Moody’s cuts Builders FirstSource to Ba2 on housing slump and rising leverage
In short
Moody's announced an evaluation adjusting the credit rating of Builders FirstSource downward to Ba2. The action reflects heightened debt leverage paired with prolonged weakness in the broader housing landscape. As a result, the building supplier faces adjusted credit parameters from the rating agency.
Key points
- Builders FirstSource faces reduced credit standing following an evaluation by Moody's age…: Builders FirstSource faces reduced credit standing following an evaluation by Moody's agency.
- High leverage combined with residential construction weakness triggered the recent rating…: High leverage combined with residential construction weakness triggered the recent rating cut.
- Housing market downturns continue to put direct negative pressure on corporate credit rat…: Housing market downturns continue to put direct negative pressure on corporate credit ratings.