Builders Firstsource, Inc.
BLDR
Retail-Lumber & Other Building Materials Dealers
Mkt Cap
$19.86BPE
13.55Debt
$3.747BCash
$697.5MEV
$22.91BFCF
$1.506BP/E Ratio
13.55Debt
$3.747BCash
$697.5MEV
$22.91BFCF
$1.506BCharts data: {"Earnings":[{"time":"2014-12-30","value":18150000},{"time":"2015-12-30","value":-22831000},{"time":"2016-12-30","value":144341000},{"time":"2017-12-30","value":38781000},{"time":"2018-12-30","value":205191000},{"time":"2019-12-30","value":221809000},{"time":"2020-12-30","value":313537000},{"time":"2021-12-30","value":1725416000},{"time":"2022-12-30","value":2749369000},{"time":"2023-12-30","value":1540555000}],"Sales":[{"time":"2014-12-30","value":1604096000},{"time":"2015-12-30","value":3564425000},{"time":"2016-12-30","value":6367284000},{"time":"2017-12-30","value":7034209000},{"time":"2018-12-30","value":7724771000},{"time":"2019-12-30","value":7280431000},{"time":"2020-12-30","value":8558874000},{"time":"2021-12-30","value":19893856000},{"time":"2022-12-30","value":22726418000},{"time":"2023-12-30","value":17097330000}],"Net Margins":[{"time":"2014-12-30","value":0.011314784152569422},{"time":"2015-12-30","value":-0.006405240676967534},{"time":"2016-12-30","value":0.022669163178523213},{"time":"2017-12-30","value":0.005513199849478456},{"time":"2018-12-30","value":0.026562729173460288},{"time":"2019-12-30","value":0.030466465515571813},{"time":"2020-12-30","value":0.03663297298219369},{"time":"2021-12-30","value":0.0867310992901527},{"time":"2022-12-30","value":0.12097678569495642},{"time":"2023-12-30","value":0.0901050046995642}],"Assets":[{"time":"2014-12-30","value":583065000},{"time":"2015-12-30","value":2882038000},{"time":"2016-12-30","value":2909887000},{"time":"2017-12-30","value":3006124000},{"time":"2018-12-30","value":2932309000},{"time":"2019-12-30","value":3249490000},{"time":"2020-12-30","value":4173671000},{"time":"2021-12-30","value":10714343000},{"time":"2022-12-30","value":10595160000},{"time":"2023-12-30","value":10499452000}],"Stockholders Equity":[{"time":"2014-12-30","value":40200000},{"time":"2015-12-30","value":149195000},{"time":"2016-12-30","value":309620000},{"time":"2017-12-30","value":376209000},{"time":"2018-12-30","value":596338000},{"time":"2019-12-30","value":824953000},{"time":"2020-12-30","value":1152783000},{"time":"2021-12-30","value":4802481000},{"time":"2022-12-30","value":4962566000},{"time":"2023-12-30","value":4732351000}],"ROE":[{"time":"2014-12-30","value":0.45149253731343286},{"time":"2015-12-30","value":-0.1530279164851369},{"time":"2016-12-30","value":0.46618758478134487},{"time":"2017-12-30","value":0.10308365828568694},{"time":"2018-12-30","value":0.34408506585191617},{"time":"2019-12-30","value":0.26887471165023946},{"time":"2020-12-30","value":0.27198267150018696},{"time":"2021-12-30","value":0.35927596590179117},{"time":"2022-12-30","value":0.5540216492838584},{"time":"2023-12-30","value":0.3255369265720146}],"ROA":[{"time":"2014-12-30","value":0.0857846037748793},{"time":"2015-12-30","value":0.03144198653869241},{"time":"2016-12-30","value":0.08121827411167512},{"time":"2017-12-30","value":0.09484073178618048},{"time":"2018-12-30","value":0.1258284853335716},{"time":"2019-12-30","value":0.12072848354664886},{"time":"2020-12-30","value":0.13030591055212545},{"time":"2021-12-30","value":0.22282504862874},{"time":"2022-12-30","value":0.35584229025328545},{"time":"2023-12-30","value":0.2072792941955447}]}
Builders FirstSource, Inc., together with its subsidiaries, manufactures and supplies building materials, manufactured components, and construction services to professional homebuilders, sub-contractors, remodelers, and consumers in the United States. It offers lumber and lumber sheet goods comprising dimensional lumber, plywood, and oriented strand board products that are used in on-site house framing; manufactured products, such as wood floor and roof trusses, steel roof trusses, wall panels, stairs, and engineered wood products; and windows, and interior and exterior door units, as well as interior trims and custom products comprising intricate mouldings, stair parts, and columns under the Synboard brand name. The company also provides specialty building products and services, including vinyl, composite and wood siding, exterior trims, metal studs, cement, roofing, insulation, wallboards, ceilings, cabinets, and hardware products; products turn-key framing, shell construction, design assistance, and professional installation services. In addition, it offers software products, such as drafting, estimating, quoting, and virtual home design services, which provide software solutions to retailers, distributors, manufacturers, and homebuilders. The company was formerly known as BSL Holdings, Inc. and changed its name to Builders FirstSource, Inc. in October 1999. Builders FirstSource, Inc. was incorporated in 1998 and is based in Dallas, Texas.
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DCF
Discounted Cash Flow Valuation of Builders Firstsource, Inc.
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $1.506B | $1.958B | $2.49B | $3.099B | $3.771B | $4.483B | $5.205B | $5.899B | $6.522B | $7.029B | $7.38B | $73.8B |
| DCF | $1.702B | $1.883B | $2.038B | $2.156B | $2.229B | $2.25B | $2.218B | $2.132B | $1.998B | $1.824B | $18.24B | |
| Value | $38.67B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 75%
Earnings Stability 74%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | -0.64% | 2.3% | 0.55% | 2.7% | 3% | 3.7% | 8.7% | 12% | 9% | 8.6% |
| ROA | 3.1% | 8.1% | 9.5% | 13% | 12% | 13% | 22% | 36% | 21% | 19% |
| ROE | -15% | 47% | 10% | 34% | 27% | 27% | 36% | 55% | 33% | 30% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +6.52%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +1.83%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +19.38%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is +3.44%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +35.4%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +2.43%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | 12.83 | 13.72 | 15.37 | 8.78 | 3.36 | 11.28 | 1.95 | 0.93 | 1.76 | 2.49 |
| Debt Equity | 11.45 | 5.12 | 4.74 | 2.67 | 1.59 | 1.45 | 0.62 | 0.61 | 0.68 | 0.76 |
| MIN | ||||||||||
| Graham Stability | - | - | 83% | 100% | 100% | 100% | 100% | 100% | 97% | 83% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 2.49.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -1.48.
What is the Graham’s Stability?
Graham’s Stability measure stands at 0.83.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2016 | 12-2018 | 12-2020 | 12-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 15% | 17% | 26% | -25% | -8.8% |
| Net Income | 40% | 50% | 70% | -44% | -7.5% |
| Stockholders Equity | 48% | 51% | 60% | -4.6% | -14% |
| FCF | 48% | 59% | 130% | -44% | -460% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +17.22%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is -8.82%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +49.66%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is -7.49%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +51.33%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is -14.07%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is +58.77%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is -460.83%.