Earnings Preview: What to Expect From Builders FirstSource's Report

Builders FirstSource, Inc. (BLDR), based in Irving, Texas, manufactures and supplies building materials, manufactured components, and construction services. Valued at $13.9 billion by market cap, the company has approximately 570 distribution and manufacturing locations, a presence in 43 states, and 90 of the top 100 Metropolitan Statistical Areas. The building products supplier giant is expected to announce its fiscal second-quarter earnings for 2025 before the market opens on Thursday, Jul. 31.

Ahead of the event, analysts expect BLDR to report a profit of $2.33 per share on a diluted basis, down 33.4% from $3.50 per share in the year-ago quarter. The company surpassed the consensus estimates in three of the last four quarters while missing the forecast on another occasion. 

For the full year, analysts expect BLDR to report EPS of $8.32, down 28% from $11.56 in fiscal 2024. However, its EPS is expected to rise 18.2% year-over-year to $9.83 in fiscal 2026. 

BLDR stock has underperformed the S&P 500 Index’s ($SPX) 10.5% gains over the past 52 weeks, with shares down 23.8% during this period. Similarly, it considerably underperformed the Industrial Select Sector SPDR Fund’s (XLI) 17.3% rise over the same time frame.

On May 1, BLDR shares closed down more than 6% after the company reported its Q1 results. Its adjusted EPS of $1.51 surpassed Wall Street expectations of $1.50. The company’s revenue was $3.66 billion, missing Wall Street forecasts of $3.69 billion. BLDR expects full-year revenue in the range of $16.1 billion to $17.1 billion.

Analysts’ consensus opinion on BLDR stock is reasonably bullish, with an overall “Moderate Buy” rating. Out of 19 analysts covering the stock, 12 advise a “Strong Buy” rating, two suggest a “Moderate Buy,” and five give a “Hold.” BLDR’s average analyst price target is $140.84, indicating a potential upside of 11.8% from the current levels.