TopBuild (NYSE:BLD) Hits New 52-Week High – Should You Buy?

TopBuild Corp. (NYSE:BLD)’s share price reached a new 52-week high during trading on Friday . The stock traded as high as $463.62 and last traded at $461.5280, with a volume of 80191 shares. The stock had previously closed at $441.07.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on BLD. DA Davidson reissued a “buy” rating and issued a $485.00 price target on shares of TopBuild in a report on Wednesday, December 10th. Truist Financial boosted their target price on shares of TopBuild from $370.00 to $390.00 and gave the company a “hold” rating in a research note on Thursday, October 9th. Vertical Research initiated coverage on shares of TopBuild in a research report on Tuesday, October 21st. They set a “buy” rating and a $517.96 price target on the stock. Benchmark lifted their price objective on shares of TopBuild from $444.00 to $515.00 and gave the company a “buy” rating in a report on Wednesday, November 5th. Finally, Weiss Ratings raised shares of TopBuild from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday, December 31st. Two investment analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $437.06.

TopBuild Price Performance

The company has a quick ratio of 2.45, a current ratio of 2.90 and a debt-to-equity ratio of 1.26. The company has a market capitalization of $13.05 billion, a price-to-earnings ratio of 23.60, a PEG ratio of 7.69 and a beta of 1.68. The stock’s 50-day simple moving average is $430.85 and its two-hundred day simple moving average is $412.60.

TopBuild (NYSE:BLD) last announced its earnings results on Tuesday, November 4th. The construction company reported $5.36 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.22 by $0.14. TopBuild had a net margin of 10.84% and a return on equity of 27.10%. The business had revenue of $1.39 billion for the quarter, compared to analyst estimates of $1.38 billion. During the same quarter last year, the business earned $5.68 earnings per share. The company’s revenue for the quarter was up 1.4% compared to the same quarter last year. Equities research analysts predict that TopBuild Corp. will post 20.97 earnings per share for the current year.

Insider Buying and Selling

In other TopBuild news, VP Luis Francisco Machado sold 1,000 shares of the stock in a transaction that occurred on Wednesday, November 26th. The stock was sold at an average price of $450.40, for a total transaction of $450,400.00. Following the completion of the transaction, the vice president owned 9,349 shares of the company’s stock, valued at $4,210,789.60. This represents a 9.66% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 0.43% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Advisory Services Network LLC acquired a new stake in TopBuild during the 3rd quarter worth $27,000. Root Financial Partners LLC purchased a new position in shares of TopBuild in the third quarter worth about $34,000. Migdal Insurance & Financial Holdings Ltd. acquired a new position in TopBuild during the second quarter worth about $35,000. MAI Capital Management grew its stake in TopBuild by 28.3% during the 2nd quarter. MAI Capital Management now owns 118 shares of the construction company’s stock valued at $38,000 after acquiring an additional 26 shares in the last quarter. Finally, SJS Investment Consulting Inc. raised its holdings in TopBuild by 3,433.3% in the 3rd quarter. SJS Investment Consulting Inc. now owns 106 shares of the construction company’s stock valued at $41,000 after acquiring an additional 103 shares during the last quarter. 95.67% of the stock is owned by institutional investors and hedge funds.

TopBuild Company Profile

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.