BlueLinx (NYSE:BXC) Sets New 1-Year Low – Here’s Why

BlueLinx Holdings Inc. (NYSE:BXC) shares reached a new 52-week low on Tuesday . The company traded as low as $63.12 and last traded at $63.80, with a volume of 946 shares changing hands. The stock had previously closed at $64.85.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on BXC. Wall Street Zen cut shares of BlueLinx from a “hold” rating to a “sell” rating in a report on Friday, July 18th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of BlueLinx in a report on Wednesday, October 8th. Benchmark cut their price objective on shares of BlueLinx from $110.00 to $83.00 and set a “buy” rating for the company in a report on Friday, August 1st. Finally, DA Davidson set a $75.00 target price on shares of BlueLinx and gave the company a “neutral” rating in a research report on Monday, August 4th. Two investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $91.00.

BlueLinx Trading Down 0.7%

The company’s 50-day moving average price is $75.32 and its 200-day moving average price is $74.11. The firm has a market cap of $508.21 million, a price-to-earnings ratio of 19.11 and a beta of 1.58. The company has a quick ratio of 2.94, a current ratio of 4.55 and a debt-to-equity ratio of 0.96.

BlueLinx declared that its board has authorized a share repurchase program on Tuesday, July 29th that allows the company to buyback $50.00 million in outstanding shares. This buyback authorization allows the construction company to repurchase up to 8% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On BlueLinx

A number of institutional investors and hedge funds have recently bought and sold shares of BXC. Versant Capital Management Inc boosted its position in BlueLinx by 86.2% during the third quarter. Versant Capital Management Inc now owns 350 shares of the construction company’s stock worth $26,000 after acquiring an additional 162 shares during the last quarter. State of Alaska Department of Revenue acquired a new position in BlueLinx during the third quarter worth about $29,000. CWM LLC boosted its position in BlueLinx by 92.8% during the first quarter. CWM LLC now owns 696 shares of the construction company’s stock worth $52,000 after acquiring an additional 335 shares during the last quarter. Tower Research Capital LLC TRC boosted its position in BlueLinx by 114.1% during the second quarter. Tower Research Capital LLC TRC now owns 792 shares of the construction company’s stock worth $59,000 after acquiring an additional 422 shares during the last quarter. Finally, PNC Financial Services Group Inc. boosted its position in BlueLinx by 169.7% during the first quarter. PNC Financial Services Group Inc. now owns 1,618 shares of the construction company’s stock worth $121,000 after acquiring an additional 1,018 shares during the last quarter. 90.83% of the stock is currently owned by institutional investors and hedge funds.

BlueLinx Company Profile

BlueLinx Holdings Inc, together with its subsidiaries, engages in the distribution of residential and commercial building products in the United States. It distributes specialty products, including engineered wood, siding, millwork, outdoor living, specialty lumber and panels, and industrial products; and structural products, such as lumber, plywood, oriented strand boards, rebars and remesh, as well as other wood products that are used for structural support in construction projects.