| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 58 | 18.9x | 17.8x | Around median | |
Growth | 39 | 6.5% | 7.1% | Bottom tier | |
Quality | 83 | 15.0% | 4.5% | Top tier | |
Safety | 87 | — | 2.6x | Top tier | |
Capital Return | 45 | 0.67% | 2.12% | Around median | |
Momentum | 41 | 2.5% | 2.9% | Around median | |
Sentiment | 37 | 3 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Simpson Manufacturing Co., Inc. produces engineered solutions for the construction sector, including connectors, fasteners, fastening solutions, and wood and concrete construction products, along with software, equipment, and design services aimed at component manufacturers. Revenue comes from residential and commercial markets, OEM, national retail, and component manufacturers; the company supports its products with engineering testing, field support, and code compliance. In fiscal Q2 2026, wood construction product sales were approximately 6.1% higher than in the comparable period, while concrete construction product sales increased 7.4%.
In fiscal Q2 2026, revenue increased 6.3% year over year to $671.1 million, driven by approximately 5% from pricing actions, 1% from sales mix, and 1% from foreign currency, offset by an approximately 1% decline in volume. North America accounted for $522.3 million in sales, up 6%, while Europe generated $143.5 million, up 7.6% and 4.9% in local currency; European volume increased approximately 3%. Across operating markets, component manufacturer volumes grew at a mid-single-digit rate and OEM business volumes at a high-single-digit rate, while residential and commercial activity volumes declined slightly.
Gross profit in fiscal Q2 2026 was approximately $318.2 million, with a 47.4% margin that increased 100 basis points, while operating income reached $169.1 million at a 25.2% margin, compared with 22.2% in the comparable period. The operating margin benefited by approximately 100 basis points from a $5.5 million eminent domain settlement, so the improvement was not entirely recurring operationally. Net income increased to $127.0 million and diluted earnings per share to $3.09, compared with $103.5 million and $2.47, while adjusted EBITDA rose 22.6% to $196.1 million at a 29.2% margin.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $216.25, within a narrow range of $212 to $220, and the stock carries a consensus “Buy” rating. The average target is only approximately 1.3% above the 52-week range high of $213.49, while the range low is $156.32; the consensus therefore assumes the stock will return to levels slightly above its annual high, despite management's warning of slowing growth and margin pressure in the second half of fiscal 2026.
Figures in the text are as of 2026-08-30; the live price is shown at the top of the page.
Revenue increased 6.3% to $671.1 million, with pricing actions implemented in 2025 responsible for approximately five percentage points of growth. Sales mix and foreign currency each added approximately one percentage point, while an approximately 1% volume decline reduced part of the gains. Gross profit increased 8.6% to $318.2 million, while diluted earnings per share reached $3.09.
Cornerstone is the complete software solution that Simpson plans to launch at the BCMC show in fall 2026. It combines production, design, and project management software within a cloud platform aimed at component manufacturers. This business recorded mid-single-digit volume growth in fiscal Q2 2026, and management said the software upgrade could open access to larger customers, but its expected impact will be gradual over years rather than an immediate jump in a single quarter.
Gross margin was 47.4% and operating margin was 25.2% in fiscal Q2 2026, but the operating margin benefited by approximately 100 basis points from a $5.5 million eminent domain settlement. Management expects the fiscal 2026 gross margin to be slightly below fiscal 2025 and set the full-year operating margin range at 19.7% to 20.5%. Expected pressures in the second half of fiscal 2026 are related to higher steel prices, tariffs, mix, increased depreciation, and the diminishing impact of pricing.
In fiscal Q2 2026, component manufacturer volumes grew at a mid-single-digit rate, and OEM volumes increased at a high-single-digit rate. In contrast, residential and commercial activity volumes declined slightly, while national retail posted a slight increase. Management expects U.S. housing starts to decline at a low-single-digit rate in fiscal 2026, compared with European growth ranging from flat to modestly higher.
On June 30, 2026, Simpson had $450.5 million in cash and $336.7 million in debt, equivalent to net cash of $113.8 million. It generated $250.6 million in operating cash flow during fiscal 2026, repurchased $98.7 million of shares, and repaid $30 million on its credit facility. On July 23, 2026, the board increased the repurchase authorization to $200 million, with $76.8 million remaining available through the end of fiscal 2026.
The primary operating risk is weak construction, as management expects U.S. housing starts to decline at a low-single-digit rate during fiscal 2026, with a larger decline in single-family housing. It also expects pricing's contribution to second-half growth to decline from approximately five or six points to approximately one point, alongside higher steel prices and tariffs. Additional risks include pressure from lower-priced competitors in fasteners and a 1.6% decline in global volume during the twelve months ended fiscal Q2 2026, compared with a 0.6% decline in U.S. housing starts.
