Foundation Building Materials (FBM) Lowered to “Sell” at Zacks Investment Research

Zacks Investment Research lowered shares of Foundation Building Materials (NYSE:FBM) from a hold rating to a sell rating in a report published on Wednesday.

According to Zacks, “Foundation Building Materials, Inc. is a specialty distributor of wallboard and suspended ceiling systems primarily in U.S. and Canada. The Company’s segments include Specialty Building Products and Mechanical Insulation. Specialty building products segment distributes wallboard and accessories, metal framing, suspended ceiling systems and other products. Mechanical insulation segment includes insulation solutions for pipes and mechanical systems. Foundation Building Materials, Inc. is based in Tustin, California. “

A number of other analysts have also recently issued reports on the company. Credit Suisse Group started coverage on Foundation Building Materials in a research note on Friday, January 11th. They set a neutral rating and a $9.00 target price for the company. ValuEngine cut Foundation Building Materials from a hold rating to a sell rating in a research note on Wednesday, January 16th. Finally, Barclays set a $15.00 target price on Foundation Building Materials and gave the stock a buy rating in a research note on Saturday, November 3rd. Two equities research analysts have rated the stock with a sell rating, two have given a hold rating and two have assigned a buy rating to the company. The company presently has a consensus rating of Hold and an average target price of $14.80.

NYSE FBM traded down $0.32 during trading hours on Wednesday, reaching $10.80. 73,485 shares of the company’s stock were exchanged, compared to its average volume of 67,018. Foundation Building Materials has a one year low of $7.62 and a one year high of $16.32. The company has a debt-to-equity ratio of 2.14, a quick ratio of 2.19 and a current ratio of 2.86. The stock has a market cap of $407.93 million, a price-to-earnings ratio of 30.86 and a beta of 1.41.

Foundation Building Materials (NYSE:FBM) last posted its earnings results on Monday, February 25th. The company reported $0.16 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.10 by $0.06. Foundation Building Materials had a return on equity of 6.25% and a net margin of 2.07%. The business had revenue of $516.20 million during the quarter, compared to analysts’ expectations of $510.54 million. During the same period in the prior year, the business earned $0.19 EPS. Foundation Building Materials’s revenue for the quarter was up 16.3% compared to the same quarter last year. On average, analysts predict that Foundation Building Materials will post 0.85 EPS for the current year.

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Tower Research Capital LLC TRC increased its stake in Foundation Building Materials by 216.4% during the 3rd quarter. Tower Research Capital LLC TRC now owns 9,788 shares of the company’s stock worth $122,000 after purchasing an additional 6,694 shares in the last quarter. Meeder Asset Management Inc. grew its stake in shares of Foundation Building Materials by 3,253.6% during the 3rd quarter. Meeder Asset Management Inc. now owns 11,570 shares of the company’s stock worth $145,000 after acquiring an additional 11,225 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. grew its stake in shares of Foundation Building Materials by 45.6% during the 4th quarter. Connor Clark & Lunn Investment Management Ltd. now owns 18,925 shares of the company’s stock worth $157,000 after acquiring an additional 5,925 shares in the last quarter. Rhumbline Advisers grew its stake in shares of Foundation Building Materials by 42.3% during the 4th quarter. Rhumbline Advisers now owns 20,189 shares of the company’s stock worth $168,000 after acquiring an additional 5,997 shares in the last quarter. Finally, Bank of America Corp DE grew its stake in shares of Foundation Building Materials by 292.8% during the 4th quarter. Bank of America Corp DE now owns 28,059 shares of the company’s stock worth $233,000 after acquiring an additional 20,916 shares in the last quarter. 92.39% of the stock is owned by institutional investors and hedge funds.

About Foundation Building Materials

Foundation Building Materials, Inc distributes building products in the United States and Canada. It operates through two segments, Specialty Building Products and Mechanical Insulation. The Specialty Building Products segment distributes wallboard, metal framing, suspended ceiling system, and other products.

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