TopBuild (NYSE:BLD) Shares Gap Up on Strong Earnings

Shares of TopBuild Corp. (NYSE:BLD - Get Free Report) gapped up before the market opened on Tuesday following a stronger than expected earnings report. The stock had previously closed at $292.00, but opened at $311.03. TopBuild shares last traded at $295.65, with a volume of 49,560 shares traded.

The construction company reported $4.63 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.43 by $0.20. TopBuild had a net margin of 11.66% and a return on equity of 26.40%. The firm had revenue of $1.23 billion during the quarter, compared to analysts' expectations of $1.23 billion. During the same period in the previous year, the company earned $4.81 earnings per share. The company's revenue was down 3.6% compared to the same quarter last year.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on BLD. StockNews.com cut TopBuild from a "buy" rating to a "hold" rating in a research report on Wednesday, February 26th. The Goldman Sachs Group decreased their target price on TopBuild from $475.00 to $410.00 and set a "buy" rating for the company in a research report on Tuesday, January 14th. Deutsche Bank Aktiengesellschaft began coverage on shares of TopBuild in a research report on Tuesday, April 1st. They issued a "buy" rating and a $356.00 price target on the stock. DA Davidson decreased their price objective on shares of TopBuild from $435.00 to $395.00 and set a "buy" rating for the company in a report on Thursday. Finally, Benchmark dropped their target price on shares of TopBuild from $445.00 to $375.00 and set a "buy" rating on the stock in a report on Monday, March 3rd. Four research analysts have rated the stock with a hold rating and six have given a buy rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $380.22.

Institutional Investors Weigh In On TopBuild

A number of institutional investors have recently added to or reduced their stakes in the company. Deutsche Bank AG lifted its position in shares of TopBuild by 8.4% in the 1st quarter. Deutsche Bank AG now owns 130,611 shares of the construction company's stock worth $39,830,000 after acquiring an additional 10,097 shares during the period. Charles Schwab Investment Management Inc. lifted its position in TopBuild by 4.3% in the first quarter. Charles Schwab Investment Management Inc. now owns 262,487 shares of the construction company's stock worth $80,045,000 after purchasing an additional 10,899 shares during the period. Westwood Holdings Group Inc. boosted its stake in TopBuild by 5.7% during the first quarter. Westwood Holdings Group Inc. now owns 274,518 shares of the construction company's stock worth $83,714,000 after buying an additional 14,852 shares in the last quarter. McClarren Financial Advisors Inc. boosted its stake in TopBuild by 18.9% during the first quarter. McClarren Financial Advisors Inc. now owns 1,473 shares of the construction company's stock worth $449,000 after buying an additional 234 shares in the last quarter. Finally, PNC Financial Services Group Inc. increased its holdings in TopBuild by 9.6% in the 1st quarter. PNC Financial Services Group Inc. now owns 5,842 shares of the construction company's stock valued at $1,782,000 after buying an additional 512 shares during the period. 95.67% of the stock is owned by institutional investors and hedge funds.

TopBuild Trading Up 1.6 %

The business's 50 day moving average price is $296.74 and its 200-day moving average price is $326.76. The company has a market cap of $8.65 billion, a price-to-earnings ratio of 14.92, a PEG ratio of 1.82 and a beta of 1.72. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.49 and a current ratio of 2.01.

About TopBuild

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.