Boise Cascade (NYSE:BCC) Hits New 12-Month Low - Time to Sell?

Key Points

• Boise Cascade hit a new 52-week low of $79.88 during trading, down from a previous close of $81.52, with analysts currently recommending a mix of buy and hold ratings.
• The company recently reported Q2 earnings of $1.64 per share, falling short of expectations, with revenues declining 3.2% year-over-year to $1.74 billion.
• Boise Cascade increased its quarterly dividend to $0.22 per share, marking a boost from the previous $0.21, representing an annualized yield of 1.1%.

Shares of Boise Cascade, L.L.C. (NYSE:BCC - Get Free Report) reached a new 52-week low during trading on Friday . The stock traded as low as $79.88 and last traded at $79.88, with a volume of 157456 shares trading hands. The stock had previously closed at $81.52.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on BCC shares. DA Davidson reduced their target price on shares of Boise Cascade from $115.00 to $100.00 and set a "buy" rating for the company in a report on Friday, July 18th. BMO Capital Markets restated a "market perform" rating and set a $100.00 target price on shares of Boise Cascade in a report on Tuesday, September 16th. 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 report on Wednesday, July 9th. Finally, 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 research report on Wednesday, September 17th. Four equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $110.67.

Boise Cascade Stock Performance

The company has a current ratio of 2.96, a quick ratio of 1.54 and a debt-to-equity ratio of 0.21. The firm has a 50-day simple moving average of $85.54 and a two-hundred day simple moving average of $89.94. The company has a market capitalization of $2.97 billion, a price-to-earnings ratio of 11.67, a price-to-earnings-growth ratio of 5.41 and a beta of 1.33.

Boise Cascade (NYSE:BCC - Get Free Report) last posted its earnings results on Monday, August 4th. The construction company reported $1.64 EPS for the quarter, missing the consensus estimate of $1.69 by ($0.05). The business had revenue of $1.74 billion during the quarter, compared to the consensus estimate of $1.76 billion. Boise Cascade had a return on equity of 12.26% and a net margin of 4.00%.The business's revenue was down 3.2% on a year-over-year basis. During the same period in the prior year, the firm earned $2.84 earnings per share. As a group, sell-side 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 business also recently disclosed a quarterly dividend, which was paid on Wednesday, September 17th. Investors of record on Tuesday, September 2nd were paid a $0.22 dividend. This represents a $0.88 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend was Tuesday, September 2nd. This is a positive change from Boise Cascade's previous quarterly dividend of $0.21. Boise Cascade's dividend payout ratio (DPR) is 12.92%.

Insider Buying and Selling

In other news, SVP Jill Twedt sold 1,782 shares of the company's stock in a transaction that occurred on Wednesday, August 6th. The stock was sold at an average price of $83.97, for a total value of $149,634.54. Following the sale, the senior vice president directly owned 32,867 shares in the company, valued at approximately $2,759,841.99. This represents a 5.14% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, EVP Troy Little sold 2,033 shares of the firm's stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $83.10, for a total transaction of $168,942.30. Following the sale, the executive vice president directly owned 12,701 shares of the company's stock, valued at approximately $1,055,453.10. The trade was a 13.80% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 4,815 shares of company stock worth $409,637 in the last quarter. 1.11% of the stock is currently owned by company insiders.

Institutional Trading of Boise Cascade

A number of hedge funds and other institutional investors have recently modified their holdings of BCC. Huntington National Bank lifted its position in Boise Cascade by 630.0% during the 2nd quarter. Huntington National Bank now owns 438 shares of the construction company's stock valued at $38,000 after purchasing an additional 378 shares during the period. Northwestern Mutual Wealth Management Co. boosted its position in Boise Cascade by 120.7% during the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 406 shares of the construction company's stock worth $40,000 after acquiring an additional 222 shares during the last quarter. RMG Wealth Management LLC bought a new position in Boise Cascade in the second quarter valued at $42,000. Farther Finance Advisors LLC lifted its position in Boise Cascade by 338.5% during the 1st quarter. Farther Finance Advisors LLC now owns 478 shares of the construction company's stock worth $47,000 after buying an additional 369 shares in the last quarter. Finally, Blue Trust Inc. increased its holdings in Boise Cascade by 93.7% during the first quarter. Blue Trust Inc. now owns 918 shares of the construction company's stock worth $90,000 after buying an additional 444 shares during the last quarter. Institutional investors and hedge funds own 96.18% of the company's stock.

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.