BlueLinx Holdings Inc. (NYSE:BXC) Receives Average 'Buy' Rating from Analysts

BlueLinx Holdings Inc. (NYSE:BXC - Get Free Report) has gained an average rating of "Buy" from three investment firms currently covering the company, according to MarketBeat.com. These analysts have all assigned a buy rating to the stock. The average price target over the next 12 months, as reported by these brokerages, is $124.67.

A number of financial analysts have recently provided their insights on BlueLinx. DA Davidson adjusted its target price from $137.00 to $119.00 while maintaining a "buy" rating. On the following day, Benchmark also revised its target price down from $135.00 to $120.00, yet kept a "buy" rating. Similarly, Loop Capital decreased its target from $135.00 to $120.00, again with a "buy" recommendation. However, StockNews.com made a different move, lowering BlueLinx's rating from "buy" to "hold." This mix of analysts' opinions highlights differing views on the stock's potential.

Recent Investment Activity

Many hedge funds have shifted their holdings in BlueLinx recently. Dimensional Fund Advisors LP increased its stake by 0.3% in the last quarter, acquiring an additional 1,889 shares, bringing their total to 579,636 shares valued at approximately $59.2 million. American Century Companies Inc. raised its stake by 8.4%, now owning 311,567 shares with a value of about $31.8 million after purchasing 24,087 additional shares.

Victory Capital Management Inc. made a substantial increase by 600.3% in its holdings during the third quarter, now owning 218,685 shares worth around $23 million after acquiring 187,456 shares. Charles Schwab Investment Management Inc. also boosted its position by 19.6%, ending up with 199,871 shares valued at about $20.4 million. Meanwhile, State Street Corp saw a modest increase of 0.6% in their holdings, owning 198,003 shares after adding 1,252 shares. Overall, institutional investors now hold 90.83% of BlueLinx's total stock, emphasizing strong institutional interest.

Current Market Performance

On Friday, BXC shares experienced a decline of 7.4%, dropping $6.69 to reach a trading price of $83.56. During midday trading, a total of 54,693 shares changed hands, slightly below the average volume of 64,222. Currently, the company has a fifty-day simple moving average of $104.81 and a two-hundred day simple moving average of $107.52. BlueLinx has seen a one-year low of $82.99 and a high of $134.79. With a market capitalization of $693.09 million, the firm reports a price-to-earnings ratio of 13.61 and a beta of 2.04. The company maintains a strong balance sheet with a quick ratio of 3.26 and a current ratio of 4.85, alongside a debt-to-equity ratio of 0.89.

Earnings Overview

BlueLinx announced its quarterly earnings on February 18, reporting earnings per share (EPS) of $0.51. This result fell slightly short of analysts' expectations, which had estimated an EPS of $0.52, marking a difference of $0.01. The company's net margin stood at 1.80%, with a return on equity of 7.50%. The total revenue for the quarter reached $710.64 million, surpassing analyst forecasts of $700.66 million.

About BlueLinx

BlueLinx Holdings Inc., along with its subsidiaries, operates as a distributor of building products for both residential and commercial sectors within the United States. The company specializes in a range of products, including engineered wood, siding, millwork, outdoor living materials, specialty lumber, and various industrial products. Additionally, BlueLinx distributes structural products such as lumber, plywood, oriented strand boards, rebars, and remesh—all essential for supporting construction projects.

BlueLinx, Analysts, Investments