TopBuild (BLD) shares soared 6.1% in the last trading session to close at $378.8. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 15.3% gain over the past four weeks.
TopBuild shares rose after announcing an $810 million cash deal to acquire Progressive Roofing, a Bow River Capital portfolio company. The acquisition is expected to provide TopBuild with a strong platform to enter the commercial roofing segment. Progressive Roofing is one of the largest installers in this space and brings a business model aligned with TopBuild’s operations.
This insulation products company is expected to post quarterly earnings of $5.10 per share in its upcoming report, which represents a year-over-year change of -5.9%. Revenues are expected to be $1.29 billion, down 5.5% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For TopBuild, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on BLD going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
TopBuild is part of the Zacks Building Products - Miscellaneous industry. Janus International Group, Inc. (JBI), another stock in the same industry, closed the last trading session 0.8% higher at $8.98. JBI has returned 2.2% in the past month.
Janus International Group's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.15. Compared to the company's year-ago EPS, this represents a change of -28.6%. Janus International Group currently boasts a Zacks Rank of #3 (Hold).
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TopBuild (BLD) Surges 6.1%: Is This an Indication of Further Gains?
TopBuild (BLD) shares soared 6.1% in the last trading session to close at $378.8. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 15.3% gain over the past four weeks.
TopBuild shares rose after announcing an $810 million cash deal to acquire Progressive Roofing, a Bow River Capital portfolio company. The acquisition is expected to provide TopBuild with a strong platform to enter the commercial roofing segment. Progressive Roofing is one of the largest installers in this space and brings a business model aligned with TopBuild’s operations.
This insulation products company is expected to post quarterly earnings of $5.10 per share in its upcoming report, which represents a year-over-year change of -5.9%. Revenues are expected to be $1.29 billion, down 5.5% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For TopBuild, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on BLD going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
TopBuild is part of the Zacks Building Products - Miscellaneous industry. Janus International Group, Inc. (JBI), another stock in the same industry, closed the last trading session 0.8% higher at $8.98. JBI has returned 2.2% in the past month.
Janus International Group's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.15. Compared to the company's year-ago EPS, this represents a change of -28.6%. Janus International Group currently boasts a Zacks Rank of #3 (Hold).