Jefferies analyst Philip Ng maintains $Builders FirstSource (BLDR.US)$ with a buy rating, and adjusts the target price from $185 to $223.
According to TipRanks data, the analyst has a success rate of 57.4% and a total average return of 10.2% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Builders FirstSource (BLDR.US)$'s main analysts recently are as follows:
Builders FirstSource, as a principal ally to professional homebuilders and construction experts, stands poised to benefit from a resurgence in new residential construction and from an increase in higher-margin value-added products. This positions the company for potential above-average growth in revenue and EBITDA in the forthcoming years. Moreover, there is an anticipated incremental rise in revenue and earnings projections through 2026.
The preference for building products over homebuilders is noted amidst a less certain earnings forecast for the upcoming quarter within the homebuilding and building products sector.
Analysts are adjusting their expectations for the building products sector due to short-term challenges, including adverse weather conditions and a decline in housing starts, which may result in volatile stock performance around earnings announcements. Nonetheless, analysts maintain a positive outlook towards 2025, anticipating that declining interest rates will facilitate a recovery. Stocks that have underperformed, including those in the materials and building sectors, are expected to experience a rebound in response to their earnings reports.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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