August 20, 2023 – Burney Co. has announced an increase in its stake in Builders FirstSource, Inc. (NYSE:BLDR) by 392.9% during the first quarter of this year. The company made this move, as reported in its recent 13F filing with the Securities and Exchange Commission (SEC), by purchasing an additional 27,659 shares, bringing their total holdings to 34,698 shares. At the end of the quarter, Burney Co.’s stake in Builders FirstSource was valued at $3,080,000.
Builders FirstSource is known for providing construction supplies and services to homebuilders and contractors across North America. With a strong presence in the industry, the company has displayed consistent growth over the years.
In other news related to Builders FirstSource, EVP Timothy D. Johnson sold 5,000 shares of the company’s stock on Monday, August 7th. The transaction took place at an average price of $151.69 per share, resulting in a total transaction value of $758,450. Following this sale, Johnson’s stake reduced to 65,748 shares valued at $9,973,314.12.
It is important to note that such transactions are required to be disclosed under SEC regulations in order to maintain transparency for investors and other stakeholders. Consequently, both the sale made by EVP Timothy D. Johnson and insider Jami Beckmann’s previous selling of 2,000 shares on June 6th have been published via official filings accessible through links provided by the SEC.
Insider selling is not uncommon amongst publicly traded companies and should not be viewed as a negative reflection on Builders FirstSource or its performance within the market. These transactions are often part of pre-arranged plans or personal financial decisions made by executives or insiders who may require liquidity for various reasons.
Over the last quarter alone, insiders have sold a total of 12,965 shares of Builders FirstSource stock with a combined value of $1,882,113. However, it is worth noting that corporate insiders hold just 1.90% of the company’s outstanding shares.
Builders FirstSource remains a prominent player in the construction industry and continues to provide valuable services to its clients. Investors and stakeholders should interpret these transactions within the context of broader market conditions and consider them as part of an executive’s overall financial management strategy.
As always, individuals interested in investing or trading in company stocks are advised to conduct thorough research and consult their financial advisors before making any decisions.
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Institutional Investors Show Growing Interest in Builders FirstSource as Stock Activity Rises
[stock_market_widget type=”chart” template=”basic” color=”#3946CE” assets=”BLDR” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” api=”yf”]In recent months, there has been significant activity among institutional investors in the stock of Builders FirstSource (NYSE: BLDR). Several notable institutions have entered into new positions or increased their holdings, indicating a growing interest in the company. UMB Bank n.a., for instance, purchased a new position in Builders FirstSource during the first quarter of this year for a sum of $28,000. Similarly, Massmutual Trust Co. FSB ADV raised its stake in the company by 179%, now owning 332 shares worth $29,000 after acquiring an additional 213 shares in the last quarter.
Benjamin Edwards Inc. and Benjamin F. Edwards & Company Inc. also made new investments in Builders FirstSource worth $28,000 and $48,000 respectively during different quarters. Denali Advisors LLC took a staggering leap by increasing its stake by 962.7% during the first quarter and now owns 542 shares valued at $48,000 after purchasing an additional 491 shares.
These moves reflect a considerable interest from institutional investors for Builders FirstSource stock as they seek to capitalize on potential gains in value or increase their exposure to the company’s growth prospects. It is worth noting that approximately 94.57% of the stock is now owned by institutional investors.
In addition to these investment activities, various equity research analysts have also provided insightful reports on Builders FirstSource (BLDR) shares. Royal Bank of Canada, for example, recently upgraded their price target from $162.00 to $188.00 and gave the stock an “outperform” rating.
Zelman & Associates followed suit by upgrading Builders FirstSource from a “hold” rating to a “buy” rating earlier this year. Meanwhile, financial news platform StockNews.com initiated coverage on the company with a “buy” rating.
Overall, four analysts have maintained hold ratings while ten have issued buy ratings for Builders FirstSource according to data from Bloomberg. The stock currently holds a consensus rating of “Moderate Buy” and an average target price of $147.17.
On Friday, the shares of Builders FirstSource (BLDR) opened at $134.14 on the New York Stock Exchange (NYSE). The company has a debt-to-equity ratio of 0.85 and currently possesses a market capitalization of $16.77 billion.
Builders FirstSource boasts a strong financial position with a low price-to-earnings ratio (P/E) of 10.39 and a beta of 1.99, indicating relative stability compared to the broader market. Over the past year, their stock has fluctuated between lows of $52.70 and highs of $156.85.
The company recently announced its quarterly earnings results for the period ending August 2nd, reporting earnings per share (EPS) of $3.89 for this quarter – surpassing the consensus estimate by $1.20 ($2.69). These impressive results can be attributed to a significant net margin of 10.04% and an impressive return on equity (ROE) rate of 45.73%.
Furthermore, Builders FirstSource generated revenues totaling $4.50 billion during this quarter, exceeding analysts’ expectations which hovered around $4.24 billion. However, it is essential to highlight that these figures represent a decrease of 35% compared to the same period last year.
Looking ahead, research analysts anticipate that Builders FirstSource will post earnings per share (EPS) of 13.18 for the current year – reaffirming their positive outlook for future profitability.
In conclusion, institutional investors’ recent activity in Builders FirstSource suggests growing confidence in its prospects and potential value appreciation over time. Coupled with encouraging reports from equity research analysts and robust quarterly earnings results, these factors indicate that Builders FirstSource remains in good standing within its industry as it continues to navigate the ever-changing market landscape.
