Simpson Manufacturing (NYSE:SSD) Board of Directors Announces Stock Repurchase Plan

Simpson Manufacturing (NYSE:SSD) declared that its board has initiated a stock repurchase plan on Monday, October 26th, RTT News reports. The company plans to buy back $1 billion in outstanding shares. This repurchase authorization permits the construction company to buy up to 13.2% of its shares through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

Analysts Set New Price Targets

A number of brokerages have commented on SSD. Stephens cut their price target on shares of Simpson Manufacturing from $215.00 to $205.00 and set a “cautious” rating on the stock in a research report on Tuesday. Robert W. Baird increased their price target on Simpson Manufacturing from $205.00 to $210.00 and gave the stock an “outperform” rating in a report on Tuesday. Weiss Ratings reissued a “buy (b-)” rating on shares of Simpson Manufacturing in a research report on Thursday, October 22nd. Stifel Nicolaus dropped their price objective on Simpson Manufacturing from $218.00 to $210.00 and set a “buy” rating on the stock in a research note on Monday. Finally, DA Davidson dropped their price objective on Simpson Manufacturing from $212.00 to $203.00 and set a “neutral” rating on the stock in a research note on Tuesday. Three research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Simpson Manufacturing presently has an average rating of “Hold” and a consensus price target of $207.00.

Simpson Manufacturing Stock Performance

Shares of SSD stock opened at $190.11 on Thursday. The company has a market cap of $7.82 billion, a price-to-earnings ratio of 20.55 and a beta of 1.32. Simpson Manufacturing has a 52 week low of $156.32 and a 52 week high of $213.49. The company has a quick ratio of 2.14, a current ratio of 3.29 and a debt-to-equity ratio of 0.15. The firm has a 50 day moving average of $177.89 and a 200-day moving average of $185.30.

Simpson Manufacturing (NYSE:SSD) last released its earnings results on Monday, October 26th. The construction company reported $2.68 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.44 by $0.24. Simpson Manufacturing had a net margin of 15.65% and a return on equity of 18.45%. The company had revenue of $638.13 million for the quarter, compared to the consensus estimate of $624.39 million. During the same quarter in the previous year, the company earned $2.58 EPS. Simpson Manufacturing’s quarterly revenue was up 2.3% compared to the same quarter last year. On average, equities analysts forecast that Simpson Manufacturing will post 9.28 earnings per share for the current year.

Simpson Manufacturing Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, January 28th. Shareholders of record on Thursday, January 7th will be issued a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date is Thursday, January 7th. Simpson Manufacturing’s dividend payout ratio (DPR) is presently 12.97%.

Insider Buying and Selling

In other Simpson Manufacturing news, CEO Michael Olosky sold 3,502 shares of Simpson Manufacturing stock in a transaction on Thursday, September 10th. The shares were sold at an average price of $172.84, for a total value of $605,285.68. Following the completion of the sale, the chief executive officer directly owned 51,398 shares of the company’s stock, valued at approximately $8,883,630.32. The trade was a 6.38% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.34% of the company’s stock.

Trending Headlines about Simpson Manufacturing

Here are the key news stories impacting Simpson Manufacturing this week:

• Positive Sentiment: Strong Q3 results: Simpson reported earnings of $2.68 per share, ahead of the $2.44 consensus estimate, while revenue reached $638.13 million versus expectations of $624.39 million. Revenue increased 2.3% year over year, and profit rose from the prior-year period. Simpson Manufacturing Q3 Profit Rises; Approves $1 Billion Share Buyback
• Positive Sentiment: $1 billion share repurchase: The board authorized a buyback of up to $1 billion, equivalent to approximately 13.2% of outstanding shares. The program could support earnings per share and signals management’s view that the stock is undervalued. Simpson Manufacturing Approves $1 Billion Share Repurchase
• Positive Sentiment: Some analyst support: Robert W. Baird raised its price target from $205 to $210 and maintained an “outperform” rating, implying additional upside from the referenced share price. Robert W. Baird Analyst Ratings
• Neutral Sentiment: Valuation remains debated: One analysis characterized SSD as approximately 12% undervalued, but investors may remain cautious after the stock’s recent strength and ahead of further execution on the buyback. Simpson Manufacturing Buyback and Valuation Analysis
• Negative Sentiment: Margin and analyst concerns: Simpson guided to a 2026 operating margin of 20.0%–20.5% and is preparing additional steel-related pricing actions, highlighting cost pressure and an uncertain market. DA Davidson lowered its price target from $212 to $203 and assigned a “neutral” rating. Simpson Outlines 2026 Operating Margin Outlook

Simpson Manufacturing Company Profile

Simpson Manufacturing Co, Inc develops, manufactures and sells structural solutions for residential, commercial and industrial construction. Its products are designed to connect and reinforce wood, concrete and other building materials, supporting applications ranging from new construction to repair, remodeling and retrofit projects.

The company is best known for its Simpson Strong-Tie brand, which offers structural connectors, fasteners, anchors, specialty products, adhesives and related installation systems.