General Building Materials

Individual company worksheets may be downloaded by simply clicking on the company name.

Fastenal Company, Inc.
I wish there was something clever I could say about the company, other than y-o-y free cash flow grew by 42%, or that earnings grew by 16% or that the company acquired a fastening company in Michigan that supplies OEM furniture manufacturers, but there isn’t. In the end had you purchased shares on 12/31/2012 and sold five years later on 12/31/2017, your total return, including dividends would have 20%, 4% per year. So unless you just need to fasten Little Johnny to the outhouse wall, I would leave this one where it is.

Fastenal Company, Inc. (Nasdaq: FAST) – FYE 12/2017 – OVER VALUED – The stock is trading at levels above with my current $28 fair value estimate – Please See Linked Worksheet

Griffon Corporation
My issue with the company is that the businesses they own are primarily consumer oriented and as such the majority of their income is dependent on consumer discretionary spending. For FY 2017 the company sold off one holding and acquired a different holding and the only thing that changed was Sales increased 3% and Cost of Sales increase 4%. Impressive. There is a line in the company’s 10-K filing that says, “We are focused on acquiring, owning and operating businesses in a variety of industries”. I guess their definition of a variety of industries and mine differ quite a bit.

Griffon Corporation (NYSE: GFF) – FYE 09/2017 – FAIRLY VALUED – The stock is currently trading in line with my $21 fair value estimate – Please See Linked Worksheet

Owens Corning (NYSE: OC) – FYE 12/2016 – Hold – The current market price reasonably reflects the current P/E, growth potential and balance sheet metrics. SEE RESEARCH NOTES

Please note that worksheets are updated basis the most current SEC 10-K ANNUAL filing.