Builders FirstSource, Inc. — Earnings Quality Grade F
BLDR · Industrials
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 25 days, change -0 days YoY
AR growth -8.8% vs revenue growth -7.4%
Revenue -7.4%, CFFO -35.1%. Cash follows revenue
Expense Quality
Inventory -9.7% vs COGS -4.0%. Normal
CapEx growth -4.7% vs revenue -7.4%. Normal
SG&A/Gross Profit = 83.0%, exceeds 70%
Gross margin 30.4%, change -2.4pp. Stable
Cash Flow Quality
CFFO/NI = 2.79. Profits backed by cash
FCF $0.9B, FCF/NI = 1.96
Accruals ratio = -6.9%. Low accruals
Cash $0.2B covers only 4% of debt $5.1B
Balance Sheet Health
Goodwill+Intangibles $5.3B = 122% of equity. Over 50%
Debt/EBITDA = 3.7x. Healthy
Other assets grew 34.8% vs revenue -7.4%
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change 11% YoY. Normal
Manipulation Score
M-Score = -2.84 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-09