Builders FirstSource (BLDR)
Industrials · $7.1B market cap · SEC CIK 0001316835
ahead of 1% of the S&P 500 · #79 of 79 in Industrials
Next reports on Feb 15, 2027, before the open, with analysts expecting $0.52 in earnings per share.
52-week range $49.67 to $131.50. 52% below its 52-week high and 27% above its low.
The case for BLDR
- Free cash flow of 12.0% of its market value a year: a lot of cash for the price.
- Has compounded revenue at 12.2% a year over five years.
- Price/sales of 0.5× is lower than 100% of Industrials companies.
The case against
- Expensive for its growth: 175.0× earnings, where 4% a year of growth would justify about 14×.
- Revenue fell 8.3% year over year.
- Earnings per share down 92.8%.
- Down 42.6% over the past year.
- Operating profit covers its interest bill only 2.9 times.
- Return on equity of only 1%.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Industrials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings and cash, against the growth you get | 28 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 28 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 18 |
| Momentumhow the price has behaved lately | 15 |
| Stabilityhow violently it moves, what it owes and what it pays you | 23 |
- Each factor except momentum is half fixed thresholds, half rank among the 79 Industrials companies.
The financials
Revenue growth
Is the business growing? No, shrinking
| Last 12 months | −8.3% |
|---|---|
| Over 5 years | +12.2% a year |
| FY2025 revenue | $15.2B (−7%) |
Free cash flow
Is it generating real cash? Yes
| FY2025 free cash flow | $853M |
|---|---|
| Of revenue | 6% |
| Of profit | 196% |
Profit margins
Is profitability improving? No, slipping
| Gross margin | 28% |
|---|---|
| Operating margin | 2% |
| Net margin, FY24 → FY25 → now | 6.6% → 2.9% → 0.3% |
Debt vs. cash
Is the balance sheet healthy? Mostly, with some debt to carry
| Cash | $182M |
|---|---|
| Long-term debt | $4.4B |
| Net debt | $4.2B |
| Years to repay | 3.6 yrs |
Valuation
Is the stock price reasonable? Mixed: dear on earnings, cheap on cash
| P/E | 175.0× |
|---|---|
| Fair P/E for its growth | 14× |
| P/FCF | 8.3× |
| Forward P/E | 17.1× |
| EV / EBITDA | 12.9× |
At 175.0× earnings it trades well above the 14× that 4% a year of growth would justify. At 8.3× free cash flow it trades well below that same mark.
The financials, five years deep
Pulled from Builders FirstSource's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue growth | |||||
| Revenue | $15.2B | $16.4B | $17.1B | $22.7B | $19.9B |
| Change on the year | −7% | −4% | −25% | +14% | — |
| Free cash flow | |||||
| Free cash flow | $853M | $1.5B | $1.8B | $3.3B | $1.5B |
| Of revenue | 6% | 9% | 11% | 14% | 8% |
| Profit margins | |||||
| Gross margin | 30.4% | 32.8% | 35.2% | 34.1% | 29.4% |
| Operating margin | 5.2% | 9.7% | 12.7% | 16.6% | 12.0% |
| Net margin | 2.9% | 6.6% | 9.0% | 12.1% | 8.7% |
| Debt vs. cash | |||||
| Cash | $182M | $154M | $66.2M | $80.4M | $42.6M |
| Long-term debt | $4.4B | $3.7B | $3.2B | $3.0B | $2.9B |
| Net cash (debt) | −$4.2B | −$3.5B | −$3.1B | −$2.9B | −$2.9B |
Filings
The text of this 10-K could not be read automatically. The original is linked below.