Boise Cascade (NYSE:BCC) Hits New 1-Year Low - Should You 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%.

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

Wall Street Analysts Forecast Growth

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

Boise Cascade Price Performance

The company has a quick ratio of 1.54, a current ratio of 2.96 and a debt-to-equity ratio of 0.21. The company's 50 day moving average is $85.74 and its 200 day moving average is $90.09. The firm has a market capitalization of $2.96 billion, a price-to-earnings ratio of 11.65, a P/E/G ratio of 5.41 and a beta of 1.33.

Boise Cascade (NYSE:BCC - Get Free Report) last released its quarterly 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). Boise Cascade had a net margin of 4.00% and a return on equity of 12.26%. The business had revenue of $1.74 billion during the quarter, compared to analyst estimates of $1.76 billion. During the same quarter last year, the company posted $2.84 earnings per share. The company's revenue was down 3.2% on a year-over-year basis. On average, equities research analysts anticipate that Boise Cascade, L.L.C. will post 10.15 earnings per share for the current fiscal year.

Boise Cascade Increases Dividend

The firm also recently declared 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 annualized dividend and a dividend yield of 1.1%. This is a boost from Boise Cascade's previous quarterly dividend of $0.21. The ex-dividend date was Tuesday, September 2nd. Boise Cascade's dividend payout ratio is currently 12.92%.

Insider Activity at Boise Cascade

In other news, COO Jeffrey Robert Strom sold 1,000 shares of the stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $91.06, for a total value of $91,060.00. Following the completion of the transaction, the chief operating officer owned 37,026 shares of the company's stock, valued at approximately $3,371,587.56. This represents a 2.63% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, SVP Jill Twedt sold 1,782 shares of the stock in a transaction dated Wednesday, August 6th. The stock was sold at an average price of $83.97, for a total transaction of $149,634.54. Following the completion of the transaction, the senior vice president directly owned 32,867 shares of the company's stock, valued at $2,759,841.99. This trade represents a 5.14% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 4,815 shares of company stock worth $409,637. Corporate insiders own 1.11% of the company's stock.

Institutional Trading of Boise Cascade

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Norges Bank acquired a new stake in shares of Boise Cascade during the 2nd quarter worth approximately $39,818,000. Westwood Holdings Group Inc. lifted its stake in Boise Cascade by 25.7% during the 1st quarter. Westwood Holdings Group Inc. now owns 1,499,305 shares of the construction company's stock valued at $147,067,000 after acquiring an additional 306,684 shares in the last quarter. Bank of America Corp DE lifted its stake in Boise Cascade by 76.5% during the 2nd quarter. Bank of America Corp DE now owns 417,642 shares of the construction company's stock valued at $36,260,000 after acquiring an additional 181,025 shares in the last quarter. GAMMA Investing LLC raised its stake in shares of Boise Cascade by 15,650.6% during the 1st quarter. GAMMA Investing LLC now owns 143,015 shares of the construction company's stock worth $14,028,000 after purchasing an additional 142,107 shares during the period. Finally, M&G PLC bought a new stake in shares of Boise Cascade during the 2nd quarter worth $8,984,000. Institutional investors and hedge funds own 96.18% of the company's stock.

Boise Cascade Company Profile

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.