Builders FirstSource (BLDR) Stock Sinks As Market Gains: Here's Why

Company Performance - Builders FirstSource (BLDR) closed at $127.11, down 1.12% from the previous trading session, underperforming the S&P 500's gain of 0.37% [1] - The company's shares have decreased by 13.85% over the last month, while the Retail-Wholesale sector gained 0.38% and the S&P 500 gained 4.26% [1] Upcoming Earnings - The upcoming earnings release is projected to show earnings per share (EPS) of $1.69, reflecting a 44.95% decrease from the same quarter last year [2] - Revenue is anticipated to be $3.8 billion, indicating a 10.26% decline from the same quarter last year [2] Annual Forecast - Zacks Consensus Estimates forecast earnings of $6.72 per share and revenue of $15.18 billion for the year, representing changes of -41.87% and -7.42% respectively compared to the previous year [3] - Recent changes to analyst estimates indicate evolving short-term business trends, with positive revisions reflecting analyst optimism [3] Stock Performance and Valuation - The Zacks Rank system currently rates Builders FirstSource as 5 (Strong Sell), with a 5.37% fall in the Zacks Consensus EPS estimate over the past month [5] - Builders FirstSource has a Forward P/E ratio of 19.14, which is in line with the industry average [6] - The company has a PEG ratio of 14.39, significantly higher than the average PEG ratio of 7.56 for the Building Products - Retail industry [7] Industry Context - The Building Products - Retail industry is part of the Retail-Wholesale sector and currently holds a Zacks Industry Rank of 234, placing it in the bottom 6% of over 250 industries [8] - The Zacks Industry Rank assesses the strength of industry groups, with top-rated industries outperforming the bottom half by a factor of 2 to 1 [8]