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What's in Store for Builders FirstSource (BLDR) Q4 Earnings?
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Builders FirstSource, Inc. (BLDR - Free Report) is slated to report fourth-quarter 2021 results on Mar 1, Before the opening bell.
In the last reported quarter, the company’s adjusted earnings topped the Zacks Consensus Estimate by 117.3% and increased 358.1% year over year. Net sales topped the consensus estimate by 15% and increased 62.7% from the year-ago quarter. The upside was driven by solid demand in residential housing markets, the BMC merger and disciplined cost management.
Trend in Estimate Revision
The Zacks Consensus Estimate for BLDR’s fourth-quarter earnings is pegged at $1.89 per share, indicating a 50% increase from the prior-year reported figure of $1.26. The consensus estimate for net sales is pegged at $4.35 billion, suggesting a 72% increase from the year-ago reported figure of $2.53 billion.
BLDR has been witnessing growth in value-added product volume, led by strong demand for Windows, Doors and Millwork products. The repair and remodel/other category has also been adding to the positives.
As the company’s performance is highly influenced by the housing market, solid momentum of the same is expected to benefit the upcoming results. Solid demand for new housing across the United States is likely to have helped it support the entire mix of businesses to some extent.
Furthermore, an opportunistic approach to acquisitions is an important part of Builders FirstSource’s growth strategy. These acquisitions broadened the company’s product portfolio and expanded its geographic footprint and market share. A resilient housing market and prudent buyouts are expected to reflect on the company’s performance for the to-be-reported quarter.
Additionally, BLDR has been leveraging sales growth, with emphasis on cost management, operational excellence and productivity initiatives that may have driven profitability in the quarter to be reported. Furthermore, Builders FirstSource has been focused on investing in innovation and enhancing digital solutions for customers. The standardization and automation processes and technology-based workflows may have helped minimize costs, thereby driving its bottom line, expanding margins and boosting profitability.
Yet, the company has been witnessing inflation related to raw materials, which is likely to have hurt the bottom line in the fourth quarter. It has been facing supply-related challenges with respect to some of the products, including OSB, plywood, lumber and particleboard. This is likely to have put pressure on margins to some extent.
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for Builders FirstSource this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. Unfortunately, this is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Papa John’s International, Inc. (PZZA - Free Report) reported robust fourth-quarter fiscal 2021 results, wherein earnings and revenues surpassed the Zacks Consensus Estimate. Both the metrics improved on a year-over-year basis.
While the bottom line surpassed the consensus mark for the fourth straight quarter, the top line beat the same for the seventh consecutive quarter.
Jack in the Box Inc. (JACK - Free Report) reported mixed first-quarter fiscal 2022 results, with earnings beating the Zacks Consensus Estimate and revenues missing the same.
The bottom line beat the estimate for the seventh straight quarter. However, revenues missed the estimate for the second straight quarter.
Cracker Barrel Old Country Store, Inc. (CBRL - Free Report) reported mixed second-quarter fiscal 2022 (ended Jan 28, 2022) results, with earnings surpassing the Zacks Consensus Estimate and revenues missing the same.
Nevertheless, the top and the bottom line improved year over year.
Image: Bigstock
What's in Store for Builders FirstSource (BLDR) Q4 Earnings?
Builders FirstSource, Inc. (BLDR - Free Report) is slated to report fourth-quarter 2021 results on Mar 1, Before the opening bell.
In the last reported quarter, the company’s adjusted earnings topped the Zacks Consensus Estimate by 117.3% and increased 358.1% year over year. Net sales topped the consensus estimate by 15% and increased 62.7% from the year-ago quarter. The upside was driven by solid demand in residential housing markets, the BMC merger and disciplined cost management.
Trend in Estimate Revision
The Zacks Consensus Estimate for BLDR’s fourth-quarter earnings is pegged at $1.89 per share, indicating a 50% increase from the prior-year reported figure of $1.26. The consensus estimate for net sales is pegged at $4.35 billion, suggesting a 72% increase from the year-ago reported figure of $2.53 billion.
Builders FirstSource, Inc. Price and EPS Surprise
Builders FirstSource, Inc. price-eps-surprise | Builders FirstSource, Inc. Quote
Factors to Note
BLDR has been witnessing growth in value-added product volume, led by strong demand for Windows, Doors and Millwork products. The repair and remodel/other category has also been adding to the positives.
As the company’s performance is highly influenced by the housing market, solid momentum of the same is expected to benefit the upcoming results. Solid demand for new housing across the United States is likely to have helped it support the entire mix of businesses to some extent.
Furthermore, an opportunistic approach to acquisitions is an important part of Builders FirstSource’s growth strategy. These acquisitions broadened the company’s product portfolio and expanded its geographic footprint and market share. A resilient housing market and prudent buyouts are expected to reflect on the company’s performance for the to-be-reported quarter.
Additionally, BLDR has been leveraging sales growth, with emphasis on cost management, operational excellence and productivity initiatives that may have driven profitability in the quarter to be reported. Furthermore, Builders FirstSource has been focused on investing in innovation and enhancing digital solutions for customers. The standardization and automation processes and technology-based workflows may have helped minimize costs, thereby driving its bottom line, expanding margins and boosting profitability.
Yet, the company has been witnessing inflation related to raw materials, which is likely to have hurt the bottom line in the fourth quarter. It has been facing supply-related challenges with respect to some of the products, including OSB, plywood, lumber and particleboard. This is likely to have put pressure on margins to some extent.
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for Builders FirstSource this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. Unfortunately, this is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Currently, it has a Zacks Rank #3 and an Earnings ESP of 0.00%. You can see the complete list of today’s Zacks #1 Rank stocks here.
Recent Earnings Releases
Papa John’s International, Inc. (PZZA - Free Report) reported robust fourth-quarter fiscal 2021 results, wherein earnings and revenues surpassed the Zacks Consensus Estimate. Both the metrics improved on a year-over-year basis.
While the bottom line surpassed the consensus mark for the fourth straight quarter, the top line beat the same for the seventh consecutive quarter.
Jack in the Box Inc. (JACK - Free Report) reported mixed first-quarter fiscal 2022 results, with earnings beating the Zacks Consensus Estimate and revenues missing the same.
The bottom line beat the estimate for the seventh straight quarter. However, revenues missed the estimate for the second straight quarter.
Cracker Barrel Old Country Store, Inc. (CBRL - Free Report) reported mixed second-quarter fiscal 2022 (ended Jan 28, 2022) results, with earnings surpassing the Zacks Consensus Estimate and revenues missing the same.
Nevertheless, the top and the bottom line improved year over year.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.