BLDRNEUTRAL

BLDR Return on Equity (ROE) Analysis

2.5%

Higher than 39% of Industrials sector peers

Updated 273h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholders’ equity, and Builders FirstSource currently sits at 2.5%.

Sector Performance

39th percentile

BLDR

2.5%

Sector Median

13.9%

Sector Avg

-44.1%

Prior Period

7.0%(Jul 2026)

↓ Declining

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Deep Analysis

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholders’ equity, and Builders FirstSource currently sits at 2.5%.

That is far below the sector median of 15.3%, placing the company in the 35th percentile among its Industrials peers. The trend direction is not available, with no year-over-year change reported, and the quarter-over-quarter change shows a decline of 64.3% from the prior value of 7.0%. This low level combined with a sharp recent drop points to elevated investment risk, as returns on equity are both weak and falling. The metric contradicts the overall NEUTRAL verdict, since a 2.5% ROE with a steep negative trajectory signals underperformance rather than balanced prospects.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about BLDR?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does BLDR's Return on Equity (ROE) compare to its sector?

BLDR's Return on Equity (ROE) of 2.5% compares to a Industrials sector median of 13.9%, placing it in the 39th percentile.

Who are BLDR's closest peers by Return on Equity (ROE)?

The closest Industrials peers by Return on Equity (ROE) include: AME (13.9%), ROP (13.1%), PWR (15.3%), XPO (19.9%), ALK (2.4%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.