Stock fact sheet · data as of
Builders FirstSource, Inc. (BLDR): fair value, margin of safety and Wheel Score
Ticker symbol BLDR · Basic Materials · Construction Materials · United States · Blend
Is BLDR undervalued?
At 69.50 (close of 5 Nov 2026), BLDR trades 122% over the GLS average fair value of 31.29, with 2 of 8 models above the price. The stock earns none of the Wheel Score's Value points at this price. That is a statement about price against trailing fundamentals, not about the company's prospects - the Wall Street View and the Growth tab on the Quote page carry the forward numbers.
The 8 models disagree widely: GLS Growth gives 1.10 while DCF gives 118.41. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for BLDR, so the nightly engine files it under Blend (value score 29, growth score 14, out of 100).
Nine valuation models for BLDR
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 118.41 | +70% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 17.94 | -74% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 11.55 | -83% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 4.30 | -94% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 1.10 | -98% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 74.75 | +8% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 18.08 | -74% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 4.19 | -94% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -36.78 | -153% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 72.07 | +4% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - BLDR passes 6 of the nine Piotroski tests, which passes the "Piotroski 6 or more" Wheel Trade Filter. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 6.6 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are thin or negative - ROIC 4.4%, ROE 10.0%, ROA 3.9% - with debt at 1.30 times equity and a free-cash-flow yield of 3.4%.
Builders FirstSource, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Lumber And Lumber Sheet Goods 27%, Specialty Building Products And Services 27%, Windows Doors And Millwork 24% (quarter Q3 FY2026).
Institutional ownership scores 10/10, insider activity 9/10 and Congressional trading 4/10 on the GLS smart-money scales; the last recorded Congressional buy was on 11 Sep 2026.
| Piotroski F-score | 6 / 9 | ROIC | 4.4% |
|---|---|---|---|
| GLS Moat | 6.6 / 10 | ROE | 10.0% |
| Debt / equity | 1.30 | ROA | 3.9% |
| Free-cash-flow yield | 3.4% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 9 · 4 / 10 |
Wheel Score 35: Weak
BLDR scores 35 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 3, below fair value - trades 122% above our fair value; and filter 5, can repay its debt - 4.1 years to repay its debt (over 3); and filter 6, no serious red flags - Red Flags score 50 (under 60), and the parts are thin too - value weak, premium strong, moat good, health good, red flags weak, option trading fair, stability fair. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 55% on the near-the-money contracts 20-60 days out - inside the 35-60% sweet spot the Wheel Score rewards most: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 23,171 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 4.2M shares a day on a market cap of $7.5B, with a beta of 1.44 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Fails | trades 122% above our fair value |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Fails | 4.1 years to repay its debt (over 3) |
| 6 | No serious red flags | Fails | Red Flags score 50 (under 60) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Weak | 122% above fair value | |
| Premium | Strong | implied volatility 55% | |
| Moat | Good | moat 6.6/10 | |
| Health | Good | Piotroski 6/9 | |
| Red Flags | Weak | Red Flags score 50/100 | |
| Option trading | Fair | 2,266 contracts a day, 23,171 open interest | |
| Stability | Fair | beta 1.44, $7.5B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for BLDR in the nightly calendar.
Analysts downgraded BLDR 3 times in the last 30 days with no upgrades; the latest action was a reiterated rating by Goldman Sachs on 30 Oct 2026.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Construction Materials
The 12 companies below are the closest to Builders FirstSource, Inc. by market cap within the Construction Materials industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| AWI Armstrong World Industries, Inc. | 175.95 | 158.48 | -11% | 29Weak | $7.4B |
| SPXC SPX Technologies, Inc. | 153.47 | 145.69 | -5% | 34Weak | $7.7B |
| SSD Simpson Manufacturing Co., Inc. | 205.16 | 121.42 | -69% | 40Weak | $8.4B |
| EXP Eagle Materials Inc. | 198.19 | 189.74 | -4% | 36Weak | $6.1B |
| TREX Trex Company, Inc. | 57.15 | 43.32 | -32% | 40Weak | $5.8B |
| FBIN Fortune Brands Innovations, Inc. | 47.47 | 30.02 | -58% | 35Weak | $5.7B |
| OC Owens Corning | 127.80 | 178.38 | +28% | 48Weak | $10.1B |
| WMS Advanced Drainage Systems, Inc. | 144.18 | 122.12 | -18% | 37Weak | $10.9B |
| GFF Griffon Corporation | 107.52 | 103.04 | -4% | 32Weak | $4.9B |
| CSL Carlisle Companies Incorporated | 398.82 | 269.63 | -48% | 39Weak | $15.4B |
| USLM United States Lime & Minerals, Inc. | 123.38 | 100.64 | -23% | 35Weak | $3.5B |
| KNF Knife River Corporation | 62.24 | 70.80 | +12% | 38Weak | $3.5B |
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A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about BLDR
Is BLDR undervalued right now?
No: at 69.50 the stock trades 122% above the GLS average fair value of 31.29 (data as of 5 Nov 2026), well beyond what trailing earnings, cash flow and book value support.
What is the Wheel Score of BLDR and what does it mean?
BLDR scores 35 out of 100 (Weak) - it fails Wheel Trade Filters 3, 5, 6. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for BLDR?
31.29 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Builders FirstSource, Inc. report earnings next?
No upcoming earnings date is recorded for BLDR in our calendar as of 5 Nov 2026; the Calendars page is refreshed every morning.
Does BLDR have listed options, and how liquid are they?
Yes. The nightly snapshot found 96 listed contracts with 23,171 open interest across all expiries and implied volatility of 55% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.