Long Position on BLDR @ $119.00 on 5/17/2023 (Momentum)

Builders FirstSource, Inc. (BLDR) manufactures and supplies building materials, manufactured components, and construction services to professional homebuilders, sub-contractors, remodelers, and consumers in the United States. Stockwinners

It offers lumber and lumber sheet goods comprising dimensional lumber, plywood, and oriented strand board products that are used in on-site house framing; manufactured products, such as wood floor and roof trusses, steel roof trusses, wall panels, stairs, and engineered wood products; and windows, and interior and exterior door units, as well as interior trims and custom products comprising intricate mouldings, stair parts, and columns under the Synboard brand name.

The company also provides specialty building products and services, including vinyl, composite and wood siding, exterior trims, metal studs, cement, roofing, insulation, wallboards, ceilings, cabinets, and hardware products; products turn-key framing, shell construction, design assistance, and professional installation services.

In addition, it offers software products, such as drafting, estimating, quoting, and virtual home design services, which provide software solutions to retailers, distributors, manufacturers, and homebuilders.

Shares have formed a bullish "flag" following its latest quarterly report. On May 3rd, BLDR reported 1st Quarter March 2023 earnings of $2.96 per share on revenue of $3.9 billion. The consensus earnings estimate was $1.63 per share on revenue of $3.6 billion. Higher share prices are expected. 

 

Entry Point: $119.00

Stop Loss: $113.00

Trading Range: $48.91 - $119.90

Target Price: $131.00

Position closed on 6/20/2023 at price of $125.50 with a 5.46% gain in 34 days.

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