BUILDERS FIRSTSOURCE INC (BLDR) Stock Fundamental Analysis
NYSE:BLDR - New York Stock Exchange, Inc. - US12008R1077 - Common Stock - Currency: USD
Taking everything into account, BLDR scores 5 out of 10 in our fundamental rating. BLDR was compared to 41 industry peers in the Building Products industry. While BLDR has a great profitability rating, there are some minor concerns on its financial health. BLDR may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make BLDR suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year BLDR was profitable.
BLDR had a positive operating cash flow in the past year.
In the past 5 years BLDR has always been profitable.
BLDR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BLDR has a Return On Assets of 8.00%. This is comparable to the rest of the industry: BLDR outperforms 58.54% of its industry peers.
BLDR's Return On Equity of 20.93% is fine compared to the rest of the industry. BLDR outperforms 70.73% of its industry peers.
The Return On Invested Capital of BLDR (11.32%) is better than 60.98% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BLDR is significantly above the industry average of 12.76%.
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's Profit Margin of 5.66% is on the low side compared to the rest of the industry. BLDR is outperformed by 60.98% of its industry peers.
BLDR's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 8.70%, BLDR is not doing good in the industry: 63.41% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of BLDR has grown nicely.
BLDR has a Gross Margin (32.16%) which is comparable to the rest of the industry.
BLDR's Gross Margin has improved in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BLDR is creating value.
Compared to 1 year ago, BLDR has less shares outstanding
BLDR has less shares outstanding than it did 5 years ago.
BLDR has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.00 indicates that BLDR is not in any danger for bankruptcy at the moment.
The Altman-Z score of BLDR (3.00) 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.
With a Debt to FCF ratio value of 3.44, BLDR perfoms like the industry average, outperforming 58.54% of the companies in the same industry.
A Debt/Equity ratio of 1.02 is on the high side and indicates that BLDR has dependencies on debt financing.
BLDR has a worse Debt to Equity ratio (1.02) than 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 3.44 | ||
| Altman-Z | 3 |
ROIC/WACC1.15
WACC9.83%
2.3 Liquidity
BLDR has a Current Ratio of 1.82. This is a normal value and indicates that BLDR is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.82, BLDR perfoms like the industry average, outperforming 43.90% of the companies in the same industry.
BLDR has a Quick Ratio of 1.07. This is a normal value and indicates that BLDR is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of BLDR (1.07) is worse than 68.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
BLDR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -27.49%.
BLDR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 40.71% yearly.
BLDR shows a decrease in Revenue. In the last year, the revenue decreased by -5.49%.
The Revenue has been growing by 17.64% on average over the past years. This is quite good.
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
The Earnings Per Share is expected to grow by 0.87% on average over the next years.
The Revenue is expected to grow by 3.36% on average over the next years.
EPS Next Y-27.32%
EPS Next 2Y-9.18%
EPS Next 3Y0.87%
EPS Next 5YN/A
Revenue Next Year-0.68%
Revenue Next 2Y0.95%
Revenue Next 3Y3.36%
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 10.39, which indicates a very decent valuation of BLDR.
82.93% of the companies in the same industry are more expensive than BLDR, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.32, BLDR is valued rather cheaply.
A Price/Forward Earnings ratio of 11.35 indicates a reasonable valuation of BLDR.
73.17% of the companies in the same industry are more expensive than BLDR, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.19. BLDR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.39 | ||
| Fwd PE | 11.35 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BLDR indicates a rather cheap valuation: BLDR is cheaper than 80.49% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BLDR indicates a rather cheap valuation: BLDR is cheaper than 92.68% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.18 | ||
| EV/EBITDA | 8.26 |
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)0.26
EPS Next 2Y-9.18%
EPS Next 3Y0.87%
5. Dividend
5.1 Amount
No dividends for BLDR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
107.98
-3.73 (-3.34%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners101.07%
Inst Owner Change0.04%
Ins Owners2.47%
Ins Owner Change4.67%
Market Cap11.93B
Analysts80
Price Target144.88 (34.17%)
Short Float %5.67%
Short Ratio3.07
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)-2.14%
PT rev (3m)-20.04%
EPS NQ rev (1m)-2.61%
EPS NQ rev (3m)-19.7%
EPS NY rev (1m)0%
EPS NY rev (3m)-26.4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.93%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-2.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.39 | ||
| Fwd PE | 11.35 | ||
| P/S | 0.74 | ||
| P/FCF | 9.18 | ||
| P/OCF | 7.07 | ||
| P/B | 2.73 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.26 |
EPS(TTM)10.39
EY9.62%
EPS(NY)9.51
Fwd EY8.81%
FCF(TTM)11.77
FCFY10.9%
OCF(TTM)15.27
OCFY14.14%
SpS146.29
BVpS39.58
TBVpS-8.26
PEG (NY)N/A
PEG (5Y)0.26
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 |
F-Score4
WACC9.83%
ROIC/WACC1.15
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-27.32%
EPS Next 2Y-9.18%
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-0.68%
Revenue Next 2Y0.95%
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%