---
title: Builders FirstSource (BLDR) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/bldr
ticker: BLDR
as_of: 2026-10-17
sector: Basic Materials
industry: Construction Materials
---
# Builders FirstSource (BLDR)

Builders FirstSource (BLDR) closed at $54.65 on Oct 16, 2026, undervalued by 75% vs its model value of $217.39 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $54.65 (Oct 16, 2026) |
| Model value (from a five-year discounted cash flow) | $217.39 |
| Price vs model | undervalued by 75% vs model |
| Range of that model | $137.14 – $480.40 |
| Market value | $5.9B |
| P/E (fiscal 2025) | 14.0 |
| Net margin (fiscal 2025) | 2.9% |
| Free cash flow (fiscal 2025) | $853.3M |
| Dividend yield (trailing twelve months) | 0.00% |
| Beta | 1.45 |
| Cost of capital (WACC) | 8.11% |
| Business classification | Cyclical (Revenue declining (~-6% recent), Thin margins (2.9% net margin), Highly cyclical earnings, Strong FCF yield (14.5%)) |

## On the stock lists

| List | Place | Figure | Page |
| --- | ---: | ---: | --- |
| Highest free cash flow yield | #11 | 14.5% | https://sweetvaluelab.com/lists/highest-free-cash-flow-yield |
| Worst performing this year | #13 | −46.9% | https://sweetvaluelab.com/lists/worst-performing-this-year |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $217.39 | $137.14 | $480.40 |
| DCF · Perpetuity growth · 10y | cross check | $225.25 | $147.20 | $476.31 |
| DCF · EBITDA exit · 5y | cross check | $237.08 | $156.95 | $331.58 |
| DCF · EBITDA exit · 10y | cross check | $241.36 | $161.81 | $347.65 |
| P/E · peers | cross check | $59.86 | $58.00 | $68.67 |
| P/E · own history | cross check | $45.02 | $26.88 | $55.42 |
| PEG | sanity check | $45.01 | $45.01 | $45.01 |
| EV/EBITDA · peers | cross check | $112.33 | $107.54 | $122.29 |
| EV/Revenue · peers | cross check | $216.70 | $88.73 | $293.65 |
| Earnings power value | cross check | $54.36 | $39.93 | $75.34 |
| Dividend discount | cross check | $0.00 | $0.00 | $0.00 |

## Insider activity (SEC Form 4)

No open-market insider buys or sales filed in the past 90 days.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Sep 10, 2026 | Steinke Craig Arthur | Director | Grant / award | 564 | $0 |
| Sep 10, 2026 | OLEARY JAMES | Director | Grant / award | 564 | $0 |
| Sep 10, 2026 | Charles Dirkson R | Director | Grant / award | 470 | $0 |
| Sep 10, 2026 | Renz Maria | Director | Grant / award | 489 | $0 |
| Sep 10, 2026 | LEVY PAUL S | Director | Grant / award | 1,204 | $0 |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Oct 16, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers | https://www.sec.gov/Archives/edgar/data/1316835/000119312526424245/bldr-20260603.htm |
| Aug 7, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers | https://www.sec.gov/Archives/edgar/data/1316835/000119312526340381/d109986d8k.htm |
| Jul 30, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/1316835/000119312526325451/bldr-20260630.htm |
| Jul 30, 2026 | 8-K | 2.02 Results of Operations (Earnings); 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/1316835/000119312526324859/bldr-20260730.htm |
| Jun 5, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers | https://www.sec.gov/Archives/edgar/data/1316835/000119312526259521/bldr-20260603.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| Glenn Greenberg | 2026-06-30 | 2,340,571 | $209.4M |
| Christopher Bloomstran | 2026-06-30 | 553,722 | $49.5M |
| Francois Rochon | 2026-06-30 | 91,464 | $8.2M |
| Bridgewater | 2026-06-30 | 51,283 | $4.6M |

7 tracked managers in all.

## About

Builders FirstSource, Inc. engages in the supply and manufacture of building materials, manufactured components, and construction services to professional homebuilders, sub-contractors, remodelers, and consumers. Its products include factory-built roof and floor trusses, wall panels and stairs, vinyl windows, custom millwork and trim, and engineered wood. The company was founded by Kevin P. O'Meara, Donald F. McAleenan and John D. Roach in March 1998 and is headquartered in Irving, TX.

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Source: https://sweetvaluelab.com/stocks/bldr (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.