Invesco Ltd. Increases Stock Position in Builders FirstSource, Inc. (NYSE:BLDR)

Key Points

• Invesco Ltd. increased its stake in Builders FirstSource, Inc. by 11.8%, owning approximately 2.28% of the company with shares valued at $314.8 million as of the most recent quarter.
• Other institutional investors, including Diamond Hill Capital Management and Voya Investment Management, also raised their holdings in Builders FirstSource, indicating increasing interest from hedge funds and institutions.
• Builders FirstSource announced a $500 million share buyback plan, signaling leadership’s belief that the stock is undervalued.

Invesco Ltd. raised its position in shares of Builders FirstSource, Inc. (NYSE:BLDR - Free Report) by 11.8% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 2,519,461 shares of the company's stock after buying an additional 265,873 shares during the quarter. Invesco Ltd. owned about 2.28% of Builders FirstSource worth $314,781,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also added to or reduced their stakes in the company. Diamond Hill Capital Management Inc. raised its holdings in Builders FirstSource by 16.8% in the first quarter. Diamond Hill Capital Management Inc. now owns 2,270,362 shares of the company's stock worth $283,659,000 after buying an additional 326,923 shares during the last quarter. Dimensional Fund Advisors LP raised its holdings in Builders FirstSource by 3.6% in the fourth quarter. Dimensional Fund Advisors LP now owns 2,237,996 shares of the company's stock worth $319,898,000 after buying an additional 77,666 shares during the last quarter. Voya Investment Management LLC raised its holdings in Builders FirstSource by 174.2% in the fourth quarter. Voya Investment Management LLC now owns 1,416,280 shares of the company's stock worth $202,374,000 after buying an additional 899,841 shares during the last quarter. Northern Trust Corp raised its holdings in Builders FirstSource by 10.2% in the fourth quarter. Northern Trust Corp now owns 1,139,775 shares of the company's stock worth $162,908,000 after buying an additional 105,158 shares during the last quarter. Finally, Robeco Institutional Asset Management B.V. raised its holdings in Builders FirstSource by 12.5% in the first quarter. Robeco Institutional Asset Management B.V. now owns 1,097,741 shares of the company's stock worth $137,152,000 after buying an additional 121,616 shares during the last quarter. Hedge funds and other institutional investors own 95.53% of the company's stock.

Insider Buying and Selling at Builders FirstSource

In related news, Director Dirkson R. Charles acquired 5,000 shares of the stock in a transaction dated Tuesday, May 27th. The shares were purchased at an average cost of $109.67 per share, with a total value of $548,350.00. Following the transaction, the director directly owned 5,000 shares in the company, valued at approximately $548,350. This represents a ∞ increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 1.80% of the stock is currently owned by insiders.

Builders FirstSource Trading Down 2.5%

Builders FirstSource stock opened at $128.96 on Tuesday. The business has a 50-day simple moving average of $123.22 and a two-hundred day simple moving average of $127.18. The company has a market cap of $14.26 billion, a P/E ratio of 19.57, a P/E/G ratio of 14.00 and a beta of 1.68. Builders FirstSource, Inc. has a 52-week low of $102.60 and a 52-week high of $203.14. The company has a quick ratio of 1.08, a current ratio of 1.79 and a debt-to-equity ratio of 1.12.

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 analysts' consensus estimates of $2.35 by $0.03. Builders FirstSource had a return on equity of 24.61% and a net margin of 4.74%. The firm had revenue of $4.23 billion for the quarter, compared to analysts' expectations of $4.29 billion. During the same period in the previous year, the firm earned $3.50 EPS. The business's quarterly revenue was down 5.0% on a year-over-year basis. Analysts predict that Builders FirstSource, Inc. will post 11.59 EPS for the current year.

Builders FirstSource declared that its board has authorized a share buyback plan on Thursday, May 1st that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to purchase up to 3.9% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's leadership believes its shares are undervalued.

Wall Street Analyst Weigh In

Several research firms recently commented on BLDR. Zelman & Associates reiterated an "underperform" rating on shares of Builders FirstSource in a report on Friday, July 18th. Raymond James Financial reiterated an "outperform" rating and issued a $140.00 price objective (down from $170.00) on shares of Builders FirstSource in a report on Friday, May 2nd. Barclays reduced their price objective on Builders FirstSource from $137.00 to $135.00 and set an "overweight" rating for the company in a report on Friday, August 1st. Baird R W downgraded Builders FirstSource from a "strong-buy" rating to a "hold" rating in a report on Friday, August 1st. Finally, Stifel Nicolaus lifted their price objective on Builders FirstSource from $118.00 to $128.00 and gave the stock a "hold" rating 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 given a buy rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $154.44.

About Builders FirstSource

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.