Start here if you're new
what it is
UFP makes and sells wood, composite, plastic, and packaging products that end up in stores, job sites, and shipping networks.
how it gets paid
FY2025 net sales were ~$6.32B (down ~5% vs. FY2024). The company reports three segments—Retail (~$2.43B), Construction (~$2.00B), and Packaging (~$1.60B)—plus smaller “All other” (~$272M), per the Q4/FY2025 earnings tables.
why it's growing
FY2025 diluted EPS was ~$5.00 vs. ~$6.77 in FY2024 (~26% decline); net margin was ~4.7%. Management cited soft demand but highlighted cash generation, buybacks, and cost actions in the Feb 2026 release.
what just happened
Q4 2025: net sales ~$1.33B (−9% YoY); diluted EPS ~$0.70 vs. ~$1.12 prior-year quarter—consensus misses (~42% vs. ~$1.21 est.) were widely reported alongside tax and non-cash items.
At a glance
B+ balance sheet — decent shape, but not bulletproof
60/100 earnings predictability — reasonably predictable
20.3x trailing p/e — priced about right
1.5% dividend yield — cash in your pocket every quarter
13.5% return on capital — nothing to write home about
xvary composite: 58/100 — below average
What they do
UFP makes and sells wood, composite, plastic, and packaging products that end up in stores, job sites, and shipping networks.
UFPI wins by being everywhere your order needs to go across Retail, Packaging, and Construction. FY2025 segment net sales were roughly $2.43B retail, $2.00B construction, and $1.60B packaging (company segment tables)—so you are not betting on a single end market.
How they make money
~$6.32B
FY2025 net sales · ~−5% vs. FY2024
Retail
~$2.43B
Construction
~$2.00B
Packaging
~$1.60B
All other (incl. eliminations)
~$272M
The products that matter
reported segment
Retail
~$2.43B · ~39% of FY2025 net sales
Largest single segment in FY2025. When retail-facing demand slips, it shows up quickly in consolidated results.
largest segment
reported segment
Construction
~$2.00B · ~32% of FY2025 net sales
Housing and construction cyclicality lives here—paired with Retail and Packaging, it defines UFPI’s multi-market balance.
cycle lever
reported segment
Packaging
~$1.60B · ~25% of FY2025 net sales
Industrial and protective packaging adds diversification versus pure construction exposure.
diversifier
Key numbers
12.3x
2027 p/e
At $101.30 against the $8.25 2027 EPS estimate, you are paying a mid-teens multiple for a business with a 13.5% return on capital.
13.5%
return on capital
Return on capital → profit from each dollar invested → so what: UFPI still earns better than average money on the business despite the recent stumble.
$328M
long-term debt
Debt is just 5% of capital, which means this company is bruised by demand swings, not buried by leverage.
~5.8%
FY2025 op. margin
Earnings from operations ~$364M on ~$6.32B net sales (~5.8%) per Q4/FY2025 tables—cyclical demand swings move this line fast.
Financial health
B+
strength
- balance sheet grade B+ — solid but not elite
- risk rank 3 — safer than 50% of stocks
- price stability 60 / 100
- long-term debt $328M (5% of capital)
- net profit margin 5.7% — keeps 6 cents of every dollar in revenue
- return on equity 14% — $0.14 profit for every $1 investors have put in
B+ — functional but not a standout on the balance sheet.
Total return vs. market
You invested $10,000 in UFPI 3 years ago → it's now worth $12,240.
The index would have given you $14,540.
source: institutional data · total return
What just happened
missed estimates
UFPI posted $0.70 in EPS, missing the $1.21 estimate by 42% as profit fell faster than sales.
Quarterly revenue was $1.3B, down 9% vs. prior year, while EPS dropped 38% from $1.12. Management said a higher-than-expected tax rate hurt results, and the weak quarter pushed the annual total down to $5.00 from $6.77.
$1.3B
revenue
$0.70
eps
16.3%
gross margin
the number that mattered
The 42% earnings miss mattered most because it tells you this was not just a soft quarter. Expectations were nowhere close.
-
ufp industries ended the year on a rough note.
-
the diversified lumber and composite wood manufacturer registered a modest top-line contraction for the fourth quarter of 2025, owing to slightly weaker volumes and lower product pricing.
-
meanwhile, profits declined sharply vs. prior year, to $0.70 per share, partly due to a higher-than-anticipated tax rate and certain non-cash transactions.indeed, operations were pressured somewhat by an uneven economic landscape and struggling housing market. for this year, we look for a notable improvement on the top and bottom lines, but are scaling back our projections. our model now calls for sales of $7.2 billion (down from our previous estimate of $7.575 billion) and earnings of $7.00 per share (down from $7.85). a focus on well-performing product niches and cost-control initiatives ought to help right the ship. specifically, in the retail segment, ufp’s deckorators unit, namely its surestone composite decking products, is experiencing robust demand.
-
in response, management intends to ramp up production capacity on these units.in the near term, this division ought to help offset weaker-performing product lines (palletone and prowood). elsewhere, leadership recently highlighted annual cost savings of about $60 million, which should aid a bottom-line rebound. moreover, prospects for a healthier economic backdrop and a recovery in the domestic housing market should be supportive, as well.
-
management plans to be aggressive with its long-term capital allocation strategy.first, a growth-throughacquisition strategy ought to remain in place, as bolt-on transactions are likely to be a key top-line driver.
source: UFP Industries Q4/FY2025 release (PRNewswire / ufpinvestor.com, Feb 23, 2026) · SEC filings
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What could go wrong
the #1 risk is a housing and repair slowdown hitting merchandise sales.
high
merchandise concentration
merchandise sales make up $5.4B, or 85%, of revenue. if building-product demand weakens, most of the business weakens with it.
exposes 85% of annual revenue to the same broad demand cycle
med
margin compression
full-year net margin was 5.9%, and the latest quarter dropped to 3.0%. when margins are already thin, small pricing or volume misses do outsized damage to EPS.
a business keeping 3–6 cents per revenue dollar does not have much cushion
med
valuation on a cyclical base
the stock trades at 20.3x trailing earnings while the business is still working through a 5.0% revenue decline. that setup leaves less room for the market to shrug off another miss.
if earnings do not rebound, the multiple stops looking patient
med
self-help has to do real work
management pointed to about $60M in annual cost savings. that helps, but it is small next to $6.3B in sales, so the savings story has to show up in margins.
execution matters more than slogans when the cycle is soft
a housing slowdown would pressure the $5.4B merchandise business first, and the latest 3.0% quarterly margin shows there is not much room to absorb it.
source: institutional data · regulatory filings · risk analysis
Pay attention to
metric
revenue stops slipping
annual revenue fell 5.0% last year. if that does not stabilize soon, the recovery multiple starts to look generous.
risk
quarterly margin stays above 3.0%
the latest quarter landed at 3.0% net margin. if it slips again, cost savings are not keeping up.
calendar
next earnings report
you want to see whether the 38% EPS drop was a trough or just another step down.
trend
$60M cost-savings follow-through
management highlighted about $60M in annual savings. if margins do not respond, the savings story is thinner than advertised.
Analyst rankings
short-term outlook
average
momentum score 3. in human-speak, analysts do not see a strong near-term edge either way.
risk profile
average
stability score 3. you're not in a bunker stock, but you're not in a disaster setup either.
chart momentum
average
technical score 3. the chart is basically saying: prove it.
earnings predictability
60 / 100
earnings predictability at 60/100 means results are serviceable, but this is still a cyclical name where forecasts can get humbled fast.
source: institutional data
Institutional activity
institutions have been net selling for 3 consecutive quarters — 128 buyers vs. 176 sellers in 4q2025. total institutional holdings: 47.8M shares. net selling for 3 quarters.
source: institutional data
Price targets
3-5 year target range
$78
$148
$101
current price
$113
target midpoint · +12% from current · 3-5yr high: $190 (+90% · 18% ann'l return)
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