Builders FirstSource, Inc. (NYSE:BLDR) Position Boosted by Malaga Cove Capital LLC

Key Points

• Malaga Cove Capital LLC increased its stake in Builders FirstSource, Inc. by 65.4%, now holding stock valued at $616,000.
• Several institutional investors, including PNC Financial Services Group and Alberta Investment Management, have also significantly increased their positions, indicating strong institutional interest in Builders FirstSource.
• Builders FirstSource's recent earnings beat expectations with $2.38 EPS, despite a 5.0% decline in quarterly revenue year-over-year.

Malaga Cove Capital LLC boosted its stake in Builders FirstSource, Inc. (NYSE:BLDR - Free Report) by 65.4% during the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 4,932 shares of the company's stock after acquiring an additional 1,951 shares during the period. Malaga Cove Capital LLC's holdings in Builders FirstSource were worth $616,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the business. Voya Investment Management LLC increased its holdings in shares of Builders FirstSource by 174.2% during the 4th 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. FMR LLC increased its stake in shares of Builders FirstSource by 7.3% during the fourth 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. grew its position 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. Coliseum Capital Management LLC acquired a new position in Builders FirstSource in the 4th quarter worth approximately $45,334,000. Finally, GAMMA Investing LLC boosted its stake in shares of Builders FirstSource by 20,946.5% during the 1st quarter. GAMMA Investing LLC now owns 243,508 shares of the company's stock valued at $30,424,000 after buying an additional 242,351 shares during the period. Institutional investors and hedge funds own 95.53% of the company's stock.

Builders FirstSource Stock Performance

Shares of BLDR stock traded down $1.94 during midday trading on Monday, hitting $128.24. The company had a trading volume of 2,662,584 shares, compared to its average volume of 2,178,993. The company's 50 day simple moving average is $120.91 and its 200 day simple moving average is $128.40. Builders FirstSource, Inc. has a 52-week low of $102.60 and a 52-week high of $203.14. The stock has a market cap of $14.18 billion, a price-to-earnings ratio of 19.46, a PEG ratio of 11.90 and a beta of 1.68. The company has a debt-to-equity ratio of 1.12, a current ratio of 1.79 and a quick ratio of 1.08.

Builders FirstSource (NYSE:BLDR - Get Free Report) last posted its quarterly earnings results 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. The firm had revenue of $4.23 billion for the quarter, compared to the consensus estimate of $4.29 billion. Builders FirstSource had a return on equity of 24.61% and a net margin of 4.74%. The company's revenue for the quarter was down 5.0% compared to the same quarter last year. During the same period in the previous year, the business earned $3.50 earnings per share. Research analysts anticipate that Builders FirstSource, Inc. will post 11.59 earnings per share for the current fiscal year.

Builders FirstSource announced that its Board of Directors has authorized a share repurchase program 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 stock through open market purchases. Stock buyback programs are often a sign that the company's management believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on BLDR. Barclays cut their price objective on shares of Builders FirstSource from $137.00 to $135.00 and set an "overweight" rating for the company in a research report on Friday. 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 report on Friday, May 2nd. UBS Group dropped their price objective on shares of Builders FirstSource from $180.00 to $163.00 and set a "buy" rating for the company in a research note on Friday, May 2nd. Raymond James Financial reaffirmed an "outperform" rating and set a $140.00 price target (down from $170.00) on shares of Builders FirstSource in a report on Friday, May 2nd. Finally, DA Davidson dropped their price target on shares of Builders FirstSource from $135.00 to $125.00 and set a "neutral" rating on the stock in a research report on Monday. One investment analyst has rated the stock with a sell rating, nine have issued a hold rating and twelve have given a buy rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $156.16.

Insider Transactions at Builders FirstSource

In other Builders FirstSource news, Director Paul S. Levy purchased 283,517 shares of the business's stock in a transaction that occurred on Thursday, May 8th. The shares were acquired at an average price of $111.21 per share, for a total transaction of $31,529,925.57. Following the completion of the purchase, the director owned 1,672,687 shares in the company, valued at $186,019,521.27. The trade was a 20.41% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Dirkson R. Charles acquired 5,000 shares of the business's stock in a transaction on Tuesday, May 27th. The shares were purchased at an average price of $109.67 per share, for a total transaction of $548,350.00. Following the purchase, the director directly owned 5,000 shares of the company's stock, valued at $548,350. This represents a ∞ increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last three months, insiders have acquired 505,000 shares of company stock valued at $56,032,120. 1.80% of the stock is owned by company insiders.

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.