TopBuild (NYSE:BLD) Trading Down 7% – Should You Sell?

Shares of TopBuild Corp. (NYSE:BLD) traded down 7% during mid-day trading on Tuesday . The company traded as low as $341.78 and last traded at $334.5250. Approximately 318,135 shares were traded during trading, a decline of 49% from the average daily volume of 619,516 shares. The stock had previously closed at $359.76.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on BLD. Zacks Research upgraded shares of TopBuild from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 6th. Weiss Ratings reiterated a “hold (c)” rating on shares of TopBuild in a research report on Tuesday, June 9th. Wells Fargo & Company dropped their price objective on shares of TopBuild from $525.00 to $475.00 and set an “overweight” rating for the company in a research note on Wednesday, April 8th. Loop Capital downgraded TopBuild from a “buy” rating to a “hold” rating and set a $485.00 price objective for the company. in a research report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. reaffirmed a “neutral” rating and issued a $496.00 target price (up from $487.00) on shares of TopBuild in a research note on Tuesday, April 21st. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and nine have given a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $460.00.

TopBuild Price Performance

The company has a market capitalization of $9.94 billion, a price-to-earnings ratio of 19.92, a PEG ratio of 4.80 and a beta of 1.80. The company has a current ratio of 2.00, a quick ratio of 1.41 and a debt-to-equity ratio of 1.16. The company’s 50 day simple moving average is $416.35 and its 200-day simple moving average is $429.67.

TopBuild (NYSE:BLD) last posted its quarterly earnings data on Tuesday, May 5th. The construction company reported $3.75 earnings per share for the quarter, beating analysts’ consensus estimates of $3.64 by $0.11. The business had revenue of $1.45 billion during the quarter, compared to analyst estimates of $1.41 billion. TopBuild had a net margin of 8.95% and a return on equity of 23.53%. The company’s revenue was up 17.2% on a year-over-year basis. During the same quarter in the previous year, the business posted $4.63 earnings per share. On average, equities research analysts predict that TopBuild Corp. will post 18.07 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of BLD. Greenleaf Trust boosted its holdings in shares of TopBuild by 1.8% during the fourth quarter. Greenleaf Trust now owns 1,214 shares of the construction company’s stock worth $506,000 after purchasing an additional 22 shares during the last quarter. Root Financial Partners LLC lifted its position in TopBuild by 25.3% during the fourth quarter. Root Financial Partners LLC now owns 109 shares of the construction company’s stock worth $45,000 after buying an additional 22 shares during the period. UMB Bank n.a. lifted its position in TopBuild by 6.1% during the fourth quarter. UMB Bank n.a. now owns 384 shares of the construction company’s stock worth $160,000 after buying an additional 22 shares during the period. Bessemer Group Inc. boosted its stake in TopBuild by 7.9% in the 1st quarter. Bessemer Group Inc. now owns 328 shares of the construction company’s stock worth $115,000 after buying an additional 24 shares during the last quarter. Finally, Kera Capital Partners Inc. boosted its stake in TopBuild by 3.3% in the 1st quarter. Kera Capital Partners Inc. now owns 789 shares of the construction company’s stock worth $277,000 after buying an additional 25 shares during the last quarter. 95.67% of the stock is currently owned by institutional investors and hedge funds.

About TopBuild

TopBuild Corp. (NYSE: BLD) is a leading installer and distributor of insulation and building material products serving primarily the U.S. construction market. Headquartered in Daytona Beach, Florida, the company was formed in 2011 as a spin-off from ABF Freight System and has since grown through a combination of organic expansion and targeted acquisitions. TopBuild’s core mission is to enhance energy efficiency and comfort in new residential and light commercial construction projects by providing comprehensive insulation solutions and related services.

The company operates through two main segments.