Builders FirstSource, Inc. (NYSE:BLDR) Shares Sold by Baillie Gifford & Co.

Key Points

• Baillie Gifford & Co. reduced its stake in Builders FirstSource by 6.2%, holding approximately 1.37% of the company after selling over 100,000 shares.
• Insider activity saw Directors Dirkson R. Charles and Paul S. Levy purchasing significant shares, with Levy increasing his position by 20.41% after acquiring over 283,000 shares.
• Builders FirstSource has launched a $500 million stock buyback plan, a common strategy indicating that the Board believes its shares are undervalued.

Baillie Gifford & Co. cut its stake in Builders FirstSource, Inc. (NYSE:BLDR - Free Report) by 6.2% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 1,560,975 shares of the company's stock after selling 102,445 shares during the period. Baillie Gifford & Co. owned 1.37% of Builders FirstSource worth $195,028,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors also recently bought and sold shares of BLDR. Norges Bank acquired a new stake in Builders FirstSource during the 4th quarter valued at approximately $199,890,000. Voya Investment Management LLC lifted its stake in Builders FirstSource by 174.2% during the 4th quarter. Voya Investment Management LLC now owns 1,416,280 shares of the company's stock valued at $202,374,000 after acquiring an additional 899,841 shares during the period. FMR LLC lifted its stake in Builders FirstSource by 7.3% during the 4th quarter. FMR LLC now owns 10,898,366 shares of the company's stock valued at $1,557,703,000 after acquiring an additional 740,214 shares during the period. Diamond Hill Capital Management Inc. lifted its stake in Builders FirstSource by 16.8% during the 1st quarter. Diamond Hill Capital Management Inc. now owns 2,270,362 shares of the company's stock valued at $283,659,000 after acquiring an additional 326,923 shares during the period. Finally, Coliseum Capital Management LLC acquired a new stake in Builders FirstSource during the 4th quarter valued at approximately $45,334,000. 95.53% of the stock is currently owned by institutional investors and hedge funds.

Insider Transactions at Builders FirstSource

In related news, Director Paul S. Levy bought 283,517 shares of the firm's stock in a transaction on Thursday, May 8th. The shares were bought at an average price of $111.21 per share, with a total value of $31,529,925.57. Following the completion of the transaction, the director directly owned 1,672,687 shares of the company's stock, valued at $186,019,521.27. This represents a 20.41% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Dirkson R. Charles bought 5,000 shares of the firm's stock in a transaction on Tuesday, May 27th. The stock was bought at an average cost of $109.67 per share, for a total transaction of $548,350.00. Following the transaction, the director directly 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 disclosure for this purchase can be found here. Insiders acquired 505,000 shares of company stock worth $56,032,120 in the last ninety days. 1.80% of the stock is currently owned by corporate insiders.

Builders FirstSource Trading Down 1.9%

Shares of BLDR traded down $2.52 during mid-day trading on Tuesday, reaching $133.12. The stock had a trading volume of 605,577 shares, compared to its average volume of 1,910,459. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.82 and a quick ratio of 1.07. Builders FirstSource, Inc. has a 52-week low of $102.60 and a 52-week high of $203.14. The business's fifty day moving average is $118.98 and its 200 day moving average is $129.39. The firm has a market cap of $14.71 billion, a price-to-earnings ratio of 17.07, a P/E/G ratio of 12.48 and a beta of 1.69.

Builders FirstSource (NYSE:BLDR - Get Free Report) last announced its quarterly earnings data on Thursday, May 1st. The company reported $1.51 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.50 by $0.01. Builders FirstSource had a net margin of 5.66% and a return on equity of 28.02%. The firm had revenue of $3.66 billion during the quarter, compared to analyst estimates of $3.67 billion. During the same quarter in the prior year, the firm posted $2.65 earnings per share. Builders FirstSource's quarterly revenue was down 6.0% on a year-over-year basis. On average, sell-side analysts predict that Builders FirstSource, Inc. will post 11.59 EPS for the current fiscal year.

Builders FirstSource declared that its board has approved a share buyback plan on Thursday, May 1st that authorizes the company to repurchase $500.00 million in outstanding shares. This repurchase authorization authorizes the company to reacquire up to 3.9% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company's board of directors believes its stock is undervalued.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on the stock. Zelman & Associates reiterated an "underperform" rating on shares of Builders FirstSource in a research note on Friday, July 18th. Royal Bank Of Canada reiterated an "outperform" rating and issued a $132.00 target price on shares of Builders FirstSource in a research note on Thursday, May 15th. Barclays decreased their target price on shares of Builders FirstSource from $151.00 to $137.00 and set an "overweight" rating for the company in a research note on Friday, May 2nd. Raymond James Financial reiterated an "outperform" rating and issued a $140.00 target price (down from $170.00) on shares of Builders FirstSource in a research note on Friday, May 2nd. Finally, Stephens decreased their target price on shares of Builders FirstSource from $145.00 to $140.00 and set an "overweight" rating for the company in a research note on Friday, May 2nd. One research analyst has rated the stock with a sell rating, five have given a hold rating, fifteen have issued a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $159.42.

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.