[Executive Summary and Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) Builders FirstSource reported durable Q2 2025 results with a **5.0%** decrease in net sales to **$4.2 billion**, driven by market challenges, margin normalization, and lower housing starts, yet maintained strong free cash flow and disciplined execution - CEO Peter Jackson highlighted the company's focus on controllable factors such as customer service, technology, and disciplined management to navigate the challenging market and strengthen its industry position for long-term value creation[1](index=1&type=chunk) - CFO Pete Beckmann emphasized the strength and adaptability of the operating model, which continues to generate strong free cash flow and preserve financial flexibility for disciplined capital deployment[1](index=1&type=chunk) Q2 2025 Key Performance Indicators (Y-o-Y) | Metric | Q2 2025 | Change (Y-o-Y) | | :--- | :--- | :--- | | Net Sales | $4.2 billion | -5.0% | | Gross Profit Margin | 30.7% | -210 bps | | Net Income | $185.0 million | -46.2% | | Diluted EPS | $1.66 | -42.2% | | Adjusted EBITDA | $506.1 million | -24.4% | | Adjusted EBITDA Margin | 12.0% | -300 bps | | Free Cash Flow | $255.0 million | -30.5% | | Shares Repurchased | 3.3 million | - | [Financial Performance Analysis](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Performance%20Highlights) The company's Q2 2025 financial performance saw net sales decline **5.0%** to **$4.2 billion** due to market headwinds and an **8.5%** drop in core organic sales, leading to compressed profitability with gross margin at **30.7%** and Adjusted EBITDA margin at **12.0%** [Net Sales](index=2&type=section&id=Net%20Sales) Q2 2025 net sales decreased **5.0%** to **$4.2 billion**, primarily due to an **8.5%** drop in core organic sales across Multi-Family and Single-Family segments, partially offset by acquisitions Q2 2025 Net Sales Change Breakdown (Y-o-Y) | Component | Percentage Change | | :--- | :--- | | Core Organic Net Sales | -8.5% | | Commodity Deflation | -1.5% | | Acquisitions | +5.0% | | **Total Net Sales** | **-5.0%** | Q2 2025 Core Organic Net Sales Change by End Market (Y-o-Y) | End Market | Percentage Change | | :--- | :--- | | Multi-Family | -23.3% | | Single-Family | -9.1% | | R&R/Other | +3.0% | [Profitability](index=2&type=section&id=Gross%20Profit) Q2 2025 profitability declined significantly, with gross profit falling **11.2%** to **$1.3 billion**, net income decreasing **46.2%** to **$185.0 million**, and Adjusted EBITDA dropping **24.4%** to **$506.1 million** Q2 2025 Profitability Metrics (Y-o-Y) | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | Gross Profit | $1.3 billion | $1.46 billion | -11.2% | | Gross Margin | 30.7% | 32.8% | -210 bps | | Net Income | $185.0 million | $344.1 million | -46.2% | | Diluted EPS | $1.66 | $2.87 | -42.2% | | Adjusted Net Income | $264.3 million | $420.4 million | -37.1% | | Adjusted Diluted EPS | $2.38 | $3.50 | -32.0% | | Adjusted EBITDA | $506.1 million | $669.7 million | -24.4% | | Adjusted EBITDA Margin | 12.0% | 15.0% | -300 bps | [Operating Expenses and Other](index=2&type=section&id=Selling%2C%20General%20and%20Administrative%20Expenses) SG&A expenses increased **1.5%** to **$987.8 million**, rising to **23.3%** of net sales, while net interest expense grew to **$72.0 million** and the effective tax rate increased to **22.7%** - SG&A increased **1.5% to $987.8 million**, representing **23.3% of net sales**, up **150 basis points** from the prior year due to reduced operating leverage[5](index=5&type=chunk) - Net interest expense rose by **$20.0 million to $72.0 million**, primarily due to higher average debt balances[6](index=6&type=chunk) - The effective tax rate increased by **140 basis points** year-over-year to **22.7%**, mainly due to a lower stock-based compensation windfall benefit[7](index=7&type=chunk) [Capital Management and Liquidity](index=3&type=section&id=Capital%20Structure%2C%20Leverage%2C%20and%20Liquidity%20Information) The company maintained strong liquidity of **$1.6 billion** and generated **$255.0 million** in free cash flow, while its net debt to LTM Adjusted EBITDA ratio increased to **2.3x**, supported by strategic debt issuance and share repurchases - Total liquidity as of June 30, 2025, was approximately **$1.6 billion**, consisting of **$1.54 billion** in borrowing availability and **$87 million** in cash[13](index=13&type=chunk) - The net debt to LTM Adjusted EBITDA ratio was **2.3x**, with net debt at **$4.6 billion** and LTM Adjusted EBITDA at **$2.0 billion**[13](index=13&type=chunk) - In Q2, the company repurchased **3.3 million shares for $390.9 million**. Since August 2021, it has repurchased **48.1% of its total shares outstanding for $8.0 billion**[13](index=13&type=chunk) - Completed a **$750 million offering of 6.750% senior notes due 2035** and amended its ABL facility, increasing commitments to **$2.2 billion** and extending maturity to May 2030[13](index=13&type=chunk) [Operational Excellence and Productivity](index=3&type=section&id=Productivity%20Savings%20From%20Operational%20Excellence) The company achieved **$5 million in Q2 2025 productivity savings**, bringing year-to-date totals to **$22 million**, with full-year 2025 savings projected between **$45 million and $65 million** - Delivered approximately **$5 million in productivity savings** in Q2 2025[13](index=13&type=chunk) - Year-to-date productivity savings total approximately **$22 million**[13](index=13&type=chunk) - The company expects to achieve **$45 million to $65 million in total productivity savings** in 2025[13](index=13&type=chunk) [Full Year 2025 Outlook and Assumptions](index=3&type=section&id=2025%20Full%20Year%20Total%20Company%20Outlook) Builders FirstSource projects full-year 2025 net sales between **$14.8 billion and $15.6 billion**, Adjusted EBITDA between **$1.5 billion and $1.7 billion**, and free cash flow between **$0.8 billion and $1.0 billion**, assuming continued market softness in housing starts Full Year 2025 Outlook | Metric | 2025 Guidance Range | | :--- | :--- | | Net Sales | $14.8B - $15.6B | | Gross Profit Margin | 29.0% - 30.5% | | Adjusted EBITDA | $1.5B - $1.7B | | Adjusted EBITDA Margin | 10.1% - 10.9% | | Free Cash Flow | $0.8B - $1.0B | Full Year 2025 Key Assumptions | Assumption | Projected Change/Value | | :--- | :--- | | Single-Family Starts | Down 10% - 12% | | Multi-Family Starts | Down mid-teens | | R&R | Flat | | Acquisition Net Sales Growth | +5.0% to +5.5% | | Total Capital Expenditures | $300M - $350M | | Interest Expense | $270M - $280M | | Effective Tax Rate | 23.0% - 25.0% | [Company and Investor Information](index=4&type=section&id=Conference%20Call) The company will host a Q2 2025 earnings conference call on July 31, 2025, and participate in September investor conferences, reinforcing its position as the largest U.S. building products supplier with approximately **585 locations in 43 states** - A conference call to discuss Q2 2025 financial results is scheduled for Thursday, July 31, 2025, at 8:00 a.m. Central Time[15](index=15&type=chunk) - Management will participate in the Goldman Sachs Consumer/Retail Conference on September 3, 2025, and the Jefferies Industrials Conference on September 4, 2025[17](index=17&type=chunk) - Builders FirstSource is described as the largest U.S. supplier of building products, prefabricated components, and value-added services, operating approximately **585 locations in 43 states**[18](index=18&type=chunk)[20](index=20&type=chunk) [Financial Statements](index=8&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENT%20OF%20OPERATIONS) The unaudited condensed consolidated financial statements for Q2 2025 show a year-over-year decline in net income, lower operating cash flow, significant cash used for share repurchases, and an increase in total assets and liabilities due to acquisitions and debt issuance [Condensed Consolidated Statement of Operations](index=8&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENT%20OF%20OPERATIONS) For the three months ended June 30, 2025, net sales decreased to **$4.23 billion**, with net income falling to **$185.0 million** and diluted EPS to **$1.66**, reflecting a significant year-over-year decline Statement of Operations Summary (Three Months Ended June 30) | (in thousands) | 2025 | 2024 | | :--- | :--- | :--- | | Net sales | $4,234,064 | $4,456,340 | | Gross margin | $1,299,041 | $1,462,684 | | Income from operations | $311,287 | $489,483 | | Net income | $185,031 | $344,090 | | Diluted EPS | $1.66 | $2.87 | [Condensed Consolidated Statement of Cash Flows](index=9&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENT%20OF%20CASH%20FLOWS) For the six months ended June 30, 2025, net cash provided by operating activities decreased to **$473.4 million**, while investing activities used **$1.06 billion** primarily for acquisitions, and financing activities provided **$519.5 million**, offsetting share repurchases Cash Flow Summary (Six Months Ended June 30) | (in thousands) | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $473,368 | $769,271 | | Net cash used in investing activities | ($1,059,473) | ($315,625) | | Net cash provided by (used in) financing activities | $519,501 | ($444,233) | | Net change in cash and cash equivalents | ($66,604) | $9,413 | [Condensed Consolidated Balance Sheet](index=10&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEET) As of June 30, 2025, total assets increased to **$11.46 billion** and total liabilities rose to **$7.29 billion**, primarily due to long-term debt, while stockholders' equity slightly decreased to **$4.18 billion** Balance Sheet Summary | (in thousands) | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Total current assets | $3,287,617 | $3,141,239 | | Total assets | $11,464,555 | $10,583,086 | | Total current liabilities | $1,834,631 | $1,777,276 | | Long-term debt, net | $4,669,983 | $3,700,643 | | Total liabilities | $7,286,463 | $6,286,616 | | Total stockholders' equity | $4,178,092 | $4,296,470 | [Non-GAAP Financial Measures and Reconciliations](index=5&type=section&id=Non-GAAP%20Financial%20Measures) The company provides non-GAAP measures such as Adjusted EBITDA, Adjusted Net Income, and Free Cash Flow, with detailed reconciliations, to offer a clearer view of operational performance by excluding specific non-cash or special items [Reconciliation of GAAP Net Income to Adjusted Net Income](index=11&type=section&id=Reconciliation%20of%20GAAP%20Net%20Income%20to%20Adjusted%20Net%20Income) For Q2 2025, GAAP net income of **$185.0 million** was adjusted for items like amortization and technology implementation, resulting in an Adjusted Net Income of **$264.3 million**, a decrease from Q2 2024 Q2 Reconciliation: GAAP Net Income to Adjusted Net Income (in millions) | Line Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **GAAP net income** | **$185.0** | **$344.1** | | Amortization expense | $73.9 | $81.0 | | Technology implementation expense | $28.8 | $17.5 | | Other adjustments | $1.6 | $1.9 | | Tax-effect of adjustments | ($25.0) | ($24.1) | | **Adjusted net income** | **$264.3** | **$420.4** | [Reconciliation of GAAP Net Income to Adjusted EBITDA](index=11&type=section&id=Reconciliation%20of%20GAAP%20Net%20Income%20to%20Adjusted%20EBITDA) Adjusted EBITDA for Q2 2025 was **$506.1 million**, reconciled from GAAP net income of **$185.0 million** by adding back items such as interest, taxes, D&A, stock compensation, and technology implementation expenses, representing a decrease from Q2 2024 Q2 Reconciliation: GAAP Net Income to Adjusted EBITDA (in millions) | Line Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **GAAP net income** | **$185.0** | **$344.1** | | Interest, Taxes, D&A | $300.6 | $312.8 | | Stock compensation expense | $16.2 | $16.7 | | Technology implementation expense | $28.8 | $17.5 | | Other adjustments | $5.5 | $2.8 | | **Adjusted EBITDA** | **$506.1** | **$669.7** | [Reconciliation of GAAP SG&A to Adjusted SG&A](index=12&type=section&id=Reconciliation%20of%20GAAP%20Selling%2C%20General%20%26%20Administrative%20Expenses%20to%20Adjusted%20Selling%2C%20General%20%26%20Administrative%20Expenses) GAAP SG&A of **$987.8 million** for Q2 2025 was adjusted to **$818.4 million**, with key deductions including amortization and technology implementation costs, resulting in Adjusted SG&A as **19.3%** of sales, up from the prior year Q2 Reconciliation: GAAP SG&A to Adjusted SG&A (in millions) | Line Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **GAAP SG&A expense** | **$987.8** | **$973.2** | | Less: D&A, Stock Comp, etc. | ($168.6) | ($158.2) | | **Adjusted SG&A expense** | **$818.4** | **$814.6** | | Adjusted SG&A as % of sales | 19.3% | 18.3% | [Interest Reconciliation and Free Cash Flow](index=12&type=section&id=Interest%20Reconciliation) As of June 30, 2025, total net debt was **$4.64 billion** with a Q2 interest expense of **$72.3 million**, while free cash flow for the quarter was **$255.0 million**, derived from operating cash flow less net capital expenditures - As of June 30, 2025, total net debt was **$4.64 billion**, resulting in a Q2 interest expense of **$72.3 million**[44](index=44&type=chunk) Free Cash Flow Calculation (in millions) | Line Item | Q2 2025 | H1 2025 | | :--- | :--- | :--- | | Cash from Operating Activities | $341.0 | $473.4 | | Less: Capital expenditures, net | ($86.0) | ($173.3) | | **Free cash flow** | **$255.0** | **$300.1** | [Supplemental Data](index=13&type=section&id=Sales%20by%20Product%20Category) This section details Q2 2025 net sales by product category, showing Value-added products as the largest segment at **46.8%**, followed by Lumber & lumber sheet goods and Specialty building products & services [Sales by Product Category](index=13&type=section&id=Sales%20by%20Product%20Category) In Q2 2025, most product categories experienced year-over-year sales declines, with Value-added products down **8.7%** and Lumber & Lumber Sheet Goods down **4.9%**, while Specialty Building Products & Services grew **2.2%** Net Sales by Product Category (Three Months Ended June 30) | (in millions) | 2025 Net Sales | 2024 Net Sales | % Change | | :--- | :--- | :--- | :--- | | Manufactured products | $953.1 | $1,056.1 | (9.8)% | | Windows, doors & millwork | $1,030.0 | $1,114.9 | (7.6)% | | **Value-added products (Subtotal)** | **$1,983.1** | **$2,171.0** | **(8.7)%** | | Specialty building products & services | $1,117.8 | $1,093.6 | 2.2% | | Lumber & lumber sheet goods | $1,133.2 | $1,191.7 | (4.9)% | | **Total net sales** | **$4,234.1** | **$4,456.3** | **(5.0)%** |

Core Viewpoint - Builders FirstSource, Inc. (BLDR) is expected to report second-quarter 2025 results on July 31, with anticipated declines in both earnings and net sales due to ongoing challenges in the housing market and margin pressures [1][5][9]. Financial Performance - In the last reported quarter, BLDR's adjusted earnings per share (EPS) exceeded the Zacks Consensus Estimate by 0.7%, while net sales fell short by 0.8%. Year-over-year, net sales and EPS decreased by 6% and 43%, respectively [1][2]. - The Zacks Consensus Estimate for BLDR's second-quarter EPS has increased to $2.35 from $2.33, reflecting a 32.9% decline from $3.50 in the same quarter last year. Net sales are projected at $4.24 billion, down 4.9% from $4.46 billion reported a year ago [3][9]. Sales and Market Conditions - The anticipated decline in net sales is attributed to significant decreases in the multi-family and single-family customer segments, along with reduced sales volume in manufactured products and windows, doors, and millwork categories [4][5]. - The housing market remains soft due to high mortgage rates and inflationary pressures, which are expected to negatively impact BLDR's top-line results. The company forecasts net sales between $4.1 billion and $4.4 billion for the quarter, down from $4.5 billion a year ago [5][6]. Earnings Outlook - BLDR's bottom line is expected to decline year-over-year due to margin normalization in single-family and multi-family segments, alongside a challenging housing starts environment. Reduced operating leverage and ongoing pressures in commodity product categories are also anticipated to affect margins [7][9]. - The company expects adjusted EBITDA to range from $475 million to $525 million, a decrease from $669.7 million reported in the previous year, with tariff cost impacts contributing to the headwinds [8][9]. Earnings Prediction Model - The current model does not predict an earnings beat for BLDR, as it has an Earnings ESP of -2.07% and a Zacks Rank of 3, indicating a neutral outlook [10][11].

Company Performance - Builders FirstSource (BLDR) closed at $121.90, reflecting a -1.02% change from the previous day, underperforming the S&P 500's gain of 0.14% [1] - Over the past month, shares of Builders FirstSource have increased by 7.25%, while the Retail-Wholesale sector and the S&P 500 gained 4.28% and 5.35%, respectively [1] Upcoming Earnings - The earnings report for Builders FirstSource is scheduled for July 31, 2025, with projected earnings per share (EPS) of $2.33, indicating a 33.43% decrease from the same quarter last year [2] - Revenue is anticipated to be $4.23 billion, reflecting a 5.09% decline from the same quarter last year [2] Full Year Estimates - For the full year, the Zacks Consensus Estimates project earnings of $8.32 per share and revenue of $16.11 billion, showing changes of -28.03% and -1.79% from the previous year, respectively [3] Analyst Estimates and Rankings - Recent changes in analyst estimates for Builders FirstSource are crucial as they reflect near-term business trends, with positive revisions indicating optimism about the business outlook [3] - Builders FirstSource currently holds a Zacks Rank of 3 (Hold), with a 2.49% decrease in the Zacks Consensus EPS estimate over the last 30 days [5] Valuation Metrics - Builders FirstSource is trading at a Forward P/E ratio of 14.8, which is lower than the industry average Forward P/E of 17.6, suggesting it is trading at a discount [6] - The company has a PEG ratio of 8.04, which is in line with the average PEG ratio of the Building Products - Retail industry [7] Industry Context - The Building Products - Retail industry is part of the Retail-Wholesale sector, holding a Zacks Industry Rank of 93, placing it in the top 38% of over 250 industries [8]

Core Insights - Insider buying activity has surged at three major companies, with executives investing over $170 million, indicating strong confidence in their future performance [1] Group 1: Builders FirstSource (BLDR) - Multiple directors, including Chairman Paul S. Levy, have purchased shares, with Levy investing approximately $55.4 million on May 8 [1][2] - Following Levy's purchase, BLDR shares increased by around 20%, outperforming the S&P 500's 11% gain during the same period [3] Group 2: UnitedHealth Group (UNH) - Stephen J. Hemsley, the new CEO and Chairman, bought approximately $25 million worth of shares on May 16, signaling confidence in the company's future [5][6] - Under Hemsley's previous leadership from 2006 to 2017, UNH shares provided a total return of 360%, significantly outperforming the S&P 500 [8] Group 3: Middleby (MIDD) - Director Edward P. Garden purchased over $93 million in Middleby stock from May 9 to May 21, increasing his stake from approximately 5% to 6% [10][11] - Garden aims to focus the company on its commercial foodservice segment, and the company announced plans to spin off its food processing business [12]

Company Performance - Builders FirstSource (BLDR) closed at $127.24, reflecting a +1.91% increase from the previous day, outperforming the S&P 500's 0.07% loss [1] - Prior to the latest trading session, shares had gained 10.53%, surpassing the Retail-Wholesale sector's gain of 1.87% and the S&P 500's gain of 3.94% [1] Earnings Expectations - The upcoming earnings disclosure is expected to report an EPS of $2.37, indicating a 32.29% decline compared to the same quarter last year [2] - Revenue is anticipated to be $4.26 billion, reflecting a 4.45% decrease from the same quarter last year [2] Full Year Projections - For the full year, earnings are projected at $8.54 per share and revenue at $16.2 billion, showing changes of -26.12% and -1.21% respectively from the previous year [3] Analyst Estimates - Recent changes to analyst estimates for Builders FirstSource should be monitored, as they reflect short-term business trends [3] - Positive revisions in estimates indicate analyst optimism regarding the company's business and profitability [3] Valuation Metrics - Builders FirstSource has a Forward P/E ratio of 14.63, which is lower than the industry average of 17.8 [6] - The company also has a PEG ratio of 7.95, aligning with the average PEG ratio for the Building Products - Retail industry [6] Industry Ranking - The Building Products - Retail industry is part of the Retail-Wholesale sector and currently holds a Zacks Industry Rank of 7, placing it in the top 3% of over 250 industries [7] - The Zacks Industry Rank evaluates the strength of industry groups based on the average Zacks Rank of individual stocks [7]

Group 1 - Builders FirstSource (BLDR) shares increased by 8.8% to close at $126.91, with notable trading volume compared to typical sessions, and a 10.5% gain over the past four weeks [1] - The upward trend in shares is supported by favorable long-term fundamentals, including investments in innovations and digital solutions to tackle affordability challenges, as well as operational efficiency amid macro risks [2] - The company is expected to report quarterly earnings of $2.37 per share, reflecting a year-over-year decline of 32.3%, with revenues projected at $4.26 billion, down 4.5% from the previous year [3] Group 2 - The consensus EPS estimate for Builders FirstSource has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [4] - Builders FirstSource holds a Zacks Rank of 3 (Hold), while another company in the same industry, Tecnoglass (TGLS), experienced a 1.8% decline in its last trading session [5] - Tecnoglass has a consensus EPS estimate of $0.97 for its upcoming report, representing a 12.8% increase from the previous year, and currently holds a Zacks Rank of 1 (Strong Buy) [6]

Company Performance - Builders FirstSource (BLDR) ended the latest trading session at $114.36, reflecting a -2.53% adjustment from the previous day's close, which lagged behind the S&P 500's daily loss of 0.27% [1] - Over the last month, the company's shares have decreased by 5.23%, underperforming the Retail-Wholesale sector's gain of 4.25% and the S&P 500's gain of 6.9% [1] Upcoming Financial Results - Builders FirstSource is projected to report earnings of $2.37 per share, indicating a year-over-year decline of 32.29% [2] - The consensus estimate for revenue is $4.29 billion, representing a 3.81% decrease compared to the same quarter of the previous year [2] Annual Estimates - For the annual period, the Zacks Consensus Estimates anticipate earnings of $8.54 per share and revenue of $16.34 billion, reflecting shifts of -26.12% and -0.37% from the previous year, respectively [3] - Recent changes to analyst estimates for Builders FirstSource may indicate a changing landscape of near-term business trends, with positive estimate revisions seen as a good sign for the business outlook [3] Valuation Metrics - Builders FirstSource has a Forward P/E ratio of 13.75, which is a discount compared to the average Forward P/E of 19.5 for its industry [6] - The company holds a PEG ratio of 7.47, compared to the average PEG ratio of 5.72 for the Building Products - Retail industry [7] Industry Context - The Building Products - Retail industry is part of the Retail-Wholesale sector and currently has a Zacks Industry Rank of 164, placing it in the bottom 34% of all 250+ industries [8] - The Zacks Industry Rank assesses the strength of industry groups by calculating the average Zacks Rank of individual stocks, with research indicating that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]

Core Viewpoint - The article provides an update on Builders FirstSource (NYSE: BLDR) and emphasizes a fundamentals-based approach to value investing, highlighting the importance of long-term durability and robust balance sheets over low multiples [1]. Group 1: Investment Philosophy - The company disagrees with the notion that low multiple stocks are inherently cheap, advocating for a focus on companies with steady long-term growth and no cyclicality [1]. - There is an acknowledgment of the risks involved in investing in successful companies, particularly the potential to overpay, which underscores the significance of valuation [1]. - The article suggests that in certain situations, the potential for growth may outweigh immediate price concerns, indicating a broader perspective on investment timing [1].

Group 1 - Builders FirstSource (NYSE: BLDR) has experienced a significant decline in share value, losing approximately 40% over the past year [1] - The residential construction market is currently facing ongoing weakness, which has negatively impacted the company's results [1] - Increased macroeconomic uncertainty is compounding the challenges faced by Builders FirstSource [1]

Group 1 - CECO Environmental Corp. (CECO) has been added to the Zacks Rank 5 (Strong Sell) List due to a 15% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Builders FirstSource, Inc. (BLDR) has also been added to the Zacks Rank 5 (Strong Sell) List, with a 3.5% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - Eagle Bancorp, Inc. (EGBN) is included in the Zacks Rank 5 (Strong Sell) List, experiencing a 15.6% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2]