Boise Cascade Profits: What to Look for in a BCC

Building products company Boise Cascade Company (NYSE:BCC) is set to report earnings tomorrow after the close of trading. Here’s what investors need to know.

Boise Cascade beat analyst revenue expectations by 5.2% in the latest quarter, reporting revenue of $1.65 billion, up 6.5% year over year. It was a stunning quarter for the company, with an impressive beat on analyst estimates for its building materials distribution revenue and a solid beat on analyst estimates for earnings.

Is Boise Cascade a Buy or Sell in terms of earnings? Read our full analysis here, it’s free.

Analysts are expecting Boise Cascade revenue to fall 2.4% year over year to $1.77 billion for the quarter, an improvement from a 20.3% decline in the same quarter last year. Adjusted earnings are expected to come in at $2.69 per share.

Analysts covering the company have generally reaffirmed their estimates over the past 30 days, suggesting they expect the company to maintain its course toward earnings. Boise Cascade has missed Wall Street revenue estimates twice in the past two years.

Looking at Boise Cascade’s competitors in the industrial distributor segment, some have already reported second-quarter results, which gives us a hint of what to expect. Beacon Roofing Supply reported year-over-year revenue growth of 6.8%, meeting analyst expectations, while Rush Enterprises reported revenue growth of 1.2%, beating estimates by 8.8%. Beacon Roofing Supply fell 13.4% after the results, while Rush Enterprises rose 7.5%.

Read our full analysis of Beacon Roofing Supply’s results here and Rush Enterprises’ results here.

Investor sentiment in the industrial distributors segment is positive, with shares up an average of 2.4% over the past month. Boise Cascade is up 10.2% in the same time frame and is on track for profits with an average analyst price target of $138.80 (compared to the current share price of $128.89).

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