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Fletcher Building is a building materials business based in Australia. Fletcher Building shares (FBU) are listed on the Australian Securities Exchange (ASX) and all prices are in Australian dollars. Fletcher Building has a trailing 12-month revenue of around $8.2 billion. If you're looking to buy shares, check out the steps below.
How to buy shares in Fletcher Building
- Compare share trading platforms. To buy shares listed in Australia, you'll need to sign up to a broker with access to the ASX. Our table can help you choose.
- Open and fund your brokerage account. Complete an application with your personal and financial details, such as your ID and tax file number. Fund your account with a bank transfer, PayPal or debit card.
- Search for Fletcher Building. Find the share by name or ticker symbol: FBU. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Fletcher Building reaches your desired price. Look into dollar-cost averaging to spread out your risk, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. At today's price, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs.
- Check on your investment. Congratulations, you own a part of Fletcher Building. Optimise your portfolio by tracking how your stock and the business performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that affect your stock.
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What's in this guide?
- Fletcher Building key stats
- Compare share trading platforms
- Is Fletcher Building stock a buy or sell?
- Fletcher Building performance over time
- Are Fletcher Building shares over-valued?
- Fletcher Building's financials
- How volatile are Fletcher Building shares?
- Does Fletcher Building pay a dividend?
- Have Fletcher Building shares ever split?
- Other common questions
Fletcher Building stock price (ASX:FBU)
Use our graph to track the performance of FBU stocks over time.Fletcher Building shares at a glance
Information last updated 2022-06-27.
| 52-week range | $4.2 - $7.2554 |
|---|---|
| 50-day moving average | $5.1342 |
| 200-day moving average | $6.1344 |
| Target price | $8.13 |
| PE ratio | 11.9437 |
| Dividend yield | $0.36 (7.92%) |
| Earnings per share (TTM) | $0.391 |
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The value of your investments can fall as well as rise and you may get back less than you invested. Past performance is no indication of future results.
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Is it a good time to buy Fletcher Building stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. However, this is not a recommendation. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
Fletcher Building price performance over time
Historical closes compared with the last close of A$4.67
| 1 week (2022-06-21) | 5.18% |
|---|---|
| 1 month (2022-05-27) | -5.47% |
| 3 months (2022-03-28) | -18.78% |
| 6 months (2021-12-24) | -31.42% |
| 1 year (2021-06-28) | -32.71% |
|---|---|
| 2 years (2020-06-26) | 38.17% |
| 3 years (2019-06-28) | 0.21% |
| 5 years (2017-06-28) | -36.67% |
Is Fletcher Building under- or over-valued?
Valuing Fletcher Building stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Fletcher Building's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Fletcher Building's P/E ratio
Fletcher Building's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 12x. In other words, Fletcher Building shares trade at around 12x recent earnings.
That's relatively low compared to, say, the P/E ratio for the ASX over the 12 months to December 2019 (32.14). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.
Fletcher Building's PEG ratio
Fletcher Building's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 3.1511. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Fletcher Building's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
Fletcher Building's EBITDA
Fletcher Building's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $826 million (£0.0 million).
The EBITDA is a measure of a Fletcher Building's overall financial performance and is widely used to measure a its profitability.
Fletcher Building financials
| Revenue TTM | $8.2 billion |
|---|---|
| Operating margin TTM | 7.92% |
| Gross profit TTM | $2.3 billion |
| Return on assets TTM | 5.2% |
| Return on equity TTM | 10.02% |
| Profit margin | 4.33% |
| Book value | 4.561 |
| Market capitalisation | $3.7 billion |
TTM: trailing 12 months
Fletcher Building share dividends
Dividend payout ratio: 136.22% of net profits
Recently Fletcher Building has paid out, on average, around 136.22% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 7.92% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Fletcher Building shareholders could enjoy a 7.92% return on their shares, in the form of dividend payments. In Fletcher Building's case, that would currently equate to about A$0.36 per share.
Fletcher Building's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
The latest dividend was paid out to all shareholders who bought their shares by 17 March 2022 (the "ex-dividend date").
Have Fletcher Building's shares ever split?
Fletcher Building's shares were split on a 2:1 basis on 13 November 2000. So if you had owned 1 share the day before the split, the next day you would own 2 shares. This wouldn't directly have changed the overall worth of your Fletcher Building shares – just the quantity. However, indirectly, the new 50% lower share price could have impacted the market appetite for Fletcher Building shares which in turn could have impacted Fletcher Building's share price.
Fletcher Building share price volatility
Over the last 12 months, Fletcher Building's shares have ranged in value from as little as $4.2 up to $7.2554. A popular way to gauge a stock's volatility is its "beta".
Beta measures a share's volatility in relation to the market. The market (AU average) beta is 1, while Fletcher Building's is 1.2304. This would suggest that Fletcher Building's shares are a little bit more volatile than the average for this exchange and represent, relatively speaking, a slightly higher risk (but potentially also market-beating returns).
Fletcher Building overview
Fletcher Building Limited, together with its subsidiaries, manufactures and distributes building products in New Zealand, Australia, and internationally. It operates through Building Products, Distribution, Concrete, Residential and Development, Construction, and Australia segments. The Building Products segment manufactures, markets, distributes, and sells building products used to build homes, buildings, and infrastructure, including insulations, plasterboards, laminate surfaces, and plastic and concrete piping for the commercial and residential markets. The Distribution segment distributes building, plumbing, and pipeline products under the PlaceMakers, Mico, and Forman Building Systems brands. The Concrete segment engages in the extraction of aggregates, and production of cement and concrete. The Residential and Development segment builds residential homes; and develops and sells residential and commercial land. The Construction segment builds and maintains public and commercial buildings, transport and utilities infrastructure, and buildings and infrastructure, as well as designs, constructs, and maintains roads and civil infrastructure. The Australia segment manufactures and distributes building materials, such as insulation, plasterboard, laminate surfaces, steel roofing, and plastic and concrete piping for a range of industries across Australia. It also operates approximately 225 retail sites. The company was founded in 1909 and is headquartered in Auckland, New Zealand.
Fletcher Building in the news
Frequently asked questions
Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs comes with a higher risk of losing money rapidly due to leverage. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades.
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