Penn Capital Management Company LLC Takes $347,000 Position in BlueLinx Holdings Inc. $BXC

Key Points

• Penn Capital Management Company LLC invested approximately $347,000 in BlueLinx Holdings Inc., acquiring 4,630 shares during the first quarter.
• BlueLinx's stock recently saw a 7.3% increase in value, with a market capitalization of $665.72 million and a P/E ratio of 25.04.
• The company's Board of Directors has authorized a $50 million share buyback plan, signaling potential management confidence in the stock's valuation.

Penn Capital Management Company LLC acquired a new position in shares of BlueLinx Holdings Inc. (NYSE:BXC - Free Report) in the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund acquired 4,630 shares of the construction company's stock, valued at approximately $347,000. Penn Capital Management Company LLC owned 0.06% of BlueLinx as of its most recent SEC filing.

A number of other hedge funds have also recently made changes to their positions in BXC. Exchange Traded Concepts LLC raised its holdings in shares of BlueLinx by 14.9% in the first quarter. Exchange Traded Concepts LLC now owns 3,113 shares of the construction company's stock valued at $233,000 after acquiring an additional 404 shares in the last quarter. GAMMA Investing LLC grew its stake in BlueLinx by 42,890.0% in the 1st quarter. GAMMA Investing LLC now owns 12,897 shares of the construction company's stock valued at $967,000 after acquiring an additional 12,867 shares during the period. SG Americas Securities LLC lifted its holdings in BlueLinx by 63.7% in the 1st quarter. SG Americas Securities LLC now owns 3,992 shares of the construction company's stock valued at $299,000 after purchasing an additional 1,554 shares in the last quarter. Nuveen LLC purchased a new position in shares of BlueLinx during the 1st quarter worth $59,497,000. Finally, Tower Research Capital LLC TRC raised its holdings in BlueLinx by 352.0% in the 4th quarter. Tower Research Capital LLC TRC now owns 1,469 shares of the construction company's stock valued at $150,000 after buying an additional 1,144 shares during the period. 90.83% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Several brokerages have commented on BXC. Benchmark dropped their price target on shares of BlueLinx from $110.00 to $83.00 and set a "buy" rating on the stock in a research note on Friday, August 1st. DA Davidson set a $75.00 target price on shares of BlueLinx and gave the company a "neutral" rating in a report on Monday, August 4th. Finally, Wall Street Zen downgraded shares of BlueLinx from a "hold" rating to a "sell" rating in a report on Friday, July 18th. Two analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $91.00.

BlueLinx Stock Performance

Shares of NYSE:BXC traded down $0.38 on Friday, reaching $82.40. 28,480 shares of the company's stock were exchanged, compared to its average volume of 99,110. The business's 50-day moving average is $78.38 and its two-hundred day moving average is $76.09. The firm has a market capitalization of $650.26 million, a price-to-earnings ratio of 24.45 and a beta of 1.74. The company has a quick ratio of 2.94, a current ratio of 4.55 and a debt-to-equity ratio of 0.96. BlueLinx Holdings Inc. has a fifty-two week low of $63.13 and a fifty-two week high of $134.79.

BlueLinx declared that its Board of Directors has initiated a share buyback plan on Tuesday, July 29th that authorizes the company to repurchase $50.00 million in shares. This repurchase authorization authorizes the construction company to reacquire up to 8% of its stock through open market purchases. Stock repurchase plans are often a sign that the company's leadership believes its stock is undervalued.

About BlueLinx

BlueLinx Holdings Inc, together with its subsidiaries, engages in the distribution of residential and commercial building products in the United States. It distributes specialty products, including engineered wood, siding, millwork, outdoor living, specialty lumber and panels, and industrial products; and structural products, such as lumber, plywood, oriented strand boards, rebars and remesh, as well as other wood products that are used for structural support in construction projects.