Builders FirstSource, Inc. (NYSE: BLDR), a leading supplier of building materials, has shared a new share repurchase program, wherein the company's Board of Directors has authorized the buyback of up to $1 billion of its outstanding common stock.
This decision comes on the heels of the company completing nearly $1 billion in share repurchases in the second quarter.
The company's Chairman, Paul S. Levy, expressed confidence in Builders FirstSource's strategy and operational model, as well as the housing industry's robustness, which he attributed to an underbuilt market and favorable demographic trends.
Year-to-date, Builders FirstSource has repurchased approximately 5.9 million shares at an average price of $170.55 per share, totaling $1.0 billion, inclusive of fees and taxes. This activity has reduced the total outstanding shares by 4.4% in 2024.
Since the inception of its buyback program in August 2021, the company has repurchased 93.0 million shares, which equates to 45.0% of its total shares outstanding, at an average price of $76.65 per share for a total cost of $7.1 billion. As of June 30, 2024, Builders FirstSource had 116.5 million shares outstanding.
The timing and quantity of share repurchases under this new program will be determined by the company based on various factors, including business capital needs, stock market price, and general market conditions.
Based in Irving, Texas, Builders FirstSource is a supplier of building products and services to the professional market for new residential construction, as well as repair and remodeling. The company serves customers across 43 states from approximately 570 locations.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.