Crown Advisors Management Inc. Sells 20,000 Shares of Builders FirstSource, Inc. (NYSE:BLDR)

Key Points

• Crown Advisors Management Inc. reduced its stake in Builders FirstSource, Inc. by 66.7%, owning 10,000 shares after selling 20,000 shares in the first quarter.
• Builders FirstSource reported $2.38 earnings per share for the quarter, beating estimates by $0.03, despite a 5.0% decrease in revenue compared to the previous year.
• The company has approved a $500 million share buyback plan, signaling confidence from the board that its stock is undervalued.

Crown Advisors Management Inc. lessened its stake in shares of Builders FirstSource, Inc. (NYSE:BLDR - Free Report) by 66.7% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 10,000 shares of the company's stock after selling 20,000 shares during the period. Crown Advisors Management Inc.'s holdings in Builders FirstSource were worth $1,249,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Voya Investment Management LLC grew its position in Builders FirstSource by 174.2% during the fourth quarter. Voya Investment Management LLC now owns 1,416,280 shares of the company's stock valued at $202,374,000 after purchasing an additional 899,841 shares in the last quarter. Diamond Hill Capital Management Inc. grew its position in Builders FirstSource by 16.8% during the first quarter. Diamond Hill Capital Management Inc. now owns 2,270,362 shares of the company's stock valued at $283,659,000 after purchasing an additional 326,923 shares in the last quarter. Coliseum Capital Management LLC purchased a new position in Builders FirstSource during the fourth quarter valued at approximately $45,334,000. Nuveen LLC purchased a new position in Builders FirstSource during the first quarter valued at approximately $36,339,000. Finally, Invesco Ltd. increased its holdings in Builders FirstSource by 11.8% in the first quarter. Invesco Ltd. now owns 2,519,461 shares of the company's stock worth $314,781,000 after buying an additional 265,873 shares during the last quarter. Institutional investors and hedge funds own 95.53% of the company's stock.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the company. Stephens dropped their price objective on Builders FirstSource from $145.00 to $140.00 and set an "overweight" rating on the stock in a report on Friday, May 2nd. Barclays dropped their price objective on Builders FirstSource from $137.00 to $135.00 and set an "overweight" rating on the stock in a report on Friday, August 1st. Wall Street Zen downgraded Builders FirstSource from a "hold" rating to a "sell" rating in a report on Saturday, August 9th. Zelman & Associates restated an "underperform" rating on shares of Builders FirstSource in a report on Friday, July 18th. Finally, Royal Bank Of Canada downgraded Builders FirstSource from an "outperform" rating to a "sector perform" rating and dropped their price objective for the stock from $132.00 to $129.00 in a report on Friday, August 1st. Two equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating and eleven have issued a buy rating to the company. Based on data from MarketBeat, Builders FirstSource has a consensus rating of "Hold" and an average target price of $154.44.

Insider Buying and Selling at Builders FirstSource

In other Builders FirstSource news, Director Dirkson R. Charles acquired 5,000 shares of Builders FirstSource stock in a transaction dated Tuesday, May 27th. The stock was bought at an average cost of $109.67 per share, with a total value of $548,350.00. Following the completion of the transaction, the director owned 5,000 shares of the company's stock, valued at $548,350. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 2.00% of the company's stock.

Builders FirstSource Stock Performance

Shares of BLDR traded down $1.13 during mid-day trading on Friday, hitting $137.02. The company's stock had a trading volume of 1,351,036 shares, compared to its average volume of 2,289,163. Builders FirstSource, Inc. has a one year low of $102.60 and a one year high of $203.14. The company has a debt-to-equity ratio of 1.12, a quick ratio of 1.08 and a current ratio of 1.79. The firm has a market capitalization of $15.15 billion, a PE ratio of 20.79, a price-to-earnings-growth ratio of 14.63 and a beta of 1.68. The stock's 50-day moving average is $125.41 and its two-hundred day moving average is $126.90.

Builders FirstSource (NYSE:BLDR - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The company reported $2.38 earnings per share for the quarter, beating the consensus estimate of $2.35 by $0.03. Builders FirstSource had a return on equity of 24.61% and a net margin of 4.74%. The company had revenue of $4.23 billion during the quarter, compared to analysts' expectations of $4.29 billion. During the same period in the prior year, the business earned $3.50 earnings per share. Builders FirstSource's revenue for the quarter was down 5.0% compared to the same quarter last year. As a group, sell-side analysts anticipate that Builders FirstSource, Inc. will post 11.59 EPS for the current year.

Builders FirstSource declared that its Board of Directors has approved a stock repurchase program on Thursday, May 1st that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the company to purchase up to 3.9% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company's board of directors believes its shares are undervalued.

Builders FirstSource 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.