Simpson Manufacturing: Mid-Cap Surge Approaches New Record Levels
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5 days ago
0mins
Should l Buy SSD?
Source: Marketbeat
Company Performance: Simpson Manufacturing (NYSE: SSD) is on track to achieve record highs this year, with improving earnings quality, healthy cash flow, and strong capital returns, despite anticipated growth challenges in 2026.
Financial Health: The company's operating margin reached 19.5% in Q4 and is expected to remain strong, with a long-term target of at least 20%. Cash flow is substantial, supported by manageable long-term debt levels.
Market Activity: There is a notable increase in short-selling activity against SSD shares, which may impact stock price stability. However, institutional investors hold a significant majority of shares, providing a solid support base.
Future Outlook: Analysts suggest that upcoming economic reports, including housing data and Q1 earnings, will be crucial in determining the stock's trajectory, with expectations for continued strength in share prices by the end of Q1 2026.
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Analyst Views on SSD
Wall Street analysts forecast SSD stock price to fall
3 Analyst Rating
1 Buy
2 Hold
0 Sell
Moderate Buy
Current: 209.210
Low
187.00
Averages
196.33
High
212.00
Current: 209.210
Low
187.00
Averages
196.33
High
212.00
About SSD
Simpson Manufacturing Co., Inc., through its subsidiary, Simpson Strong-Tie Company Inc., designs, engineers and manufactures structural solutions for wood, concrete, and steel connections. Its wood construction products include connectors, truss plates, fastening systems, fasteners and shear walls, and concrete construction products, including adhesives, specialty chemicals, mechanical anchors, powder actuated tools and fiber reinforcing materials. Its products for wood construction are used in light-frame building applications and include connectors, truss plates, screw fastening systems, fasteners and prefabricated lateral-force resisting systems. The Company’s concrete construction products are used in concrete, masonry and steel building applications and include adhesives, chemicals, mechanical anchors, carbide drill bits, powder actuated tools, fiber-reinforced materials, and other repair products used for protecting and strengthening structures.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Simpson Manufacturing: Mid-Cap Surge Approaches New Record Levels
Company Performance: Simpson Manufacturing (NYSE: SSD) is on track to achieve record highs this year, with improving earnings quality, healthy cash flow, and strong capital returns, despite anticipated growth challenges in 2026.
Financial Health: The company's operating margin reached 19.5% in Q4 and is expected to remain strong, with a long-term target of at least 20%. Cash flow is substantial, supported by manageable long-term debt levels.
Market Activity: There is a notable increase in short-selling activity against SSD shares, which may impact stock price stability. However, institutional investors hold a significant majority of shares, providing a solid support base.
Future Outlook: Analysts suggest that upcoming economic reports, including housing data and Q1 earnings, will be crucial in determining the stock's trajectory, with expectations for continued strength in share prices by the end of Q1 2026.
See More
Simpson Manufacturing Q4 2025 Earnings Call Highlights
- Sales Growth: Simpson Manufacturing reported net sales of $2.3 billion for 2025, a 4.5% increase year-over-year, with North American sales reaching $1.8 billion, benefiting from approximately $60 million in pricing actions, despite a 1% volume decline due to weaker housing starts.
- Stable Gross Margin: The company's gross margin for Q4 was 43.6%, down 30 basis points from the previous year, with North America at 46.2% and Europe increasing to 33.6%, indicating varied performance across regions.
- Operating Income Changes: Q4 operating income totaled $74.8 million, a 2.7% decrease from $76.9 million, with an operating income margin of 13.9%, reflecting challenges in cost control and market conditions.
- Future Outlook: Simpson projects an operating margin for 2026 between 19.5% and 20.5%, facing pressures from tariffs and increased depreciation, while focusing on cost optimization and digital innovation to navigate market uncertainties.
See More
Simpson Manufacturing Q4 Earnings Beat Expectations with Strong Revenue Growth
- Strong Earnings Report: Simpson Manufacturing reported a Q4 GAAP EPS of $1.35, beating expectations by $0.13, indicating robust profitability growth for the company.
- Revenue Growth: Q4 revenue reached $539.3 million, a 4.2% year-over-year increase, surpassing market expectations by $8.6 million, demonstrating the company's sustained competitiveness in the market.
- Annual Performance: For 2025, net sales hit $2.3 billion, up 4.5% year-over-year, with operating income of $458.1 million and an operating margin of 19.6%, reflecting the company's resilience amid cost pressures.
- Stock Buyback: The company repurchased $120 million in common stock during the quarter, including $30 million in Q4, showcasing confidence in its stock value and commitment to shareholder returns.
See More
Simpson Manufacturing Reports Q4 Earnings Growth
- Earnings Growth: Simpson Manufacturing reported fourth-quarter earnings of $56.21 million, translating to $1.35 per share, an increase from last year's $55.45 million and $1.31 per share, indicating a steady enhancement in the company's profitability.
- Revenue Increase: The company's revenue rose by 4.2% in the fourth quarter to $539.34 million, compared to $517.42 million last year, reflecting sustained market demand and the effectiveness of the company's sales strategies.
- Financial Health: Despite facing market challenges, Simpson Manufacturing achieved growth in both earnings and revenue, demonstrating its competitiveness and financial stability within the industry.
- Future Outlook: With the recovery of the construction sector, Simpson Manufacturing is poised to continue benefiting from increasing market demand, further driving performance improvements in the future.
See More
Simpson Manufacturing Co. Reports 2025 Financial Highlights
- Revenue Growth: In Q4 2025, Simpson Manufacturing reported net sales of $539,345 thousand, a 4.2% increase year-over-year, with total sales for the year reaching $2,332,808 thousand, reflecting a 4.5% growth, demonstrating the company's resilience in a challenging housing market.
- Stable Gross Margin: The company achieved a gross profit of $235,073 thousand in Q4, with a gross margin of 43.6%, slightly down from 43.9% last year, while the annual gross profit reached $1,069,605 thousand, maintaining a margin of 45.9%, indicating effective cost management.
- Net Income Increase: The net income for Q4 2025 was $56,214 thousand, up 1.4% year-over-year, with total net income for the year at $345,083 thousand, a 7.1% increase, showcasing the company's ongoing profitability enhancement.
- Outstanding Safety Performance: Simpson Manufacturing achieved a Total Recordable Incident Rate below 1.0 for the second consecutive year, marking the best safety performance in the company's history, reflecting a strong commitment to employee safety and corporate values.
See More
Simpson Manufacturing Co. Reports 2025 Financial Highlights
- Sales Growth: In 2025, net sales reached $2.33 billion, reflecting a 4.5% year-over-year increase, demonstrating the company's resilience in a challenging market, particularly driven by pricing strategies and acquisitions.
- Profitability Improvement: The net income per diluted share for 2025 was $8.24, an 8.4% increase, indicating effective cost management and operational efficiency despite higher operating expenses.
- Stock Buyback Program: The company repurchased $120 million in common stock during 2025, including $30 million in the fourth quarter, signaling confidence in its value and providing returns to shareholders.
- Dividend Distribution: The Board declared a quarterly cash dividend of $0.29 per share, totaling an estimated $12 million, reflecting the company's ongoing cash flow and commitment to shareholders.
See More
Simpson Manufacturing: Mid-Cap Surge Approaches New Record Levels
Company Performance: Simpson Manufacturing (NYSE: SSD) is on track to achieve record highs this year, with improving earnings quality, healthy cash flow, and strong capital returns, despite anticipated growth challenges in 2026.
Financial Health: The company's operating margin reached 19.5% in Q4 and is expected to remain strong, with a long-term target of at least 20%. Cash flow is substantial, supported by manageable long-term debt levels.
Market Activity: There is a notable increase in short-selling activity against SSD shares, which may impact stock price stability. However, institutional investors hold a significant majority of shares, providing a solid support base.
Future Outlook: Analysts suggest that upcoming economic reports, including housing data and Q1 earnings, will be crucial in determining the stock's trajectory, with expectations for continued strength in share prices by the end of Q1 2026.
See More
Simpson Manufacturing Q4 2025 Earnings Call Highlights
- Sales Growth: Simpson Manufacturing reported net sales of $2.3 billion for 2025, a 4.5% increase year-over-year, with North American sales reaching $1.8 billion, benefiting from approximately $60 million in pricing actions, despite a 1% volume decline due to weaker housing starts.
- Stable Gross Margin: The company's gross margin for Q4 was 43.6%, down 30 basis points from the previous year, with North America at 46.2% and Europe increasing to 33.6%, indicating varied performance across regions.
- Operating Income Changes: Q4 operating income totaled $74.8 million, a 2.7% decrease from $76.9 million, with an operating income margin of 13.9%, reflecting challenges in cost control and market conditions.
- Future Outlook: Simpson projects an operating margin for 2026 between 19.5% and 20.5%, facing pressures from tariffs and increased depreciation, while focusing on cost optimization and digital innovation to navigate market uncertainties.
See More
Simpson Manufacturing Q4 Earnings Beat Expectations with Strong Revenue Growth
- Strong Earnings Report: Simpson Manufacturing reported a Q4 GAAP EPS of $1.35, beating expectations by $0.13, indicating robust profitability growth for the company.
- Revenue Growth: Q4 revenue reached $539.3 million, a 4.2% year-over-year increase, surpassing market expectations by $8.6 million, demonstrating the company's sustained competitiveness in the market.
- Annual Performance: For 2025, net sales hit $2.3 billion, up 4.5% year-over-year, with operating income of $458.1 million and an operating margin of 19.6%, reflecting the company's resilience amid cost pressures.
- Stock Buyback: The company repurchased $120 million in common stock during the quarter, including $30 million in Q4, showcasing confidence in its stock value and commitment to shareholder returns.
See More
Simpson Manufacturing Reports Q4 Earnings Growth
- Earnings Growth: Simpson Manufacturing reported fourth-quarter earnings of $56.21 million, translating to $1.35 per share, an increase from last year's $55.45 million and $1.31 per share, indicating a steady enhancement in the company's profitability.
- Revenue Increase: The company's revenue rose by 4.2% in the fourth quarter to $539.34 million, compared to $517.42 million last year, reflecting sustained market demand and the effectiveness of the company's sales strategies.
- Financial Health: Despite facing market challenges, Simpson Manufacturing achieved growth in both earnings and revenue, demonstrating its competitiveness and financial stability within the industry.
- Future Outlook: With the recovery of the construction sector, Simpson Manufacturing is poised to continue benefiting from increasing market demand, further driving performance improvements in the future.
See More
Simpson Manufacturing Co. Reports 2025 Financial Highlights
- Revenue Growth: In Q4 2025, Simpson Manufacturing reported net sales of $539,345 thousand, a 4.2% increase year-over-year, with total sales for the year reaching $2,332,808 thousand, reflecting a 4.5% growth, demonstrating the company's resilience in a challenging housing market.
- Stable Gross Margin: The company achieved a gross profit of $235,073 thousand in Q4, with a gross margin of 43.6%, slightly down from 43.9% last year, while the annual gross profit reached $1,069,605 thousand, maintaining a margin of 45.9%, indicating effective cost management.
- Net Income Increase: The net income for Q4 2025 was $56,214 thousand, up 1.4% year-over-year, with total net income for the year at $345,083 thousand, a 7.1% increase, showcasing the company's ongoing profitability enhancement.
- Outstanding Safety Performance: Simpson Manufacturing achieved a Total Recordable Incident Rate below 1.0 for the second consecutive year, marking the best safety performance in the company's history, reflecting a strong commitment to employee safety and corporate values.
See More
Simpson Manufacturing Co. Reports 2025 Financial Highlights
- Sales Growth: In 2025, net sales reached $2.33 billion, reflecting a 4.5% year-over-year increase, demonstrating the company's resilience in a challenging market, particularly driven by pricing strategies and acquisitions.
- Profitability Improvement: The net income per diluted share for 2025 was $8.24, an 8.4% increase, indicating effective cost management and operational efficiency despite higher operating expenses.
- Stock Buyback Program: The company repurchased $120 million in common stock during 2025, including $30 million in the fourth quarter, signaling confidence in its value and providing returns to shareholders.
- Dividend Distribution: The Board declared a quarterly cash dividend of $0.29 per share, totaling an estimated $12 million, reflecting the company's ongoing cash flow and commitment to shareholders.
See More
