U.S. Homebuilding & Building Products: The 2Q’26 Earnings Setup

Research evidence excerpt

U.S. Homebuilding & Building Products: The 2Q’26 Earnings Setup

Equity Research

14 July 2026

U.S. Homebuilding & Building Products

The 2Q’26 Earnings Setup

We lean toward building products, distributor, and brokerage

names with pricing power and exposure to more resilient

parts of the market (non-res, luxury). For homebuilders, U.S. Homebuilding & Building Products POSITIVE

Unchangedsluggish trends leave minimal catalysts. We mark to market

on SF starts and reduce our '27 starts assumption. U.S. Homebuilding & Building

Products

Matthew Bouley

We enter the 2Q earnings season with continued volatility in consumer sentiment, ongoing +1 212 526 9029

inflation that is receding on the margin, higher rates, stable R&R, and sluggish new matthew.bouley@barclays.com

construction. BCI, US

Elizabeth Langan

While investor sentiment toward the homebuilder group remains cautious, we are seeing +1 212 526 5960

growing interest in the building products space, heightened by recent M&A activity elizabeth.langan@barclays.com

(Carlisle's unsolicited bid for Owens Corning) and changing management teams (New CEO BCI, US

Appointment at FBIN).

Anika Dholakia

+1 212 526 8780

As we move into 2Q, while subdued end market sentiment is commonplace, we find

anika.dholakia@barclays.com

relative value in select building product names with favorable price-cost dynamics (WMS, BCI, US

OC), exposure to more resilient luxury activity (COMP), and the ability to drive market

outgrowth through strategic initiatives and positioning around large-scale capital projects Elaine Ku

+1 212 526 7529

(FERG). We remain cautious on categories with limited pricing power (MHK). We also remain

elaine.ku@barclays.com

sidelined on homebuilders, as rising single-family inventory levels continue to pressure BCI, US