BUILDERS FIRSTSOURCE INC (BLDR) Stock Fundamental Analysis
NYSE:BLDR - New York Stock Exchange, Inc. - US12008R1077 - Common Stock - Currency: USD
BLDR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 41 industry peers in the Building Products industry. BLDR has an excellent profitability rating, but there are some minor concerns on its financial health. BLDR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
BLDR had positive earnings in the past year.
BLDR had a positive operating cash flow in the past year.
BLDR had positive earnings in each of the past 5 years.
In the past 5 years BLDR always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of BLDR (8.00%) is comparable to the rest of the industry.
BLDR has a Return On Equity of 20.93%. This is in the better half of the industry: BLDR outperforms 68.29% of its industry peers.
BLDR has a better Return On Invested Capital (11.32%) than 60.98% of its industry peers.
BLDR had an Average Return On Invested Capital over the past 3 years of 22.36%. This is significantly above the industry average of 12.81%.
The 3 year average ROIC (22.36%) for BLDR is well above the current ROIC(11.32%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8% | ||
| ROE | 20.93% | ||
| ROIC | 11.32% |
ROA(3y)16.93%
ROA(5y)14.89%
ROE(3y)37.68%
ROE(5y)35.24%
ROIC(3y)22.36%
ROIC(5y)20.5%
1.3 Margins
BLDR has a Profit Margin of 5.66%. This is in the lower half of the industry: BLDR underperforms 60.98% of its industry peers.
BLDR's Profit Margin has improved in the last couple of years.
BLDR's Operating Margin of 8.70% is on the low side compared to the rest of the industry. BLDR is outperformed by 60.98% of its industry peers.
BLDR's Operating Margin has improved in the last couple of years.
BLDR has a Gross Margin of 32.16%. This is comparable to the rest of the industry: BLDR outperforms 51.22% of its industry peers.
In the last couple of years the Gross Margin of BLDR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.7% | ||
| PM (TTM) | 5.66% | ||
| GM | 32.16% |
OM growth 3Y-6.99%
OM growth 5Y12.55%
PM growth 3Y-8.82%
PM growth 5Y16.6%
GM growth 3Y3.73%
GM growth 5Y3.86%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), BLDR is creating value.
BLDR has less shares outstanding than it did 1 year ago.
BLDR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, BLDR has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.21 indicates that BLDR is not in any danger for bankruptcy at the moment.
BLDR has a Altman-Z score (3.21) which is comparable to the rest of the industry.
The Debt to FCF ratio of BLDR is 3.44, which is a good value as it means it would take BLDR, 3.44 years of fcf income to pay off all of its debts.
BLDR has a Debt to FCF ratio (3.44) which is comparable to the rest of the industry.
BLDR has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.02, BLDR is not doing good in the industry: 78.05% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 3.44 | ||
| Altman-Z | 3.21 |
ROIC/WACC1.13
WACC10.02%
2.3 Liquidity
A Current Ratio of 1.82 indicates that BLDR should not have too much problems paying its short term obligations.
The Current ratio of BLDR (1.82) is comparable to the rest of the industry.
A Quick Ratio of 1.07 indicates that BLDR should not have too much problems paying its short term obligations.
BLDR has a worse Quick ratio (1.07) than 68.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
The earnings per share for BLDR have decreased strongly by -27.49% in the last year.
BLDR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 40.71% yearly.
The Revenue has decreased by -5.49% in the past year.
Measured over the past years, BLDR shows a quite strong growth in Revenue. The Revenue has been growing by 17.64% on average per year.
EPS 1Y (TTM)-27.49%
EPS 3Y4.76%
EPS 5Y40.71%
EPS Q2Q%-43.02%
Revenue 1Y (TTM)-5.49%
Revenue growth 3Y-6.23%
Revenue growth 5Y17.64%
Sales Q2Q%-6.01%
3.2 Future
BLDR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.87% yearly.
BLDR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.36% yearly.
EPS Next Y-28.51%
EPS Next 2Y-8.51%
EPS Next 3Y0.87%
EPS Next 5YN/A
Revenue Next Year-0.98%
Revenue Next 2Y0.89%
Revenue Next 3Y3.36%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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 12.97, which indicates a correct valuation of BLDR.
Based on the Price/Earnings ratio, BLDR is valued cheaper than 82.93% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.69, BLDR is valued rather cheaply.
A Price/Forward Earnings ratio of 13.96 indicates a correct valuation of BLDR.
BLDR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BLDR is cheaper than 73.17% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 37.36. BLDR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.97 | ||
| Fwd PE | 13.96 |
4.2 Price Multiples
82.93% of the companies in the same industry are more expensive than BLDR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, BLDR is valued cheaper than 90.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.45 | ||
| EV/EBITDA | 9.54 |
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)0.32
EPS Next 2Y-8.51%
EPS Next 3Y0.87%
5. Dividend
5.1 Amount
No dividends for BLDR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
134.72
+3.89 (+2.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners101.07%
Inst Owner Change-1.29%
Ins Owners2.47%
Ins Owner Change4.82%
Market Cap14.89B
Analysts80
Price Target143 (6.15%)
Short Float %5.74%
Short Ratio2.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/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)10.41%
Min EPS beat(2)8.35%
Max EPS beat(2)12.47%
EPS beat(4)4
Avg EPS beat(4)8.86%
Min EPS beat(4)1.07%
Max EPS beat(4)13.53%
EPS beat(8)8
Avg EPS beat(8)18.65%
EPS beat(12)12
Avg EPS beat(12)35.73%
EPS beat(16)16
Avg EPS beat(16)45.37%
Revenue beat(2)0
Avg Revenue beat(2)-9.74%
Min Revenue beat(2)-17.56%
Max Revenue beat(2)-1.92%
Revenue beat(4)0
Avg Revenue beat(4)-7.2%
Min Revenue beat(4)-17.56%
Max Revenue beat(4)-1.92%
Revenue beat(8)2
Avg Revenue beat(8)-3.78%
Revenue beat(12)6
Avg Revenue beat(12)0.5%
Revenue beat(16)10
Avg Revenue beat(16)3.26%
PT rev (1m)-1.3%
PT rev (3m)-20.85%
EPS NQ rev (1m)0.55%
EPS NQ rev (3m)-18%
EPS NY rev (1m)0%
EPS NY rev (3m)-13.27%
Revenue NQ rev (1m)-0.25%
Revenue NQ rev (3m)-4.81%
Revenue NY rev (1m)-0.3%
Revenue NY rev (3m)-2.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.97 | ||
| Fwd PE | 13.96 | ||
| P/S | 0.92 | ||
| P/FCF | 11.45 | ||
| P/OCF | 8.82 | ||
| P/B | 3.4 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.54 |
EPS(TTM)10.39
EY7.71%
EPS(NY)9.65
Fwd EY7.16%
FCF(TTM)11.77
FCFY8.74%
OCF(TTM)15.27
OCFY11.34%
SpS146.29
BVpS39.58
TBVpS-8.26
PEG (NY)N/A
PEG (5Y)0.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8% | ||
| ROE | 20.93% | ||
| ROCE | 14.58% | ||
| ROIC | 11.32% | ||
| ROICexc | 11.46% | ||
| ROICexgc | 25.73% | ||
| OM | 8.7% | ||
| PM (TTM) | 5.66% | ||
| GM | 32.16% | ||
| FCFM | 8.04% |
ROA(3y)16.93%
ROA(5y)14.89%
ROE(3y)37.68%
ROE(5y)35.24%
ROIC(3y)22.36%
ROIC(5y)20.5%
ROICexc(3y)22.6%
ROICexc(5y)21.09%
ROICexgc(3y)52.47%
ROICexgc(5y)46.44%
ROCE(3y)28.8%
ROCE(5y)26.39%
ROICexcg growth 3Y-14.33%
ROICexcg growth 5Y9.79%
ROICexc growth 3Y-13.16%
ROICexc growth 5Y2.57%
OM growth 3Y-6.99%
OM growth 5Y12.55%
PM growth 3Y-8.82%
PM growth 5Y16.6%
GM growth 3Y3.73%
GM growth 5Y3.86%
F-Score4
Asset Turnover1.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 3.44 | ||
| Debt/EBITDA | 2.27 | ||
| Cap/Depr | 68.36% | ||
| Cap/Sales | 2.4% | ||
| Interest Coverage | 6.24 | ||
| Cash Conversion | 85.56% | ||
| Profit Quality | 142.07% | ||
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z | 3.21 |
F-Score4
WACC10.02%
ROIC/WACC1.13
Cap/Depr(3y)73.83%
Cap/Depr(5y)71.85%
Cap/Sales(3y)2.2%
Cap/Sales(5y)1.81%
Profit Quality(3y)125.27%
Profit Quality(5y)102.16%
High Growth Momentum
Growth
EPS 1Y (TTM)-27.49%
EPS 3Y4.76%
EPS 5Y40.71%
EPS Q2Q%-43.02%
EPS Next Y-28.51%
EPS Next 2Y-8.51%
EPS Next 3Y0.87%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.49%
Revenue growth 3Y-6.23%
Revenue growth 5Y17.64%
Sales Q2Q%-6.01%
Revenue Next Year-0.98%
Revenue Next 2Y0.89%
Revenue Next 3Y3.36%
Revenue Next 5YN/A
EBIT growth 1Y-32.49%
EBIT growth 3Y-12.79%
EBIT growth 5Y32.41%
EBIT Next Year14.05%
EBIT Next 3Y12.87%
EBIT Next 5YN/A
FCF growth 1Y-64.65%
FCF growth 3Y-0.52%
FCF growth 5Y30.71%
OCF growth 1Y-58.57%
OCF growth 3Y2.41%
OCF growth 5Y30.02%