Does SiteOne (SITE) Prioritize Growth Over Buybacks as Sales Rise and Reinvestment Continues?

• SiteOne Landscape Supply, Inc. recently announced third quarter 2025 earnings, reporting sales of US$1.26 billion and net income of US$59.1 million, both higher than the prior year, along with a positive outlook for modest organic sales growth in the upcoming quarter.
• An interesting detail is that while strong operational gains were achieved, no shares were repurchased by the company during the latest period, signaling a focus on reinvestment over capital return.
• We'll explore how SiteOne's higher sales and positive fourth quarter outlook could influence its long-term growth and margin expectations.

We've found 16 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.

SiteOne Landscape Supply Investment Narrative Recap

To be a shareholder of SiteOne Landscape Supply, you need to believe in the company’s ability to drive long-term growth through operational improvement, consolidation of smaller high-margin businesses, and steady expansion of its customer base. The recent earnings report, showing higher third-quarter sales and net income with a positive sales outlook, supports confidence in organic growth but does not materially alter the short-term catalyst of improving end-market demand or address the primary risk of exposure to cyclical construction and repair markets. One of the most relevant updates is SiteOne’s unchanged approach to its buyback program, with no shares repurchased in the latest quarter. This aligns with the company’s focus on deploying capital for reinvestment and organic growth, key factors behind its margin and revenue expectations, especially since growth is expected to remain modest in the near term. Yet, against these positive developments, investors should be aware that exposure to cyclical end markets remains...

Read the full narrative on SiteOne Landscape Supply (it's free!)

SiteOne Landscape Supply is projected to reach $5.3 billion in revenue and $263.9 million in earnings by 2028. This outlook is based on an expected 4.8% annual revenue growth rate and a $138.7 million increase in earnings from the current $125.2 million.

Uncover how SiteOne Landscape Supply's forecasts yield a $156.40 fair value, a 27% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members put SiteOne’s fair value between US$99 and US$156, based on two personal assessments. With end market demand still being the key catalyst for organic growth, you can see just how much opinions differ and why it pays to consider more than one view.

Explore 2 other fair value estimates on SiteOne Landscape Supply - why the stock might be worth as much as 27% more than the current price!

Build Your Own SiteOne Landscape Supply Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your SiteOne Landscape Supply research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free SiteOne Landscape Supply research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate SiteOne Landscape Supply's overall financial health at a glance.

Ready To Venture Into Other Investment Styles?

Our top stock finds are flying under the radar-for now. Get in early:

• The best AI stocks today may lie beyond giants like Nvidia and Microsoft. Find the next big opportunity with these 24 smaller AI-focused companies with strong growth potential through early-stage innovation in machine learning, automation, and data intelligence that could fund your retirement.
• Trump's oil boom is here - pipelines are primed to profit. Discover the 22 US stocks riding the wave.
• Rare earth metals are the new gold rush. Find out which 34 stocks are leading the charge.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com