UFP Industries (NASDAQ:UFPI) Shares Gap Down After Earnings Miss

UFP Industries, Inc. (NASDAQ:UFPI)’s share price gapped down prior to trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $131.57, but opened at $121.72. UFP Industries shares last traded at $120.93, with a volume of 34,269 shares.

The construction company reported $1.64 EPS for the quarter, missing analysts’ consensus estimates of $1.89 by ($0.25). UFP Industries had a net margin of 7.02% and a return on equity of 15.86%. The company had revenue of $1.65 billion during the quarter, compared to analysts’ expectations of $1.76 billion. During the same period last year, the business earned $2.10 earnings per share. The company’s quarterly revenue was down 9.8% on a year-over-year basis.

Wall Street Analyst Weigh In

Several research firms have commented on UFPI. Wedbush raised UFP Industries from a “neutral” rating to an “outperform” rating and lifted their price target for the stock from $120.00 to $155.00 in a research report on Tuesday, October 8th. StockNews.com downgraded shares of UFP Industries from a “strong-buy” rating to a “buy” rating in a research report on Friday, July 5th. BMO Capital Markets raised their price objective on shares of UFP Industries from $115.00 to $125.00 and gave the stock a “market perform” rating in a research report on Wednesday, July 31st. Stifel Nicolaus lifted their price objective on shares of UFP Industries from $125.00 to $157.00 and gave the company a “buy” rating in a research note on Wednesday, July 31st. Finally, Benchmark increased their target price on shares of UFP Industries from $133.00 to $155.00 and gave the stock a “buy” rating in a research note on Wednesday, July 31st. Two equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $139.60.

Hedge Funds Weigh In On UFP Industries

A number of large investors have recently bought and sold shares of the company. Assenagon Asset Management S.A. increased its stake in shares of UFP Industries by 216.3% during the third quarter. Assenagon Asset Management S.A. now owns 202,124 shares of the construction company’s stock worth $26,521,000 after acquiring an additional 138,215 shares during the period. AQR Capital Management LLC increased its position in UFP Industries by 22.7% during the 2nd quarter. AQR Capital Management LLC now owns 608,187 shares of the construction company’s stock worth $67,594,000 after purchasing an additional 112,518 shares during the period. Picton Mahoney Asset Management raised its stake in shares of UFP Industries by 103.3% during the 2nd quarter. Picton Mahoney Asset Management now owns 115,549 shares of the construction company’s stock worth $12,941,000 after buying an additional 58,724 shares in the last quarter. F M Investments LLC acquired a new stake in shares of UFP Industries in the 2nd quarter valued at approximately $6,028,000. Finally, Cubist Systematic Strategies LLC boosted its stake in shares of UFP Industries by 289.5% in the second quarter. Cubist Systematic Strategies LLC now owns 56,966 shares of the construction company’s stock valued at $6,380,000 after buying an additional 42,341 shares in the last quarter. Hedge funds and other institutional investors own 81.81% of the company’s stock.

UFP Industries Price Performance

The company has a quick ratio of 3.18, a current ratio of 4.34 and a debt-to-equity ratio of 0.07. The stock has a fifty day moving average of $126.83 and a two-hundred day moving average of $120.53. The stock has a market cap of $7.60 billion, a price-to-earnings ratio of 15.30 and a beta of 1.39.

About UFP Industries

UFP Industries, Inc, through its subsidiaries, designs, manufactures, and markets wood and non-wood composites, and other materials in North America, Europe, Asia, and Australia. It operates through Retail, Packaging, and Construction segments. The Retail segment offers treated lumber products, including decking, fencing, lattice, and other products; pressure-treated and fire-retardant products used primarily for outdoor decking environments; and lawn and garden products, consisting of wood and vinyl fencing options, garden beds and planters, pergolas, picnic tables, and other landscaping products.