TopBuild (NYSE:BLD) Hits New 1-Year High - Time to Buy?

Key Points

• TopBuild Corp. reached a new 52-week high with its shares trading at $429.96, marking a significant increase from the previous close of $415.09.
• Multiple analysts have recently updated their price targets for TopBuild, with most ratings indicating a consensus of "Moderate Buy" and a target price average of $394.67.
• The company reported an EPS of $5.31 for the last quarter, outperforming analyst expectations while experiencing a 5% year-over-year revenue decline.

Shares of TopBuild Corp. (NYSE:BLD - Get Free Report) reached a new 52-week high during mid-day trading on Wednesday . The company traded as high as $429.96 and last traded at $429.46, with a volume of 499007 shares. The stock had previously closed at $415.09.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on BLD shares. Bank of America lifted their target price on TopBuild from $320.00 to $400.00 and gave the company a "buy" rating in a research report on Wednesday, July 9th. Evercore ISI boosted their price objective on TopBuild from $347.00 to $418.00 and gave the company an "in-line" rating in a research report on Wednesday, August 6th. JPMorgan Chase & Co. boosted their target price on TopBuild from $344.00 to $398.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 9th. UBS Group set a $370.00 price objective on TopBuild and gave the stock a "hold" rating in a research note on Tuesday, August 5th. Finally, Seaport Res Ptn raised TopBuild from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, August 6th. Five research analysts have rated the stock with a hold rating, eight have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $394.67.

TopBuild Stock Down 1.0%

The stock has a market cap of $12.18 billion, a PE ratio of 21.30, a price-to-earnings-growth ratio of 5.78 and a beta of 1.63. The firm has a fifty day moving average of $359.33 and a 200 day moving average of $321.70. The company has a quick ratio of 2.29, a current ratio of 2.83 and a debt-to-equity ratio of 0.86.

TopBuild (NYSE:BLD - Get Free Report) last posted its earnings results on Tuesday, August 5th. The construction company reported $5.31 EPS for the quarter, beating the consensus estimate of $5.07 by $0.24. The firm had revenue of $1.30 billion for the quarter, compared to analyst estimates of $1.30 billion. TopBuild had a return on equity of 28.32% and a net margin of 11.40%. TopBuild's revenue for the quarter was down 5.0% compared to the same quarter last year. During the same quarter in the prior year, the company posted $5.42 earnings per share. On average, equities research analysts anticipate that TopBuild Corp. will post 20.97 EPS for the current fiscal year.

Insider Activity at TopBuild

In other TopBuild news, CFO Robert M. Kuhns sold 2,000 shares of the company's stock in a transaction on Friday, August 8th. The shares were sold at an average price of $416.10, for a total value of $832,200.00. Following the completion of the transaction, the chief financial officer owned 15,633 shares in the company, valued at $6,504,891.30. This represents a 11.34% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Robert M. Buck sold 7,350 shares of the stock in a transaction dated Thursday, August 7th. The stock was sold at an average price of $415.19, for a total transaction of $3,051,646.50. Following the sale, the chief executive officer owned 73,225 shares of the company's stock, valued at $30,402,287.75. This trade represents a 9.12% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 12,313 shares of company stock worth $5,118,903. Insiders own 0.43% of the company's stock.

Institutional Investors Weigh In On TopBuild

A number of hedge funds have recently added to or reduced their stakes in BLD. SVB Wealth LLC acquired a new stake in TopBuild in the first quarter valued at about $35,000. Migdal Insurance & Financial Holdings Ltd. acquired a new stake in TopBuild in the second quarter valued at about $35,000. MAI Capital Management lifted its position in TopBuild by 28.3% in the second quarter. MAI Capital Management now owns 118 shares of the construction company's stock valued at $38,000 after purchasing an additional 26 shares during the period. Parallel Advisors LLC increased its holdings in TopBuild by 111.5% in the first quarter. Parallel Advisors LLC now owns 129 shares of the construction company's stock valued at $39,000 after buying an additional 68 shares in the last quarter. Finally, Smartleaf Asset Management LLC increased its holdings in TopBuild by 100.0% in the second quarter. Smartleaf Asset Management LLC now owns 146 shares of the construction company's stock valued at $47,000 after buying an additional 73 shares in the last quarter. Institutional investors and hedge funds own 95.67% of the company's stock.

TopBuild Company Profile

TopBuild Corp., together with its subsidiaries, engages in the installation and distribution of insulation and other building material products to the construction industry. The company operates in two segments, Installation and Specialty Distribution. It provides insulation products and accessories, glass and windows, rain gutters, garage doors, fireplaces, roofing materials, closet shelving, and other products.