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Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Builders FirstSource's annualizedNet Income for the quarter that ended in Mar. 2026 was $-190 Mil. Builders FirstSource's average total tangible assets for the quarter that ended in Mar. 2026 was $5,983 Mil. Therefore, Builders FirstSource's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was -3.17%.
The historical rank and industry rank for Builders FirstSource's Return-on-Tangible-Asset or its related term are showing as below:
BLDR'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 1.87 Med: 10.58 Max: 48.12
Current: 4.77
During the past 13 years, Builders FirstSource's highest Return-on-Tangible-Asset was 48.12%. The lowest was 1.87%. And the median was 10.58%.
BLDR's Return-on-Tangible-Asset is ranked better than 61.69% of 1780
companies
in the Construction industry
Industry Median: 3.025
vs BLDR: 4.77
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Builders FirstSource Return-on-Tangible-Asset Related Terms
Builders FirstSource Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Builders FirstSource's Return-on-Tangible-Asset can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
BLDR vs AAON, OC, SPXC: Return-on-Tangible-Asset Comparison
For the Building Products & Equipment subindustry, Builders FirstSource's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Builders FirstSource Return-on-Tangible-Asset vs Construction Industry
For the Construction industry and Industrials sector, Builders FirstSource's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Builders FirstSource's Return-on-Tangible-Asset falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of -3.17% mean?
Builders FirstSource (BLDR) has a Return-on-Tangible-Asset of -3.17% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Builders FirstSource and its competitors. Over the past decade, Builders FirstSource's Return-on-Tangible-Asset has ranged from 1.87 to 48.12. According to the industry distribution chart, Builders FirstSource ranks #682 out of 1780 companies in the Construction industry, placing it in the top 38.3%.
Is Builders FirstSource's Return-on-Tangible-Asset too high?
Builders FirstSource's current Return-on-Tangible-Asset is -3.17%. Over the past 10 years, this metric has ranged from a low of 1.87 to a high of 48.12. Based on the distribution chart, Builders FirstSource ranks #682 out of 1780 companies in the Construction industry, which is above the industry midpoint. Overall, Builders FirstSource has a GF Score™ of 81/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Builders FirstSource's Return-on-Tangible-Asset compare to AAON and OC?
According to the Construction industry distribution chart, Builders FirstSource ranks #682 out of 1780 companies for Return-on-Tangible-Asset. This puts Builders FirstSource in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.03. Historically, Builders FirstSource's own Return-on-Tangible-Asset has ranged from 1.87 to 48.12 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Construction company?
The median Return-on-Tangible-Asset among Construction companies is 3.03, based on 1,780 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Builders FirstSource and its competitors. For the Construction industry, the median Return-on-Tangible-Asset is 3.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Builders FirstSource's current Return-on-Tangible-Asset is -3.17%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Builders FirstSource stock overvalued right now?
Based on GuruFocus' analysis, Builders FirstSource (BLDR) is currently considered Significantly Undervalued. The stock's GF Value™ is $133.72, compared to a current price of $74.20 — trading 44.5% below its estimated fair value. The current Return-on-Tangible-Asset is -3.17%. Builders FirstSource's overall GF Score™ is 81/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Builders FirstSource (BLDR), the current Return-on-Tangible-Asset is -3.17% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Builders FirstSource (BLDR) Overvalued in 2026?
Based on GuruFocus' analysis, Builders FirstSource stock appears to be undervalued.
The current stock price of $74.20 is trading 44.5% below its estimated GF Value™ of $133.72.
GuruFocus considers Builders FirstSource to be Significantly Undervalued.
Key valuation signals for BLDR:
Return-on-Tangible-Asset: -3.17%
GF Value™: $133.72 vs. price of $74.20 (44.5% below fair value)
No single metric tells the full story. See the BLDR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Builders FirstSource Inc is a manufacturer and supplier of building materials. The company offers structural and related building products such as factory-built roof and floor trusses, wall panels and stairs, vinyl windows, custom millwork and trim, and engineered wood. The products can be designed for each home individually and are installed by Builders FirstSource. The company's construction-related services include professional installation, turn-key framing, and shell construction. Builders FirstSource's customers range from large production builders to small custom homebuilders.
81GF Score
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