Black Bear Value Fund Aligns with the Long-Term Thesis for Builders FirstSource (BLDR)

1 month ago 12

Soumya Eswaran

Mon, February 9, 2026 astatine 9:04 AM CST 4 min read

Black Bear Value Fund, an concern advisor, released its fourth-quarter 2025 capitalist letter. A transcript of the missive tin beryllium downloaded here. In December, the Black Bear Value Fund returned +0.2%, bringing 2025 returns to -12.6%. The S&P 500 returned +0.1% successful December and +17.9% successful 2025. In a rising marketplace environment, the Fund has mislaid 10-15% implicit the 2 years. The Fund does not purpose to replicate the Index, truthful immoderate show saltation is expected. Heading into 2026, the steadfast has respective beardown names successful its portfolio, adjacent though the marketplace is not receptive to them currently. The steadfast expects a important rerating successful these holdings arsenic they are astatine the extremity of a capital-investment cycle. Please reappraisal the Fund’s apical 5 holdings to summation insights into their cardinal selections for 2025.

In its fourth-quarter 2025 capitalist letter, Black Bear Value Fund highlighted stocks specified arsenic Builders FirstSource, Inc. (NYSE:BLDR). Based successful Irving, Texas, Builders FirstSource, Inc. (NYSE:BLDR) is simply a gathering material, manufactured components, and operation services provider. The one-month instrumentality of Builders FirstSource, Inc. (NYSE:BLDR) was 0.27%, and its shares mislaid 20.10% of their worth implicit the past 52 weeks. On February 6, 2026, Builders FirstSource, Inc. (NYSE:BLDR) banal closed astatine $124.42 per share, with a marketplace capitalization of $13.758 billion.

Black Bear Value Fund stated the pursuing regarding Builders FirstSource, Inc. (NYSE:BLDR) successful its 4th fourth 2025 capitalist letter:

"Builders FirstSource, Inc. (NYSE:BLDR) declined 28% successful 2025 amidst weakness successful the lodging marketplace and arsenic caller location starts pressured sentiment. Fundamentally, the Company performed good contempt these headwinds and should make a important magnitude of escaped currency travel successful 2025 ($800MM-$1BB). This translates to a trailing output of 7-9%. If we owned this concern privately, we would beryllium pleased to cod a 7-9% output successful a anemic twelvemonth with the committedness of importantly higher cashflows erstwhile lodging starts pickup. We person antecedently discussed whether determination could beryllium short-term fluctuations with the stock, but truthful agelong arsenic the semipermanent thesis was intact, we would proceed to ain the business.