Hennessy Advisors Inc. Boosts Holdings in Builders FirstSource, Inc. (NYSE:BLDR)

Hennessy Advisors Inc. grew its holdings in Builders FirstSource, Inc. (NYSE:BLDR) by 10.1% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 16,400 shares of the company’s stock after purchasing an additional 1,500 shares during the period. Hennessy Advisors Inc.’s holdings in Builders FirstSource were worth $2,049,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also modified their holdings of BLDR. SBI Securities Co. Ltd. bought a new stake in shares of Builders FirstSource in the 4th quarter worth $34,000. Sentry Investment Management LLC bought a new stake in shares of Builders FirstSource in the 1st quarter worth $40,000. CX Institutional bought a new stake in shares of Builders FirstSource in the 1st quarter worth $45,000. Smartleaf Asset Management LLC increased its holdings in shares of Builders FirstSource by 34.9% in the 4th quarter. Smartleaf Asset Management LLC now owns 518 shares of the company’s stock worth $74,000 after purchasing an additional 134 shares in the last quarter. Finally, New Age Alpha Advisors LLC bought a new position in Builders FirstSource during the fourth quarter valued at approximately $74,000. Institutional investors own 95.53% of the company’s stock.

Builders FirstSource Stock Down 3.4%

Shares of BLDR opened at $111.17 on Monday. Builders FirstSource, Inc. has a 12-month low of $102.60 and a 12-month high of $203.14. The company has a current ratio of 1.77, a quick ratio of 1.16 and a debt-to-equity ratio of 0.86. The company has a market capitalization of $12.29 billion, a PE ratio of 12.27, a price-to-earnings-growth ratio of 0.80 and a beta of 1.69. The business’s 50 day moving average is $114.76 and its 200 day moving average is $136.67.

Builders FirstSource (NYSE:BLDR) last posted its quarterly earnings results on Thursday, May 1st. The company reported $1.51 earnings per share for the quarter, topping the consensus estimate of $1.50 by $0.01. Builders FirstSource had a return on equity of 30.54% and a net margin of 6.57%. The business had revenue of $3.66 billion during the quarter, compared to the consensus estimate of $3.67 billion. During the same period in the prior year, the company posted $2.65 EPS. The firm’s revenue for the quarter was down 6.0% compared to the same quarter last year. Research analysts expect that Builders FirstSource, Inc. will post 11.59 earnings per share for the current fiscal year.

Builders FirstSource announced that its Board of Directors has authorized a stock buyback program on Thursday, May 1st that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to purchase up to 3.9% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Insider Transactions at Builders FirstSource

In other news, Director Paul S. Levy bought 216,483 shares of Builders FirstSource stock in a transaction dated Thursday, May 8th. The shares were purchased at an average cost of $110.65 per share, with a total value of $23,953,843.95. Following the completion of the acquisition, the director now owns 1,389,170 shares of the company’s stock, valued at $153,711,660.50. This trade represents a 18.46% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Dirkson R. Charles acquired 5,000 shares of Builders FirstSource stock in a transaction on Tuesday, May 27th. The shares were bought at an average cost of $109.67 per share, for a total transaction of $548,350.00. Following the completion of the purchase, the director now directly owns 5,000 shares of the company’s stock, valued at $548,350. The trade was a ∞ increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last three months, insiders have bought 505,000 shares of company stock valued at $56,032,120. 2.00% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on BLDR shares. Royal Bank of Canada restated an “outperform” rating and set a $132.00 price objective on shares of Builders FirstSource in a research report on Thursday, May 15th. BMO Capital Markets lowered their price target on Builders FirstSource from $146.00 to $135.00 and set a “market perform” rating on the stock in a report on Monday, May 5th. UBS Group lowered their price target on Builders FirstSource from $180.00 to $163.00 and set a “buy” rating on the stock in a report on Friday, May 2nd. Barclays cut their price target on Builders FirstSource from $151.00 to $137.00 and set an “overweight” rating for the company in a research note on Friday, May 2nd. Finally, Raymond James restated an “outperform” rating and set a $140.00 price target (down from $170.00) on shares of Builders FirstSource in a research note on Friday, May 2nd. Six equities research analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $167.58.

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.