Builders FirstSource (NASDAQ: BLDR) is one of 25 publicly-traded companies in the “Construction Supplies & Fixtures” industry, but how does it contrast to its competitors? We will compare Builders FirstSource to similar companies based on the strength of its risk, analyst recommendations, dividends, earnings, valuation, institutional ownership and profitability.

Valuation and Earnings

This table compares Builders FirstSource and its competitors top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Builders FirstSource $6.67 billion $367.24 million 11.39
Builders FirstSource Competitors $2.53 billion $322.06 million 27.87

Builders FirstSource has higher revenue and earnings than its competitors. Builders FirstSource is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Builders FirstSource has a beta of 2.11, indicating that its share price is 111% more volatile than the S&P 500. Comparatively, Builders FirstSource’s competitors have a beta of 1.40, indicating that their average share price is 40% more volatile than the S&P 500.

Profitability

This table compares Builders FirstSource and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Builders FirstSource 2.60% 43.83% 4.71%
Builders FirstSource Competitors -23.94% 870.30% 5.72%

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Builders FirstSource and its competitors, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Builders FirstSource 0 2 4 0 2.67
Builders FirstSource Competitors 98 540 832 23 2.52

Builders FirstSource currently has a consensus price target of $17.33, indicating a potential upside of 0.13%. As a group, “Construction Supplies & Fixtures” companies have a potential upside of 15.59%. Given Builders FirstSource’s competitors higher possible upside, analysts clearly believe Builders FirstSource has less favorable growth aspects than its competitors.

Institutional & Insider Ownership

85.4% of Builders FirstSource shares are owned by institutional investors. Comparatively, 83.8% of shares of all “Construction Supplies & Fixtures” companies are owned by institutional investors. 14.6% of Builders FirstSource shares are owned by company insiders. Comparatively, 8.5% of shares of all “Construction Supplies & Fixtures” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Builders FirstSource beats its competitors on 8 of the 13 factors compared.

About Builders FirstSource

Builders FirstSource, Inc. is a supplier and manufacturer of building materials, manufactured components and construction services to professional contractors, sub-contractors, remodelers and consumers. The Company’s operating segments include Northeast, Southeast, South and West. As of December 31, 2016, it operated at 400 locations in 40 states across the United States. It offers an integrated solution to its customers providing manufacturing, supply and installation of a range of structural and related building products. Its manufactured products include factory-built roof and floor trusses, wall panels and stairs, vinyl windows, custom millwork and trim, as well as engineered wood that it designs, cuts and assembles for each home. It assembles interior and exterior doors into pre-hung units. Additionally, it supplies customers with offering of professional grade building products, such as dimensional lumber and lumber sheet goods, and various window, door and millwork lines.

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