Universal Forest Products, Inc. (NASDAQ:UFPI) a Buy: D.A. Davidson

In a research note issued to investors, Steven Chercover at D.A. Davidson Reiterated their Buy rating on Universal Forest Products, Inc. (NASDAQ:UFPI). The analyst placed a $66.00 price target on the stock which indicates a 21.64% upside to the last closing price. In the year following Chercover’s ratings, the stocks covered yield an average return of 13.90% according to TipRanks.com. In the past year 52 out of 63 recommendations or 85% were successful.

Universal Forest Products Inc. (NASDAQ:UFPI) shares opened the most recent trading session at 54.28 and at the time of writing the last Bid was at 53.91. In the current trading session the stock reached as high as 54.97 and dipped down to 53.85. Universal Forest , a NasdaqNM listed company, has a current market cap of 1.077B and on average over the past 3 months has seen 82738 shares trade hands on a daily basis.

On a technical level the stock has a 50 Day Moving Average of 51.4562. Based on a recent trade, this puts the equity at +4.77% away from that average. In comparing the stock’s current level to its extended history, the stock is trading -7.88% away from it’s 52-week high of 58.52 and +32.46% away from the stock’s low point over the past 52 weeks, which was 40.70. On a consensus basis, analysts have a one year target price of 58.00. The company last reported earnings per share of 2.791.

The consensus analyst estimates according to First Call for the next quarter is 1.30. The current year EPS estimate on the stock is 3.50 and the EPS estimate for next year sits at 3.87. In looking at the fundamentals, UFPI has a P/E ratio of 19.52 and a price to book ratio of 1.59. The company’s Book Value is 34.269 and most recently reported EBITDA of 127.7M. The price compared to next year’s EPS estimate in the current year is 14.08.

Company Profile

Universal Forest Products Inc. (UFPI) is a holding company. The Company provides capital, management and administrative resources to subsidiaries that supply wood, wood composite and other products to three markets: retail, construction and industrial. The Company’s operating segments include Eastern and Western, Site-Built, Consumer Products, Pinelli Universal and Distribution division. The Company’s retail market is comprised of building materials sold primarily to national home center retailers, retail-oriented regional lumber yards and contractor-oriented lumber yards. Its housing and construction market is comprised of three submarkets, manufactured housing customers, residential construction customers and commercial construction customers. UFPI’s industrial market is defined as industrial manufacturers and agricultural customers for packaging, material handling and other applications.