NYSE:BLD

Stock Analysis Report

Executive Summary

TopBuild Corp. engages in the installation and distribution of insulation and other building products to the United States construction industry.

Snowflake

Fundamentals

Mediocre balance sheet with acceptable track record.

Share Price & News

How has TopBuild's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.4%

BLD

-1.3%

US Consumer Durables

-0.6%

US Market


1 Year Return

53.8%

BLD

12.7%

US Consumer Durables

0.6%

US Market

BLD outperformed the Consumer Durables industry which returned 14.8% over the past year.

BLD outperformed the Market in United States of America which returned 1.1% over the past year.


Share holder returns

BLDIndustryMarket
7 Day2.4%-1.3%-0.6%
30 Day3.0%1.4%2.2%
90 Day22.5%4.4%1.1%
1 Year53.8%53.8%14.2%12.7%2.9%0.6%
3 Year181.8%181.8%44.2%39.8%44.6%35.2%
5 Yearn/a37.1%28.6%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is TopBuild undervalued based on future cash flows and its price relative to the stock market?

15%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

TopBuild's share price is below the future cash flow value, but not at a moderate discount (< 20%).

TopBuild's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

TopBuild is overvalued based on earnings compared to the US Consumer Durables industry average.

TopBuild is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

TopBuild is poor value based on expected growth next year.


Price Based on Value of Assets

TopBuild is overvalued based on assets compared to the US Consumer Durables industry average.


Next Steps

Future Growth

How is TopBuild expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

7.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

TopBuild's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).

TopBuild's earnings are expected to grow by 7.7% yearly, however this is not considered high growth (20% yearly).

TopBuild's revenue growth is positive but not above the United States of America market average.

TopBuild's earnings growth is positive but not above the United States of America market average.

TopBuild's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

TopBuild is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has TopBuild performed over the past 5 years?

37.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

TopBuild has delivered over 20% year on year earnings growth in the past 5 years.

TopBuild's 1-year earnings growth is negative, it can't be compared to the 5-year average.

TopBuild's 1-year earnings growth is negative, it can't be compared to the US Consumer Durables industry average.


Return on Equity

TopBuild has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

TopBuild used its assets more efficiently than the US Consumer Durables industry average last year based on Return on Assets.


Return on Capital Employed

TopBuild has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is TopBuild's financial position?


Financial Position Analysis

TopBuild is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

TopBuild's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

TopBuild's level of debt (64.6%) compared to net worth is high (greater than 40%).

Unable to establish if TopBuild's debt level has increased without past 5-year debt data.

Debt is well covered by operating cash flow (30.1%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 7.1x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1x debt.


Next Steps

Dividend

What is TopBuild's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate TopBuild's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate TopBuild's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as TopBuild has not reported any payouts.

Unable to verify if TopBuild's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as TopBuild has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of TopBuild's salary, the management and board of directors tenure and is there insider trading?

3.5yrs

Average management tenure


CEO

Jerry Volas (64yo)

4.3yrs

Tenure

US$4,156,751

Compensation

Mr. Gerald Volas, also known as Jerry, has been the Chief Executive Officer at TopBuild Corp. since June 2015. Between 1982 and June 2015, Mr. Volas was employed by Masco Corporation. Mr. Volas served as G ...


CEO Compensation Analysis

Jerry's remuneration is about average for companies of similar size in United States of America.

Jerry's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

3.5yrs

Average Tenure

55yo

Average Age

The tenure for the TopBuild management team is about average.


Board Age and Tenure

4.2yrs

Average Tenure

60yo

Average Age

The tenure for the TopBuild board of directors is about average.


Insider Trading

TopBuild individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$5,25609 Sep 19
David Cushen
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Mergers & Acquisitions
Shares57
Max PriceUS$92.21
SellUS$18,00015 Aug 19
David Cushen
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Mergers & Acquisitions
Shares200
Max PriceUS$90.00
SellUS$265,89707 Aug 19
John Peterson
EntityIndividual
Role
Chief Financial Officer
CFO & VP
Shares3,045
Max PriceUS$87.75
SellUS$181,00607 Aug 19
Robert Buck
EntityIndividual
Role
President
President & COO
Shares2,000
Max PriceUS$91.29
SellUS$352,45107 Aug 19
David Cushen
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Mergers & Acquisitions
Shares4,000
Max PriceUS$88.11
SellUS$27,14707 Aug 19
Robert Kuhns
EntityIndividual
Shares310
Max PriceUS$87.57
SellUS$297,50017 May 19
Robert Buck
EntityIndividual
Role
President
President & COO
Shares3,500
Max PriceUS$85.00
SellUS$345,48016 May 19
John Peterson
EntityIndividual
Role
Chief Financial Officer
CFO & VP
Shares4,000
Max PriceUS$86.37
SellUS$283,50013 May 19
Robert Buck
EntityIndividual
Role
President
President & COO
Shares3,500
Max PriceUS$81.00
SellUS$519,66405 Mar 19
John Peterson
EntityIndividual
Role
Chief Financial Officer
CFO & VP
Shares8,593
Max PriceUS$60.68
SellUS$658,61804 Mar 19
Robert Buck
EntityIndividual
Role
President
President & COO
Shares11,200
Max PriceUS$59.64

Ownership Breakdown


Management Team

  • Tabitha Zane

    Vice President of Investor Relations

    • Tenure: 3.9yrs
  • Steve Raia (64yo)

    President of TruTeam Operations

    • Tenure: 1.8yrs
    • Compensation: US$1.35m
  • Jerry Volas (64yo)

    CEO & Director

    • Tenure: 4.3yrs
    • Compensation: US$4.16m
  • Robert Buck (49yo)

    President & COO

    • Tenure: 4.3yrs
    • Compensation: US$1.93m
  • John Peterson (60yo)

    CFO & VP

    • Tenure: 4.3yrs
    • Compensation: US$1.46m
  • David Cushen (50yo)

    Senior Vice President of Mergers & Acquisitions

    • Tenure: 3.2yrs
    • Compensation: US$906.76k
  • Brad Manning

    Chief Information Officer

    • Tenure: 4.7yrs
  • David Whan

    Chief Human Resources Officer

    • Tenure: 2.3yrs
  • Don Walther (50yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 0.3yrs
  • Robin Stennet

    Vice President of Innovation & Marketing

    • Tenure: 0.7yrs

Board Members

  • Nancy Taylor (59yo)

    Director

    • Tenure: 1.4yrs
    • Compensation: US$173.90k
  • Carl Camden (65yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$179.63k
  • Alec Covington (62yo)

    Chairman of the Board

    • Tenure: 3.7yrs
    • Compensation: US$329.63k
  • Joseph Cantie (55yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$199.63k
  • Mark Petrarca (55yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$194.63k
  • Jerry Volas (64yo)

    CEO & Director

    • Tenure: 4.3yrs
    • Compensation: US$4.16m
  • Tina Donikowski (60yo)

    Director

    • Tenure: 1.4yrs
    • Compensation: US$173.90k

Company Information

TopBuild Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: TopBuild Corp.
  • Ticker: BLD
  • Exchange: NYSE
  • Founded: 2015
  • Industry: Homebuilding
  • Sector: Consumer Durables
  • Market Cap: US$3.261b
  • Shares outstanding: 34.28m
  • Website: https://www.topbuild.com

Number of Employees


Location

  • TopBuild Corp.
  • 475 North Williamson Boulevard
  • Daytona Beach
  • Florida
  • 32114
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BLDNYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2015
BLD *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJun 2015
28TDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2015

Biography

TopBuild Corp. engages in the installation and distribution of insulation and other building products to the United States construction industry. The company operates in two segments, Installation and Dist ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 00:24
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.