Boise Cascade (NYSE:BCC) Hits New 52-Week Low - Should You Sell?

Key Points

• Boise Cascade's stock hit a new 52-week low of $77.60 during trading, a decrease from its previous close of $78.97.
• Analysts have provided mixed evaluations, with recent price targets ranging from $96.00 to $100.00 and an average rating of "Moderate Buy."
• The company recently increased its quarterly dividend to $0.22 per share, reflecting a 1.1% yield and a payout ratio of 12.92%.

Boise Cascade, L.L.C. (NYSE:BCC - Get Free Report)'s stock price reached a new 52-week low during mid-day trading on Thursday . The company traded as low as $77.60 and last traded at $77.81, with a volume of 278607 shares changing hands. The stock had previously closed at $78.97.

Wall Street Analyst Weigh In

BCC has been the subject of a number of analyst reports. DA Davidson reduced their price objective on Boise Cascade from $115.00 to $100.00 and set a "buy" rating for the company in a research report on Friday, July 18th. BMO Capital Markets reissued a "market perform" rating and set a $100.00 price target on shares of Boise Cascade in a report on Tuesday, September 16th. Truist Financial reduced their price target on shares of Boise Cascade from $101.00 to $96.00 and set a "buy" rating for the company in a report on Wednesday, September 17th. Finally, Bank of America reduced their target price on shares of Boise Cascade from $111.00 to $107.00 and set a "buy" rating for the company in a research note on Wednesday, July 9th. Four equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $110.67.

Boise Cascade Trading Down 1.5%

The business's 50 day moving average price is $85.23 and its two-hundred day moving average price is $89.78. The company has a market capitalization of $2.91 billion, a price-to-earnings ratio of 11.43, a price-to-earnings-growth ratio of 5.37 and a beta of 1.33. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.54 and a current ratio of 2.96.

Boise Cascade (NYSE:BCC - Get Free Report) last issued its quarterly earnings results on Monday, August 4th. The construction company reported $1.64 earnings per share for the quarter, missing analysts' consensus estimates of $1.69 by ($0.05). The company had revenue of $1.74 billion during the quarter, compared to analyst estimates of $1.76 billion. Boise Cascade had a return on equity of 12.26% and a net margin of 4.00%.The company's revenue was down 3.2% on a year-over-year basis. During the same period in the prior year, the company posted $2.84 earnings per share. Equities analysts forecast that Boise Cascade, L.L.C. will post 10.15 earnings per share for the current fiscal year.

Boise Cascade Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, September 17th. Stockholders of record on Tuesday, September 2nd were issued a $0.22 dividend. This represents a $0.88 annualized dividend and a dividend yield of 1.1%. This is a positive change from Boise Cascade's previous quarterly dividend of $0.21. The ex-dividend date was Tuesday, September 2nd. Boise Cascade's payout ratio is currently 12.92%.

Insider Activity

In other Boise Cascade news, SVP Jill Twedt sold 1,782 shares of the company's stock in a transaction dated Wednesday, August 6th. The shares were sold at an average price of $83.97, for a total value of $149,634.54. Following the completion of the sale, the senior vice president directly owned 32,867 shares of the company's stock, valued at approximately $2,759,841.99. This represents a 5.14% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Troy Little sold 2,033 shares of the company's stock in a transaction dated Thursday, August 7th. The shares were sold at an average price of $83.10, for a total transaction of $168,942.30. Following the completion of the sale, the executive vice president directly owned 12,701 shares of the company's stock, valued at $1,055,453.10. The trade was a 13.80% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 4,815 shares of company stock worth $409,637 over the last 90 days. 0.98% of the stock is currently owned by company insiders.

Institutional Trading of Boise Cascade

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Cetera Investment Advisers lifted its position in shares of Boise Cascade by 34.8% during the 4th quarter. Cetera Investment Advisers now owns 2,706 shares of the construction company's stock valued at $322,000 after acquiring an additional 699 shares during the last quarter. Quantinno Capital Management LP purchased a new stake in shares of Boise Cascade during the fourth quarter valued at $200,000. Two Sigma Advisers LP lifted its holdings in shares of Boise Cascade by 22.8% during the fourth quarter. Two Sigma Advisers LP now owns 23,200 shares of the construction company's stock valued at $2,758,000 after purchasing an additional 4,300 shares during the last quarter. Voloridge Investment Management LLC lifted its holdings in shares of Boise Cascade by 80.9% during the fourth quarter. Voloridge Investment Management LLC now owns 15,702 shares of the construction company's stock valued at $1,866,000 after purchasing an additional 7,021 shares during the last quarter. Finally, Public Employees Retirement System of Ohio lifted its holdings in shares of Boise Cascade by 3.0% during the fourth quarter. Public Employees Retirement System of Ohio now owns 50,833 shares of the construction company's stock valued at $6,042,000 after purchasing an additional 1,471 shares during the last quarter. 96.18% of the stock is owned by institutional investors and hedge funds.

About Boise Cascade

Boise Cascade Company engages in manufacture of wood products and distribution of building materials in the United States and Canada. It operates through two segments, Wood Products and Building Materials Distribution. The Wood Products segment manufactures laminated veneer lumber and laminated beams used in headers and beams; I-joists for residential and commercial flooring and roofing systems, and other structural applications; structural, appearance, and industrial plywood panels; and ponderosa pine shop lumber and appearance grade boards.

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