Long Position on CBPX @ $21.50 on 5/23/2016 (Momentum)

Continental Building Products, Inc. (CBPX) is a manufacturer of gypsum wallboard and complementary finishing products.

The Company's manufacturing facilities and sales efforts are concentrated in the eastern United States and eastern Canada. Gypsum wallboard is a primary building material used in new residential and commercial construction and in repair and remodel (R&R). The Company manufactures gypsum wallboard related products for commercial and residential buildings and houses.

The Company offers a range of gypsum wallboard products, including LiftLite, Mold Defense and Weather Defense. LiftLite is a lightweight wallboard for use on interior walls and ceilings. Mold Defense is designed for protection against mold and mildew. Weather Defense is a line of moisture and mold-resistant exterior sheathing.

It operates automated manufacturing facilities in Silver Grove (Kentucky), Palatka (Florida) and Buchanan (New York). Shares have formed a bullish "cup and handle" following the company's recent earnings report on May 9th. On a per-share basis the company reported a profit of 30 cents, well above the expected 16 cents per share. It posted revenue of $111.5 million, above the expected $95.6 million. 

Higher share prices are expected for this stock.

52-Weeks Trading Range: $13.25 - $24.21

Entry Point: $21.50

Stop Loss: $20.40

Target Price: $23.70

Updates

7/8/2016 11:19:20 AM

CBPX closed at $23.09

Position closed on 7/8/2016 at price of $23.09 with a 7.40% gain in 46 days.

Back to Portfolio