Builders FirstSource, IncNYSE: BLDR
Industrials · Building Products
$80.80
+6.12%
Vol: 1.6M
Research Digest
Friday, June 19, 2026
Builders FirstSource Q1 2026 net sales fall 10% year-over-year with EBITDA down 42%; board director resigns for health reasons.
Builders FirstSource reported weak Q1 2026 results with net sales down 10% year-over-year, gross margin declining 220 basis points, and adjusted EBITDA falling 42.1%, as affordability pressures, muted consumer confidence, and deferred multi-family projects weighed on demand. The company currently carries a Zacks Strong Sell (#5) ranking. On June 3, 2026, director Mark A. Alexander resigned from the board for health reasons, unrelated to company operations. Despite the weak fundamentals, shares briefly surged 6% on June 9 amid a sector-wide rally in building products stocks and insider buying interest, before giving back gains with a 3.3% drop on June 17 to close at $76.14. The stock is down roughly 22.7% over six months. A post-Q1 analysis published June 19, 2026 questions whether the stock is a Buy, Sell, or Hold. The housing market recovery timeline remains unclear given persistent affordability and rate challenges.
Previous Market Intelligence
13 daysJun 18No significant overnight updatesNeutral▶
No material news in the last 48 hours.
Jun 17No significant overnight updatesNeutral▶
No material news in the last 48 hours.
Jun 16No significant overnight updatesNeutral▶
No material news in the last 48 hours.
Jun 15No significant overnight updatesNeutral▶
No material news in the last 48 hours.
Jun 14No significant overnight updatesNeutral▶
No material news in the last 48 hours.
May 21No significant overnight updatesNeutral▶
No material news in the last 48 hours.
May 20Builders FirstSource named Mike Hiller COO-designate as multiple analysts cut price targets following Q1 miss and cautious guidance.Negative▶
Builders FirstSource announced on May 18, 2026 that Chief Talent Officer Mike Hiller was appointed Chief Operating Officer-Designate, succeeding Steve Herron upon his retirement on December 31, 2026. Coley O'Brien (formerly of Wendy's) was named Chief Human Resources Officer effective the same day. Following a Q1 earnings miss and cautious guidance update, Barclays lowered its price target to $93 from $114 on May 1. Shares are down roughly 20.4% over the past month versus the S&P 500's +5.6% gain. Director David Rush sold 5,000 shares on May 8 at $78.17. Shareholders also re-elected directors, approved executive compensation, and ratified PwC as auditor at the annual meeting.
May 19Builders FirstSource named Mike Hiller COO-designate and Coley O'Brien CHRO on May 18, 2026, as part of a planned leadership succession.Mixed▶
On May 18, 2026, Builders FirstSource announced a leadership transition: Mike Hiller becomes COO-Designate, succeeding Steve Herron who retires December 31, 2026, while Coley O'Brien (ex-Wendy's) joins as Chief Human Resources Officer effective immediately. Shareholders at the annual meeting re-elected the director slate, approved 2025 executive compensation, ratified PwC as 2026 auditor, and backed new equity incentive and ESPP plans. Director David E. Rush sold 5,000 shares on May 8 at a weighted-average $78.17. Q1 2026 sales of $3.29B beat revenue expectations but fell 10.1% YoY, with non-GAAP EPS of $0.27 missing consensus by 27.6%. Following Q1, BMO cut its PT to $93 from $100, Barclays to $93 from $114, and Deutsche Bank to $81 from $102, while RBC Capital reaffirmed Buy on May 13.
May 18No significant overnight updatesNeutral▶
No material news in the last 48 hours.
May 15Builders FirstSource hit 52-week low of $73.40 after Q1 EPS miss; Wolfe initiated PeerperformNegative▶
Builders FirstSource shares slumped to a 52-week low of $73.40 on May 12 following a Q1 EPS miss - $0.27 vs $0.39 forecast (-30.8%) - though revenue reached $3.3B. Wolfe Research initiated coverage at Peerperform, calling it a well-managed industry leader but flagging continued new-residential cycle headwinds through 2026. Director David E. Rush sold 5,000 shares on May 8 at a weighted average of $78.17. The stock is down 24.1% YTD and 28.5% over the past year. Despite recent weakness, the company remains positioned for an eventual housing cycle inflection but management offered limited near-term catalysts.
May 14Builders FirstSource insider sells 5,000 shares on May 8 amid 6-day losing streak following weak Q1 results.Negative▶
Director David E. Rush sold 5,000 BLDR shares on May 8, 2026 at a weighted-average $78.17 (total ~$390,850), continuing to hold 122,284 shares. The disclosure (filed May 12) follows a Q1 2026 earnings miss where net sales fell 10.1% YoY to $3.29B, gross margin compressed 220bps to 28.3%, and diluted EPS swung to $(0.43) versus $0.84 prior year. Non-GAAP EPS of $0.27 came in 27.6% below consensus, and multiple firms trimmed price targets. The stock posted a 6-day losing streak totaling roughly -13% in early May. Management is leaning on M&A as a growth lever, signaling intent to deploy free cash flow on value-added product and geographic expansion. Risks: weak housing starts, margin pressure, and cautious updated guidance.
May 13Builders FirstSource shares slid to an 8-day losing streak (-19% cumulative) after Q1 EPS missed at $0.27 vs $0.37 consensus and the company cut FY26 revenue guidance to $14.6B-$15.6B amid housing weakness.Negative▶
On April 30, 2026 Builders FirstSource reported Q1 EPS of $0.27, well below the $0.37 consensus, with net sales down 10.1% to $3.3B due to a weaker housing starts environment. The company lowered its FY26 revenue outlook to $14.6B-$15.6B from $14.8B-$15.8B and approved an additional $500M share repurchase authorization. Multiple analysts cut targets in early May: BMO Capital to $93 from $100, Deutsche Bank to $81 from $102, and Baird to $95 from $125. Director David E. Rush sold 5,000 shares on May 8 at a weighted average of $78.17. Risk: persistent high mortgage rates and elevated home prices continue to suppress new home construction, the company's primary demand driver. The stock entered an 8-day losing streak with cumulative losses of 19% by May 5.
May 12Builders FirstSource cut FY26 revenue guidance to $14.6-$15.6B after Q1 sales fell 10.1% to $3.3B and diluted EPS swung to a loss; analysts slashed targets.Negative▶
Builders FirstSource posted Q1 2026 net sales of $3.3B, down 10.1% YoY, with a net loss of $(47.4)M or $(0.43) per share versus a $0.84 profit a year ago, and adjusted EBITDA down 42.1% to $213.8M. The company lowered FY26 net sales guidance to $14.6-$15.6B from $14.8-$15.8B and authorized a fresh $500M buyback. Management flagged M&A as a key growth lever to deploy free cash flow. Analysts cut targets: BMO Capital to $93 from $100, Deutsche Bank to $81 from $102, Baird to $95 from $125, and UBS to $122 from $143. Bear case: housing-starts environment remains soft, commodity lumber deflation continues to compress gross profit per unit, and operating leverage is sharply negative.
Sector Peers
| Company | Price | Day | 1M | Fwd P/E | Beta | Mkt Cap |
|---|---|---|---|---|---|---|
| BLDRBUILDERS | $80.80 | +6.12% | +13.1% | 13.7x | 1.45 | $8.7B |
| TTTRANE | $483.71 | +2.37% | +7.0% | 28.4x | 1.21 | $106.9B |
| JCIJOHNSON | $145.33 | +1.19% | +5.1% | 25.2x | 1.34 | $88.4B |
| CARRCARRIER | $72.01 | +3.62% | +12.9% | 22.4x | 1.34 | $59.6B |
| LIILENNOX | $533.12 | +3.30% | +7.9% | 19.9x | 1.19 | $18.5B |
| MASMASCO | $74.65 | +2.80% | +11.6% | 15.8x | 1.31 | $15.0B |
Key Fundamentals
RSI (14-Day)
52-Week Range
Moving Averages
Price below 200d MA — bearish structure.