Universal Forest Products Stock Rating Lowered by Zacks (UFPI)
Universal Forest Products (NASDAQ:UFPI) was downgraded by Zacks from an “outperform” rating to a “neutral” rating in a report issued on Thursday, AnalystRatingsNetwork.com reports. They currently have a $55.00 target price on the stock. Zacks‘ price objective indicates a potential upside of 5.49% from the stock’s previous close.
Zacks‘ analyst wrote, “Universal Forest’s focus on expansion through development of industrial business, entry into markets without adding capacities and accretive acquisitions are expected to be a boon. Addition of the SE Panel assets will enable the company to gain easy access into concrete forming and construction industries of the southeastern region of the United States. Also, the policy of rewarding shareholders through dividend payments is an added advantage. The recent 5% hike in the annual dividend rate is worth mentioning in this regard. Also, in the third quarter 2013, the company’s earnings more than doubled year over year to $0.71 per share while revenues grew 22%. Going forward, management anticipates improving its top-line growth by adding new customers and products to its portfolio. Anticipating that the company’s share price already discounts the impact of the positives discussed above, we have lowered our recommendation on Universal Forest from Outperform to Neutral.”
Several other analysts have also recently commented on the stock. Analysts at DA Davidson downgraded shares of Universal Forest Products from a “buy” rating to a “neutral” rating in a research note to investors on Thursday, October 17th. They now have a $52.00 price target on the stock, up previously from $46.00. They noted that the move was a valuation call. Analysts at Sterne Agee downgraded shares of Universal Forest Products from a “buy” rating to a “neutral” rating in a research note to investors on Thursday, October 17th. They now have a $47.00 price target on the stock, up previously from $45.00.
Universal Forest Products (NASDAQ:UFPI) traded down 1.71% during mid-day trading on Thursday, hitting $51.25. The stock had a trading volume of 30,829 shares. Universal Forest Products has a one year low of $33.23 and a one year high of $54.40. The stock has a 50-day moving average of $51.08 and a 200-day moving average of $44.48. The company has a market cap of $1.020 billion and a price-to-earnings ratio of 31.35.
Universal Forest Products (NASDAQ:UFPI) last posted its quarterly earnings results on Thursday, October 17th. The company reported $0.71 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.54 by $0.17. The company had revenue of $651.80 million for the quarter, compared to the consensus estimate of $625.77 million. During the same quarter in the prior year, the company posted $0.21 earnings per share. The company’s quarterly revenue was up 22.2% on a year-over-year basis.
Universal Forest Products, Inc is a holding company that provides capital, management and administrative resources to subsidiaries that design, manufacture and market wood and wood-alternative products for retail building home centers and other retailers, structural lumber and other products for the manufactured housing industry, engineered wood components for the residential construction market, and specialty wood packaging and components and packing materials for various industries.
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