Builders FirstSource price target lowered to $121 from $150 at Oppenheimer

Oppenheimer lowered the firm’s price target on Builders FirstSource (BLDR) to $121 from $150 and keeps an Outperform rating on the shares. The firm is also lowering estimates following Q1 results and revised guidance. This mostly reflects margin pressure due to a softer single family starts backdrop, higher fuel costs, and competition. Despite these headwinds, Oppenheimer views Builders as well positioned to benefit from a housing recovery given its scale and product breadth. Share repurchases are an additional near-term positive.