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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (75886)	7/26/2024 1:34:56 PM
From: E_K_S	Read Replies (1) \| Respond to of 78748

Builders Firstsource (BLDR) is one I need to check for it's RONTA. This has been a huge winner in last 24 months. They build home trusses and need large "efficient" manufacturing faculties to build these to order. Company has had a huge back log (over a year). Could they build these faster if they used robots? Not sure but as they acquire/build new manufacturing facilities, they are able to increase their production. Builders FirstSource is the largest U.S supplier of building products, prefabricated components, and value-added services to the professional market segment for new residential construction and repair and remodeling. The company provides customers with an integrated home-building solution, offering manufacturing, supply, delivery and installation of a full range of structural and related building products. The company's nationwide team is equipped with the talent, local knowledge and industry expertise required to solve home-building challenges and streamline customers' business. The company is also investing in tomorrow - continuously improving the business, strengthening the team and creating the next generation of breakthrough innovations that are transforming the home-building industry. Builders FirstSource has a nationwide network of distribution and manufacturing facilities that combine local expertise with national scale to consistently deliver what and when the customers need. Sectors: SIC-5211 Retail-Lumber & Other Building Materials Dea Building Prds Retail - Wsale Indices S&P 500 Indices S&P 500 Industrials Indices Russell 1000 Indices Russell 3000 Indices S&P 500 Growth

To: E_K_S who wrote (75886)	7/27/2024 8:46:59 PM
From: Paul Senior	Read Replies (1) \| Respond to of 78748

re RONTA stuff: Yes, I see that about NVDA: : "high RONTA's but growing revenues were not due to their tangible asset holdings. Both outsource their manufacturing . . ." Return on tangible equity now at roughly 142%, which is much higher than 24% last year and 65% the year before. If a person bought NVDA in 2023 because of its low RONTA compared to previous years, and hoped/expected RONTA would go up in 2024 and take the stock up as well, yes the stock has risen, congratulations on having a winning stock...even if you did imo, maybe buy it for the wrong reason (low RONTA). Conversely and rhetorically, with a very high, historically high RONTA now, would/should the person now sell NVDA? I like BLDR and hold a position. It has negative tangible book value, so maybe RONTA analysis not applicable. I see one aspect with RONTA (and with some other metrics used for analyses also): I'd like to see a criterion. -- what is a high RONTA for the company, what is low RONTA? Do I compare a company's RONTA to itself or with other companies in its sector? In other words, what is it about a company's RONTA that would cause me to become interested in it, especially if it adds a level of interest or any new interest that other metrics I use don't already show and give me a clue as to whether I want to buy/sell/avoid the stock.