Bluelinx Holdings (BXC) AI Stock Analysis

• Market Cap: $518.40M
• Dividend Yield: N/A
• Average Volume (3M): 106.82K
• Price to Earnings (P/E): 14.4
• Beta (1Y): 1.43
• Revenue Growth: -4.22%
• EPS Growth: -16.01%
• Country: US
• Employees: 1,980
• Sector: Industrials
• Sector Strength: 80
• Industry: Construction
• EPS (TTM): 0.27
• Shares Outstanding: 8,022,223
• 10 Day Avg. Volume: 126,149
• 30 Day Avg. Volume: 106,822
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.64
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 1.73
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $98.75
• Price Target Upside: 45.76% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

Bluelinx Holdings receives a score of 64.2, indicating a moderate stock performance with some strengths and notable challenges. Strong cash flow and a stable balance sheet are key positives, while technical indicators and market conditions present risks. The valuation is fair, but the earnings call highlights ongoing market uncertainties that could impact future performance.

Positive Factors

Business Opportunities

The company has found new opportunities for direct business which have further supported volume and been EBITDA accretive.

Financial Performance

BlueLinx Holdings reported solid 1Q25 results as prudent margin management and internal initiatives delivered in line EBITDA and EPS despite a lighter than anticipated topline.

Market Share

Gaining share in an uncertain market as the company pushed harder to win share with both multi-family and national accounts, which paid off as volumes came in relatively strong.

Negative Factors

Economic Conditions

Macro headwinds are persistent with elevated interest rates and potential tariffs adding to economic uncertainty.

Margins

Margins through the first four weeks of the quarter have lagged sequentially, suggesting the pricing environment remains challenging.

Specialty Products

Specialty products remain under pressure as sales for the segment were down due to continued price deflation and market specific volume pressures.

Bluelinx Holdings Business Overview & Revenue Model

Company Description

BlueLinx Holdings Inc., together with its subsidiaries, distributes residential and commercial building products in the United States. The company distributes specialty products comprising engineered wood, industrial products, cedar, moulding, siding, metal, and insulation products; and structural products include lumber, plywood, oriented strand boards, rebars and remesh, spruce, and other wood products primarily that are used for structural support in construction projects. It also provides various value-added services and solutions to customers and suppliers. The company serves dealers, specialty distributors, national home centers, and manufactured housing customers through a network of distribution centers. BlueLinx Holdings Inc. was incorporated in 2004 and is headquartered in Marietta, Georgia.

How the Company Makes Money

BlueLinx Holdings generates revenue primarily through the distribution and sale of building and industrial products. The company sources products from a range of suppliers and manufacturers and sells them to a broad customer base, which includes retailers, wholesalers, and contractors in the construction industry. Key revenue streams include the sale of structural products like lumber and panels, as well as specialty products such as roofing, insulation, and siding. BlueLinx leverages its extensive distribution network, which includes strategically located warehouses and logistics capabilities, to efficiently deliver products to its customers. Additionally, the company benefits from its relationships with key suppliers and manufacturers, which can provide favorable terms and exclusive distribution agreements that enhance its competitive position and profitability.

Bluelinx Holdings Financial Statement Overview

Summary

Bluelinx Holdings shows a mixed financial performance. The income statement reflects challenges with declining revenues and profitability margins. However, the balance sheet is stable with moderate leverage and a solid equity base. The cash flow is strong, indicating robust cash generation and liquidity, which is a key positive.

Income Statement

The income statement for Bluelinx Holdings shows moderate performance. The gross profit margin for TTM stands at approximately 15.75%, indicating a solid ability to cover cost of goods sold, though there is room for improvement. The net profit margin is 1.31%, suggesting slimmer profitability, which has decreased notably from the previous year. Revenue has declined by about 6.32% from the last annual report, reflecting potential market challenges. The EBIT margin is 2.37%, and the EBITDA margin is 3.95%, both indicating a decline in operational efficiency and profitability compared to prior periods.

Balance Sheet

Bluelinx Holdings maintains a stable balance sheet with a debt-to-equity ratio of 1.04, which represents a balanced leverage profile for the construction industry. The return on equity (ROE) is 6.04%, which is relatively moderate, reflecting the company's ability to generate returns on shareholder investments. The equity ratio stands at 38.94%, indicating a solid equity base relative to total assets, suggesting financial stability and less reliance on debt financing.

Cash Flow

The cash flow statement reflects robust performance with a free cash flow growth rate of 51.0% year-over-year, signaling improved liquidity and cash generation from operations. The operating cash flow to net income ratio is 2.14, indicating strong cash flow relative to net earnings. The free cash flow to net income ratio is 1.77, suggesting efficient conversion of earnings into cash. These metrics highlight the company's solid cash management capabilities, supporting future investment and debt servicing needs.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Mar 2022	Mar 2021
Income Statement		Total Revenue
2.95B	3.14B	4.45B	4.28B	3.10B
	Gross Profit
489.14M	527.02M	832.98M	778.43M	477.73M
	EBIT
87.57M	138.45M	439.09M	438.08M	142.24M
	EBITDA
128.54M	137.68M	464.07M	453.91M	171.40M
	Net Income Common Stockholders
53.12M	48.54M	296.18M	296.13M	80.88M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
505.62M	521.74M	298.94M	85.20M	82.00K
	Total Assets
1.58B	1.54B	1.49B	1.32B	1.05B
	Total Debt
636.20M	617.97M	612.94M	615.66M	646.60M
	Net Debt
130.57M	96.23M	314.00M	530.46M	646.52M
	Total Liabilities
931.28M	903.32M	900.01M	954.21M	989.04M
	Stockholders Equity
646.44M	634.29M	590.03M	363.25M	59.09M
Cash Flow		Free Cash Flow
45.07M	278.76M	364.41M	130.61M	51.33M
	Operating Cash Flow
85.18M	306.29M	400.30M	145.02M	55.02M
	Investing Cash Flow
-39.21M	-26.86M	-98.69M	-4.09M	9.16M
	Financing Cash Flow
-62.09M	-56.62M	-87.87M	-55.81M	-75.74M

Bluelinx Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 67.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BXC, the sentiment is Negative. The current price of 67.75 is below the 20-day moving average (MA) of 69.97, below the 50-day MA of 74.85, and below the 200-day MA of 99.50, indicating a bearish trend. The MACD of -3.03 indicates Positive momentum. The RSI at 36.81 is Neutral, neither overbought nor oversold. The STOCH value of 15.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BXC.

Bluelinx Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AZEK	76 Outperform	$7.19B	49.97	10.62%	―	5.93%	3.50%
GMS	65 Neutral	$2.77B	19.99	10.37%	―	3.71%	-49.38%
BXC	64 Neutral	$518.40M	14.39	5.96%	―	-4.22%	-16.01%
Sector *	64 Neutral	$4.24B	11.64	5.23%	249.83%	4.07%	-10.54%
JBI	63 Neutral	$1.01B	15.05	13.56%	―	-13.95%	-63.37%
SWIM	59 Neutral	$691.19M	77.89	-4.13%	―	-5.58%	-465.52%
JELD	45 Neutral	$358.54M	―	-53.32%	―	-14.12%	―

Bluelinx Holdings Corporate Events

Bluelinx Holdings Announces CFO Resignation and Interim Appointment

BlueLinx Holdings Inc. announced the resignation of R. Andrew Wamser, Jr., their Senior Vice President, Chief Financial Officer, and Treasurer, effective January 24, 2025, as he pursues a new opportunity outside the building products industry. Kimberly A. DeBrock has been appointed as the interim Principal Financial Officer, effective January 25, 2025, while the company searches for a permanent successor. The transition is seen as occurring when the company is in a strong financial position, with a continued focus on technological advancement and growth strategy.