Builders FirstSource (BLDR) Declines More Than Market: Some Information for Investors

Builders FirstSource (BLDR) closed at $107.98 in the latest trading session, marking a -3.34% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 0.84%. Elsewhere, the Dow saw a downswing of 0.7%, while the tech-heavy Nasdaq depreciated by 0.91%. The construction supply company's shares have seen a decrease of 7.4% over the last month, surpassing the Retail-Wholesale sector's loss of 0% and falling behind the S&P 500's gain of 1.44%.The investment community will be paying close attention to the earnings performance of Builders FirstSource in its upcoming release. The company's earnings per share (EPS) are projected to be $2.37, reflecting a 32.29% decrease from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $4.29 billion, indicating a 3.81% downward movement from the same quarter last year. For the full year, the Zacks Consensus Estimates are projecting earnings of $8.54 per share and revenue of $16.34 billion, which would represent changes of -26.12% and -0.37%, respectively, from the prior year. Any recent changes to analyst estimates for Builders FirstSource should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability. Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system. The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.02% higher. Currently, Builders FirstSource is carrying a Zacks Rank of #4 (Sell). In terms of valuation, Builders FirstSource is presently being traded at a Forward P/E ratio of 13.09. Its industry sports an average Forward P/E of 18.91, so one might conclude that Builders FirstSource is trading at a discount comparatively. We can additionally observe that BLDR currently boasts a PEG ratio of 7.11. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Building Products - Retail industry had an average PEG ratio of 5.52. The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 38% of all 250+ industries. The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. To follow BLDR in the coming trading sessions, be sure to utilize Zacks.com. Don’t Miss Out on These Stocks Before you make your next investing move, we have a free report that highlights the %%CTA_TEXT%% to buy.Our experts at Zacks Investment Research hand-selected these stocks for their eye-opening growth projections.Since 1988, our stock picks have more than doubled the S&P 500 with an average gain of +23.89% per year using the Zacks Rank stock-rating system.Register now to see the %%CTA_TEXT%%.7 best stocksWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Builders FirstSource, Inc. (BLDR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks