We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Builders FirstSource, Inc. (BLDR - Free Report) has acquired a family-owned, leading supplier of lumber and other building materials company - John’s Lumber. The acquisition will improve Builders FirstSource’s product portfolio and expand its reach within Michigan.
Dave Flitman, president and CEO of Builders FirstSource, said, “We will continue to reinvest in our business and pursue accretive tuck-in acquisitions that create value for our business and our customers.”
Found in 1947, John’s Lumber primarily operates in two locations and serves the greater Detroit metropolitan statistical area or MSA - United States’ No. 41 ranked single-family housing market. Notably, it has generated nearly $49 million revenues in the past year.
Acquisitions Aid Builders FirstSource
Acquisitions have been one of the preferred mode of solidifying the company’s presence and product portfolio. On Jan 1, it completed the merger with BMC Stock Holdings — one of the nation’s leading providers of diversified building materials and solutions to new construction builders as well as professional remodelers. BMC’s distinct millwork capability, READY-FRAME offerings and other manufactured products complement Builders FirstSource’s strength in trusses as well as manufactured components, among other offerings. Also, it will now be able to invest more in innovation and develop targeted solutions that will be provided by highly-skilled team members. This enables the company to provide best-in-class service to customers and communities.
In first-quarter 2021, the company generated $4.2 billion of total net sales, up 54.1% from a year ago. The uptick was driven by its merger with BMC and other acquisitions, commodity inflation as well as strong organic growth.
Adjusted earnings also rose 302.5% year over year from a combined pro-forma earnings of 28 cents reported a year ago. Adjusted EBITDA and adjusted EBITDA margin rose a whopping 186.8% and 500 basis points year over year, respectively. Strong demand in the residential housing market, commodity value and disciplined cost management aided the company.
During the period, last year’s acquisitions (excluding the BMC merger) added 2.4% to total net sales. Notably, it expects 2% net sales contribution from the two latest buyouts in 2021.
Shares of this largest supplier of building products, prefabricated components, and value-added services company have gained 197.2% in the past year compared with the industry’s 53.2% rally.
In addition to the stocks discussed above, would you like to know about our 10 best buy-and-hold tickers for the entirety of 2021?
Last year's 2020 Zacks Top 10 Stocks portfolio returned gains as high as +386.8%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
Image: Bigstock
Builders FirstSource (BLDR) Buys John's Lumber, Boosts Presence
Builders FirstSource, Inc. (BLDR - Free Report) has acquired a family-owned, leading supplier of lumber and other building materials company - John’s Lumber. The acquisition will improve Builders FirstSource’s product portfolio and expand its reach within Michigan.
Dave Flitman, president and CEO of Builders FirstSource, said, “We will continue to reinvest in our business and pursue accretive tuck-in acquisitions that create value for our business and our customers.”
Found in 1947, John’s Lumber primarily operates in two locations and serves the greater Detroit metropolitan statistical area or MSA - United States’ No. 41 ranked single-family housing market. Notably, it has generated nearly $49 million revenues in the past year.
Acquisitions Aid Builders FirstSource
Acquisitions have been one of the preferred mode of solidifying the company’s presence and product portfolio. On Jan 1, it completed the merger with BMC Stock Holdings — one of the nation’s leading providers of diversified building materials and solutions to new construction builders as well as professional remodelers. BMC’s distinct millwork capability, READY-FRAME offerings and other manufactured products complement Builders FirstSource’s strength in trusses as well as manufactured components, among other offerings. Also, it will now be able to invest more in innovation and develop targeted solutions that will be provided by highly-skilled team members. This enables the company to provide best-in-class service to customers and communities.
.jpg)
In first-quarter 2021, the company generated $4.2 billion of total net sales, up 54.1% from a year ago. The uptick was driven by its merger with BMC and other acquisitions, commodity inflation as well as strong organic growth.
Adjusted earnings also rose 302.5% year over year from a combined pro-forma earnings of 28 cents reported a year ago. Adjusted EBITDA and adjusted EBITDA margin rose a whopping 186.8% and 500 basis points year over year, respectively. Strong demand in the residential housing market, commodity value and disciplined cost management aided the company.
During the period, last year’s acquisitions (excluding the BMC merger) added 2.4% to total net sales. Notably, it expects 2% net sales contribution from the two latest buyouts in 2021.
Shares of this largest supplier of building products, prefabricated components, and value-added services company have gained 197.2% in the past year compared with the industry’s 53.2% rally.
The company — which shares space with Fastenal Company (FAST - Free Report) , Lumber Liquidators Holdings, Inc. (LL - Free Report) and Beacon Roofing Supply, Inc. (BECN - Free Report) in the Zacks Building Products - Retail industry — currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks Top 10 Stocks for 2021
In addition to the stocks discussed above, would you like to know about our 10 best buy-and-hold tickers for the entirety of 2021?
Last year's 2020 Zacks Top 10 Stocks portfolio returned gains as high as +386.8%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
Access Zacks Top 10 Stocks for 2021 today >>