There's still not that much joy to be found in the residential building world. While the superstores
Home Depot (NYSE:
HD) and
Lowe's (NYSE:
LOW) have seen improvement in same-store sales and companies like
Louisiana-Pacific (NYSE:
LPX) are well off the lows, the actual building starts numbers still aren't good.
That means investors considering the shares of
Quanex Building Products (NYSE:
NX)
need to have some patience. While this company has built impressive
share in markets like window and door components, demand still just
isn't that strong. Quanex does seem undervalued on the basis of its
potential long-run
free cash flow, but with so much of that growth coming in the foggy future the risk here is above average.
Read the full article here:
http://stocks.investopedia.com/stock-analysis/2012/Quanex-Is-Going-To-Take-Some-Time--NX-HD-LOW-LPX0605.aspx
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