We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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.
Comfort Systems USA and Builders FirstSource have been highlighted as Zacks Bull and Bear of the Day
Read MoreHide Full Article
For Immediate Release
Chicago, IL – May 6, 2026 – Zacks Equity Research shares Comfort Systems USA, Inc. (FIX - Free Report) as the Bull of the Day and Builders FirstSource, Inc. (BLDR - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Robinhood Markets (HOOD - Free Report) , Charles Schwab (SCHW - Free Report) and Interactive Brokers (IBKR - Free Report) .
Comfort Systems USA, Inc. is riding the wave of the data center build-out to new record highs. This Zacks Rank #1 (Strong Buy) is expected to grow sales 31% in 2026.
Comfort Systems provides commercial, industrial and institutional heating, ventilation, air conditioning and electrical contracting services. It has 197 locations in 143 cities across the United States.
Another Earnings Beat for Comfort Systems in Q1 2026
On Apr 23, 2026, Comfort Systems reported its first quarter 2026 results and crushed the Zacks Consensus by 46.2%. Earnings were $10.51 versus the Zacks Consensus of $7.19.
This was the company’s fourteenth consecutive earnings beat. That’s impressive.
Revenue jumped to $2.9 billion from $1.8 billion in the first quarter of 2025. Organic revenue grew 51% year-over-year.
Backlog as of Mar 31, 2026, was $12.45 billion, up from $11.94 billion as of the end of the fourth quarter of 2025 on Dec 31, 2025. The backlog was just $6.89 billion as of Mar 31, 2025.
“Considering recent bookings, underlying persistent demand, and our strong pipelines, we are optimistic about our prospects for the next several quarters,” said Brian Lane, CEO.
Comfort Systems USA Raises Dividend
On Apr 23, 2026, Comfort Systems raised its quarterly dividend to $0.80 per share. That’s a $0.10 increase from the most recent dividend. That’s a yield of 0.15%.
It’s payable on May 26, 2026, to stockholders of record at the close of business on May 15, 2026.
Analysts Bullish on Comfort Systems USA in 2026 and 2027
After the big beat in the first quarter, it’s not surprising that the analysts raised full year 2026 earnings estimates. They also raised for 2027 as well.
One estimate is higher for 2026 in the last month which has pushed the Zacks Consensus Estimate up to $43.03 from $35.06. That’s earnings growth of 49% as Comfort Systems made just $28.88 last year.
Two estimates are higher for 2027 in the prior month. That has pushed up 2027’s Zacks Consensus to $51.36 from $41.00 which is further earnings growth of 19.4%.
The earnings consensus is going up as fast as the stock price.
Shares of Comfort Systems USA at New All-Time Highs
It’s been quite the ride for shareholders of Comfort Systems over the last 5 years as the AI Revolution has boosted demand for HVAC in the data centers.
Shares hit new highs in May 2026 and are up 2,164% over the last 5 years. That is easily beating the S&P 500 ETF (VOO), which is up 71% during that same period.
This year, the shares have been on fire as well.
Comfort Systems is a growth stock. It trades with a forward price-to-earnings (P/E) ratio of 44. A P/E over 30 usually indicates a company is expensive.
But investors are buying the growth which is expected to be both double digits in both earnings and sales this year and next.
For investors looking for big earnings growth and a way to invest in the AI infrastructure build-out, Comfort Systems USA should be on your short list.
Builders FirstSource, Inc. is not seeing a turnaround in home building this year. This Zacks Rank #5 (Strong Sell) is expected to see another year of declining earnings in 2026.
Builders FirstSource provides building materials for professional builders in new residential construction, repair and remodeling. It has approximately 570 locations across 43 states.
It distributes a wide range of building products, including lumber, sheet goods, windows, doors, millwork, and specialty items.
Builders FirstSource Misses on Earnings in the First Quarter 2026
On Apr 30, 2026, Builders FirstSource reported first quarter 2026 results and missed on the Zacks Consensus by $0.12. Earnings were $0.27 compared to the Zacks Consensus of $0.39.
It was the second earnings miss in a row.
Net sales fell 10.1% to $3.3 billion, primarily due to a lower starts environment. The builders aren’t building at the same rate as prior years.
Gross profit margin decreased 220 basis points to 28.3%, also driven by a lower starts environment.
Builders FirstSource Lowers 2026 Guidance
The company has gotten more bearish since February, when it first gave its 2026 guidance.
It now expects net sales in the range of $14.6 billion to $14.8 billion, down from the previous guidance range of $14.8 billion to $15.8 billion.
Gross profit margins also fell to a range of 27.5% to 29% from 28.5% to 30%.
Analysts Slash 2026 and 2027 Earnings Estimates
It’s not surprising, given the headwinds the company faces, that the analysts are also bearish.
Five estimates were cut for 2026 in the last week, which pushed the Zacks Consensus down to $4.49 from $5.58. That’s an earnings decline of 34.8%.
It would be the fourth year in a row of earnings declines. The Federal Reserve began raising interest rates, which slowed the housing market, in 2022.
Four estimates were also cut for 2027 which pushed the Zacks Consensus down to $5.94 from $7.20.
Here’s what it looks like on the price and consensus chart.
Shares Plunge in 2026
The shares are now trading at multi-year lows but they have plunged further in 2026.
It has a low forward price-to-earnings (P/E) ratio of just 16.4. However, a P/E under 15 usually indicates the company is a value.
Builders FirstSource is shareholder friendly. While it’s not paying a dividend, the company has a share repurchase program. In the first quarter, Builders FirstSource repurchased 3.3 million shares for $302.9 million.
On Apr 29, 2026, the Board of Directors authorized the repurchase of an additional $500 million of shares, which includes the approximately $200 million remaining under the April 2025 authorization.
Since the inception of the share buyback program in Aug 2021, it has repurchased 49.7% of its total shares outstanding for a total cost of $8.3 billion.
The new home market is not going to rebound this year.
Investors might want to wait for green shoots in the 2027 earnings estimates before jumping in.
Additional content:
Robinhood Gold Hits Record Subscribers: Is the Bet Paying Off?
Robinhood Markets’ first-quarter 2026 results indicate that its subscription strategy is gaining momentum, even as parts of its trading business remained under pressure. Robinhood Gold subscribers rose 36% year over year to a record 4.3 million, while Gold subscription revenues increased 32% to $50 million. This growth reinforces the view that HOOD is building a more stable revenue stream beyond transaction-driven trading activity.
This shift matters as trading revenues can be highly volatile. In the first quarter, Robinhood reported 47% year-over-year decline in cryptocurrency revenues, highlighting how quickly changes in market sentiment can weigh on transaction-based income. By contrast, subscription revenues tend to be more predictable, particularly when customers continue to see value in benefits such as higher cash yields, premium tools and other account features.
The expansion of Robinhood Gold also points to deeper customer engagement. Management said Gold subscribers reached a 16% attach rate relative to the total customer base, while about 40% of new customers in the quarter joined Gold. In addition, the Robinhood Gold Card has now crossed 800,000 funded customers. This suggests Gold is not only appealing to existing active traders but is also becoming a key part of its strategy to attract and retain new users.
Supporting this momentum, Robinhood unveiled the next evolution of its credit card in March — the Robinhood Platinum Card — which has seen strong early demand. This is an invite-only premium offering aimed at higher-spending customers.
Despite strong growth, subscription revenues remain small versus Robinhood’s total first-quarter net revenues of $1.07 billion and cannot yet offset weakness in key trading categories. Still, continued Gold expansion, alongside growth in assets, deposits and long-term products, could make HOOD less dependent on trading spikes and support its broader consumer finance ambitions.
What Are HOOD’s Peers Doing to Diversify Business?
Charles Schwab and Interactive Brokers are the two closest peers of Robinhood.
Schwab is broadening its business mix by expanding wealth management, banking, asset management, custody and advisory services around its core brokerage franchise. The company is also emphasizing fee-based solutions, workplace retirement accounts and balance sheet management as key components of a more diversified revenue model. Schwab has announced plans to offer spot trading in Bitcoin and other popular digital assets if its pilot program proves successful.
Interactive Brokers is diversifying by broadening beyond commissions into net interest income, market data, sweep fees, risk-exposure charges and other client service revenues. Interactive Brokers is also expanding globally across stocks, options, futures, bonds, funds and crypto, serving both institutional and retail investors through one technology-driven platform.
Over the past six months, Robinhood’s shares have lost 39.7%, underlining investor pessimism over weakness in the crypto market. The industry has jumped 3.2% in the same period.
HOOD’s shares are currently trading at a premium to the industry. The company has a 12-month trailing price-to-tangible book (P/TB) of 7.71X compared with the industry average of 3.18X.
The Zacks Consensus Estimate for Robinhood’s 2026 earnings suggests a year-over-year decline of 4.4%, while the trend is likely to reverse next year, with earnings implying a 26.2% increase. In the past week, earnings estimates for 2026 and 2027 have been revised lower to $1.96 and $2.48 per share, respectively.
HOOD currently carries a Zacks Rank #5 (Strong Sell).
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Shutterstock
Comfort Systems USA and Builders FirstSource have been highlighted as Zacks Bull and Bear of the Day
For Immediate Release
Chicago, IL – May 6, 2026 – Zacks Equity Research shares Comfort Systems USA, Inc. (FIX - Free Report) as the Bull of the Day and Builders FirstSource, Inc. (BLDR - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Robinhood Markets (HOOD - Free Report) , Charles Schwab (SCHW - Free Report) and Interactive Brokers (IBKR - Free Report) .
Here is a synopsis of all five stocks.
Bull of the Day:
Comfort Systems USA, Inc. is riding the wave of the data center build-out to new record highs. This Zacks Rank #1 (Strong Buy) is expected to grow sales 31% in 2026.
Comfort Systems provides commercial, industrial and institutional heating, ventilation, air conditioning and electrical contracting services. It has 197 locations in 143 cities across the United States.
Another Earnings Beat for Comfort Systems in Q1 2026
On Apr 23, 2026, Comfort Systems reported its first quarter 2026 results and crushed the Zacks Consensus by 46.2%. Earnings were $10.51 versus the Zacks Consensus of $7.19.
This was the company’s fourteenth consecutive earnings beat. That’s impressive.
Revenue jumped to $2.9 billion from $1.8 billion in the first quarter of 2025. Organic revenue grew 51% year-over-year.
Backlog as of Mar 31, 2026, was $12.45 billion, up from $11.94 billion as of the end of the fourth quarter of 2025 on Dec 31, 2025. The backlog was just $6.89 billion as of Mar 31, 2025.
“Considering recent bookings, underlying persistent demand, and our strong pipelines, we are optimistic about our prospects for the next several quarters,” said Brian Lane, CEO.
Comfort Systems USA Raises Dividend
On Apr 23, 2026, Comfort Systems raised its quarterly dividend to $0.80 per share. That’s a $0.10 increase from the most recent dividend. That’s a yield of 0.15%.
It’s payable on May 26, 2026, to stockholders of record at the close of business on May 15, 2026.
Analysts Bullish on Comfort Systems USA in 2026 and 2027
After the big beat in the first quarter, it’s not surprising that the analysts raised full year 2026 earnings estimates. They also raised for 2027 as well.
One estimate is higher for 2026 in the last month which has pushed the Zacks Consensus Estimate up to $43.03 from $35.06. That’s earnings growth of 49% as Comfort Systems made just $28.88 last year.
Two estimates are higher for 2027 in the prior month. That has pushed up 2027’s Zacks Consensus to $51.36 from $41.00 which is further earnings growth of 19.4%.
The earnings consensus is going up as fast as the stock price.
Shares of Comfort Systems USA at New All-Time Highs
It’s been quite the ride for shareholders of Comfort Systems over the last 5 years as the AI Revolution has boosted demand for HVAC in the data centers.
Shares hit new highs in May 2026 and are up 2,164% over the last 5 years. That is easily beating the S&P 500 ETF (VOO), which is up 71% during that same period.
This year, the shares have been on fire as well.
Comfort Systems is a growth stock. It trades with a forward price-to-earnings (P/E) ratio of 44. A P/E over 30 usually indicates a company is expensive.
But investors are buying the growth which is expected to be both double digits in both earnings and sales this year and next.
For investors looking for big earnings growth and a way to invest in the AI infrastructure build-out, Comfort Systems USA should be on your short list.
Bear of the Day:
Builders FirstSource, Inc. is not seeing a turnaround in home building this year. This Zacks Rank #5 (Strong Sell) is expected to see another year of declining earnings in 2026.
Builders FirstSource provides building materials for professional builders in new residential construction, repair and remodeling. It has approximately 570 locations across 43 states.
It distributes a wide range of building products, including lumber, sheet goods, windows, doors, millwork, and specialty items.
Builders FirstSource Misses on Earnings in the First Quarter 2026
On Apr 30, 2026, Builders FirstSource reported first quarter 2026 results and missed on the Zacks Consensus by $0.12. Earnings were $0.27 compared to the Zacks Consensus of $0.39.
It was the second earnings miss in a row.
Net sales fell 10.1% to $3.3 billion, primarily due to a lower starts environment. The builders aren’t building at the same rate as prior years.
Gross profit margin decreased 220 basis points to 28.3%, also driven by a lower starts environment.
Builders FirstSource Lowers 2026 Guidance
The company has gotten more bearish since February, when it first gave its 2026 guidance.
It now expects net sales in the range of $14.6 billion to $14.8 billion, down from the previous guidance range of $14.8 billion to $15.8 billion.
Gross profit margins also fell to a range of 27.5% to 29% from 28.5% to 30%.
Analysts Slash 2026 and 2027 Earnings Estimates
It’s not surprising, given the headwinds the company faces, that the analysts are also bearish.
Five estimates were cut for 2026 in the last week, which pushed the Zacks Consensus down to $4.49 from $5.58. That’s an earnings decline of 34.8%.
It would be the fourth year in a row of earnings declines. The Federal Reserve began raising interest rates, which slowed the housing market, in 2022.
Four estimates were also cut for 2027 which pushed the Zacks Consensus down to $5.94 from $7.20.
Here’s what it looks like on the price and consensus chart.
Shares Plunge in 2026
The shares are now trading at multi-year lows but they have plunged further in 2026.
It has a low forward price-to-earnings (P/E) ratio of just 16.4. However, a P/E under 15 usually indicates the company is a value.
Builders FirstSource is shareholder friendly. While it’s not paying a dividend, the company has a share repurchase program. In the first quarter, Builders FirstSource repurchased 3.3 million shares for $302.9 million.
On Apr 29, 2026, the Board of Directors authorized the repurchase of an additional $500 million of shares, which includes the approximately $200 million remaining under the April 2025 authorization.
Since the inception of the share buyback program in Aug 2021, it has repurchased 49.7% of its total shares outstanding for a total cost of $8.3 billion.
The new home market is not going to rebound this year.
Investors might want to wait for green shoots in the 2027 earnings estimates before jumping in.
Additional content:
Robinhood Gold Hits Record Subscribers: Is the Bet Paying Off?
Robinhood Markets’ first-quarter 2026 results indicate that its subscription strategy is gaining momentum, even as parts of its trading business remained under pressure. Robinhood Gold subscribers rose 36% year over year to a record 4.3 million, while Gold subscription revenues increased 32% to $50 million. This growth reinforces the view that HOOD is building a more stable revenue stream beyond transaction-driven trading activity.
This shift matters as trading revenues can be highly volatile. In the first quarter, Robinhood reported 47% year-over-year decline in cryptocurrency revenues, highlighting how quickly changes in market sentiment can weigh on transaction-based income. By contrast, subscription revenues tend to be more predictable, particularly when customers continue to see value in benefits such as higher cash yields, premium tools and other account features.
The expansion of Robinhood Gold also points to deeper customer engagement. Management said Gold subscribers reached a 16% attach rate relative to the total customer base, while about 40% of new customers in the quarter joined Gold. In addition, the Robinhood Gold Card has now crossed 800,000 funded customers. This suggests Gold is not only appealing to existing active traders but is also becoming a key part of its strategy to attract and retain new users.
Supporting this momentum, Robinhood unveiled the next evolution of its credit card in March — the Robinhood Platinum Card — which has seen strong early demand. This is an invite-only premium offering aimed at higher-spending customers.
Despite strong growth, subscription revenues remain small versus Robinhood’s total first-quarter net revenues of $1.07 billion and cannot yet offset weakness in key trading categories. Still, continued Gold expansion, alongside growth in assets, deposits and long-term products, could make HOOD less dependent on trading spikes and support its broader consumer finance ambitions.
What Are HOOD’s Peers Doing to Diversify Business?
Charles Schwab and Interactive Brokers are the two closest peers of Robinhood.
Schwab is broadening its business mix by expanding wealth management, banking, asset management, custody and advisory services around its core brokerage franchise. The company is also emphasizing fee-based solutions, workplace retirement accounts and balance sheet management as key components of a more diversified revenue model. Schwab has announced plans to offer spot trading in Bitcoin and other popular digital assets if its pilot program proves successful.
Interactive Brokers is diversifying by broadening beyond commissions into net interest income, market data, sweep fees, risk-exposure charges and other client service revenues. Interactive Brokers is also expanding globally across stocks, options, futures, bonds, funds and crypto, serving both institutional and retail investors through one technology-driven platform.
HOOD’s Price Performance, Valuation & Estimate Analysis
Over the past six months, Robinhood’s shares have lost 39.7%, underlining investor pessimism over weakness in the crypto market. The industry has jumped 3.2% in the same period.
HOOD’s shares are currently trading at a premium to the industry. The company has a 12-month trailing price-to-tangible book (P/TB) of 7.71X compared with the industry average of 3.18X.
The Zacks Consensus Estimate for Robinhood’s 2026 earnings suggests a year-over-year decline of 4.4%, while the trend is likely to reverse next year, with earnings implying a 26.2% increase. In the past week, earnings estimates for 2026 and 2027 have been revised lower to $1.96 and $2.48 per share, respectively.
HOOD currently carries a Zacks Rank #5 (Strong Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Get all the details here >>
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
https://www.zacks.com
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.