Builders FirstSource (BLDR) closed at $126.94 in the latest trading session, marking a -1.15% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 0.01%. On the other hand, the Dow registered a loss of 0.13%, and the technology-centric Nasdaq decreased by 0.16%.
Prior to today's trading, shares of the construction supply company had gained 2.85% outpaced the Retail-Wholesale sector's loss of 4.56% and the S&P 500's loss of 0.28%.
The investment community will be paying close attention to the earnings performance of Builders FirstSource in its upcoming release. The company is slated to reveal its earnings on February 17, 2026. On that day, Builders FirstSource is projected to report earnings of $1.3 per share, which would represent a year-over-year decline of 43.72%. Our most recent consensus estimate is calling for quarterly revenue of $3.44 billion, down 10.05% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.06 per share and revenue of $15.27 billion, indicating changes of -38.93% and -6.9%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Builders FirstSource. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.94% lower. Builders FirstSource is holding a Zacks Rank of #4 (Sell) right now.
In terms of valuation, Builders FirstSource is currently trading at a Forward P/E ratio of 21.38. For comparison, its industry has an average Forward P/E of 16.73, which means Builders FirstSource is trading at a premium to the group.
We can additionally observe that BLDR currently boasts a PEG ratio of 16.07. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Building Products - Retail industry currently had an average PEG ratio of 8.33 as of yesterday's close.
The Building Products - Retail industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 229, positioning it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Builders FirstSource, Inc. (BLDR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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