NasdaqGS:BMCH

Stock Analysis Report

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Executive Summary

BMC Stock Holdings, Inc., together with its subsidiaries, provides various building products and services for homebuilder and professional contractor customers in the United States. More Details

Rewards

Earnings are forecast to grow 16.08% per year

Earnings grew by 11.1% over the past year

Risk Analysis

No risks detected for BMCH from our risk checks.


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

How has BMC Stock Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BMCH is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: BMCH's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

5.9%

BMCH

2.7%

US Trade Distributors

2.8%

US Market


1 Year Return

67.3%

BMCH

21.1%

US Trade Distributors

20.7%

US Market

Return vs Industry: BMCH exceeded the US Trade Distributors industry which returned 19.5% over the past year.

Return vs Market: BMCH exceeded the US Market which returned 19.8% over the past year.


Shareholder returns

BMCHIndustryMarket
7 Day5.9%2.7%2.8%
30 Day24.4%22.8%12.3%
90 Day20.1%14.7%6.4%
1 Year67.3%67.3%23.5%21.1%23.4%20.7%
3 Year115.4%115.4%36.8%30.3%47.2%37.4%
5 Year209.3%209.3%91.0%77.3%94.1%72.7%

Long-Term Price Volatility Vs. Market

How volatile is BMC Stock Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is BMC Stock Holdings undervalued compared to its fair value and its price relative to the market?

25.37x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BMCH ($49.55) is trading above our estimate of fair value ($34.87)

Significantly Below Fair Value: BMCH is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BMCH is poor value based on its PE Ratio (25.4x) compared to the US Trade Distributors industry average (21.9x).

PE vs Market: BMCH is poor value based on its PE Ratio (25.4x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: BMCH is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: BMCH is overvalued based on its PB Ratio (3x) compared to the US Trade Distributors industry average (1.7x).


Next Steps

Future Growth

How is BMC Stock Holdings forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

16.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BMCH's forecast earnings growth (16.1% per year) is above the savings rate (2.2%).

Earnings vs Market: BMCH's earnings (16.1% per year) are forecast to grow slower than the US market (22% per year).

High Growth Earnings: BMCH's earnings are forecast to grow, but not significantly.

Revenue vs Market: BMCH's revenue (4.8% per year) is forecast to grow slower than the US market (10.2% per year).

High Growth Revenue: BMCH's revenue (4.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BMCH's Return on Equity is forecast to be low in 3 years time (15.2%).


Next Steps

Past Performance

How has BMC Stock Holdings performed over the past 5 years?

42.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BMCH has high quality earnings.

Growing Profit Margin: BMCH's current net profit margins (3.4%) are higher than last year (3.3%).


Past Earnings Growth Analysis

Earnings Trend: BMCH's earnings have grown significantly by 42.8% per year over the past 5 years.

Accelerating Growth: BMCH's earnings growth over the past year (11.1%) is below its 5-year average (42.8% per year).

Earnings vs Industry: BMCH earnings growth over the past year (11.1%) exceeded the Trade Distributors industry -6.9%.


Return on Equity

High ROE: BMCH's Return on Equity (11.9%) is considered low.


Next Steps

Financial Health

How is BMC Stock Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: BMCH's short term assets ($1.2B) exceed its short term liabilities ($528.9M).

Long Term Liabilities: BMCH's short term assets ($1.2B) exceed its long term liabilities ($546.1M).


Debt to Equity History and Analysis

Debt Level: BMCH's debt to equity ratio (31.4%) is considered satisfactory.

Reducing Debt: BMCH's debt to equity ratio has reduced from 186.5% to 31.4% over the past 5 years.

Debt Coverage: BMCH's debt is well covered by operating cash flow (73.5%).

Interest Coverage: BMCH's interest payments on its debt are well covered by EBIT (9.6x coverage).


Balance Sheet


Next Steps

Dividend

What is BMC Stock Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate BMCH's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate BMCH's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if BMCH's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BMCH's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BMCH's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.1yrs

Average management tenure


CEO

Dave Flitman (56 yo)

2.17yrs

Tenure

US$3,626,092

Compensation

Mr. David E. Flitman, also known as Dave, has been President, Chief Executive Officer and Director at BMC Stock Holdings Inc. since September 26, 2018. He was Executive Vice President, Chief Executive Offi...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD3.63M) is about average for companies of similar size in the US market ($USD5.14M).

Compensation vs Earnings: Dave's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
David Flitman
CEO, President & Director2.17yrsUS$3.63m0.11%
$ 3.6m
James Major
Executive VPno dataUS$1.53m0.13%
$ 4.3m
Timothy Johnson
Executive VP1.83yrsUS$991.74k0.0060%
$ 196.5k
Michael Farmer
Executive Vice President of Operational Excellenceno dataUS$897.31k0.0099%
$ 324.8k
Joyce Vonada
Chief Information Officer2yrsno datano data
Carey Phelps
Director of Investor Relations4.25yrsno datano data
Michael Neese
Senior Vice President of Strategy & Investor Relations1yrno datano data
Michael Badgley
Executive Vice President of Company-Wide Operationsno datano datano data
William Gay
Senior Vice President of Operations Finance & Credit3.67yrsno datano data
C. Ball
VP, Deputy General Counsel & Asst Secretaryno datano datano data

2.1yrs

Average Tenure

48yo

Average Age

Experienced Management: BMCH's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Flitman
CEO, President & Director2.17yrsUS$3.63m0.11%
$ 3.6m
Mark Alexander
Independent Director3.25yrsUS$230.01k0.021%
$ 683.5k
Carl Vertuca
Independent Director4.92yrsUS$235.16k0.037%
$ 1.2m
James O'Leary
Independent Chairman of the Board0.83yrUS$230.01k0.066%
$ 2.2m
Cory Boydston
Independent Director2.67yrsUS$205.01k0.017%
$ 545.9k
David Bullock
Independent Member of the Board4.92yrsUS$322.53k0.10%
$ 3.4m
Henry Lees-Buckley
Independent Director3.25yrsUS$211.01k0.021%
$ 683.5k
Cheemin Bo-Linn
Independent Director1.5yrsUS$173.25k0.0079%
$ 259.6k
David Keltner
Independent Director4.92yrsUS$211.04k0.055%
$ 1.8m
Michael Miller
Independent Director4.92yrsUS$205.01k0.052%
$ 1.7m

3.3yrs

Average Tenure

59.5yo

Average Age

Experienced Board: BMCH's board of directors are considered experienced (3.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

BMC Stock Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BMC Stock Holdings, Inc.
  • Ticker: BMCH
  • Exchange: NasdaqGS
  • Founded: 1922
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: US$3.291b
  • Shares outstanding: 67.28m
  • Website: https://www.buildwithbmc.com

Number of Employees


Location

  • BMC Stock Holdings, Inc.
  • 4800 Falls of Neuse Road
  • Suite 400
  • Raleigh
  • North Carolina
  • 27609
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BMCHNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDDec 2015
SB9DB (Deutsche Boerse AG)YesCommon SharesDEEURDec 2015

Biography

BMC Stock Holdings, Inc., together with its subsidiaries, provides various building products and services for homebuilder and professional contractor customers in the United States. It offers structural co...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/27 23:13
End of Day Share Price2020/11/27 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.