note on Wednesday, October 9th. Benchmark lowered their price objective on shares of Builders FirstSource from $220.00 to $200.00 and set a “buy” rating on the stock in a research note on Wednesday, August 7th. Finally, Stifel Nicolaus lowered their price objective on shares of Builders FirstSource from $217.00 to $195.00 and set a “buy” rating on the stock in a research note on Thursday, August 8th. Five research analysts have rated the stock with a hold rating, fourteen have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $206.47.

Insider Buying and Selling at Builders FirstSource

In other news, Director Cleveland A. Christophe sold 10,000 shares of the stock in a transaction that occurred on Thursday, November 7th. The shares were sold at an average price of $178.41, for a total value of $1,784,100.00. Following the transaction, the director now owns 33,083 shares in the company, valued at $5,902,338.03. This represents a 23.21 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Company insiders own 1.80% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of BLDR. Janus Henderson Group PLC boosted its stake in Builders FirstSource by 21.1% during the first quarter. Janus Henderson Group PLC now owns 20,013 shares of the company’s stock worth $4,173,000 after buying an additional 3,483 shares during the period. Atria Investments Inc boosted its stake in Builders FirstSource by 39.1% during the first quarter. Atria Investments Inc now owns 9,781 shares of the company’s stock worth $2,040,000 after buying an additional 2,750 shares during the period. Cetera Investment Advisers boosted its stake in Builders FirstSource by 762.2% during the first quarter. Cetera Investment Advisers now owns 50,982 shares of the company’s stock worth $10,632,000 after buying an additional 45,069 shares during the period. Cetera Advisors LLC lifted its position in shares of Builders FirstSource by 110.0% during the first quarter. Cetera Advisors LLC now owns 7,948 shares of the company’s stock worth $1,658,000 after purchasing an additional 4,163 shares during the last quarter. Finally, First Hawaiian Bank bought a new stake in shares of Builders FirstSource during the second quarter worth $261,000. 95.53% of the stock is owned by hedge funds and other institutional investors.

Builders FirstSource Price Performance

Shares of BLDR stock traded down $1.82 on Monday, reaching $184.65. The company’s stock had a trading volume of 727,899 shares, compared to its average volume of 1,547,255. The stock’s fifty day simple moving average is $185.33 and its 200-day simple moving average is $168.49. Builders FirstSource has a 1 year low of $130.75 and a 1 year high of $214.70. The company has a current ratio of 1.77, a quick ratio of 1.16 and a debt-to-equity ratio of 0.83. The company has a market capitalization of $21.25 billion, a price-to-earnings ratio of 18.10, a price-to-earnings-growth ratio of 1.04 and a beta of 2.08.

Builders FirstSource (NYSE:BLDR) last posted its earnings results on Tuesday, November 5th. The company reported $3.07 earnings per share for the quarter, missing analysts’ consensus estimates of $3.09 by ($0.02). The business had revenue of $4.23 billion during the quarter, compared to analysts’ expectations of $4.44 billion. Builders FirstSource had a net margin of 7.40% and a return on equity of 33.55%. The company’s revenue for the quarter was down 6.7% compared to the same quarter last year. During the same period last year, the business posted $4.24 earnings per share. Analysts forecast that Builders FirstSource will post 11.56 earnings per share for the current fiscal year.

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

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.