Simpson Manufacturing (SSD) Is Up 7.6% After Resilient 2025 Earnings And Off-Site Expansion Update - Has The Bull Case Changed?

• In February 2026, Simpson Manufacturing reported that fourth-quarter 2025 sales rose to US$539.35 million with net income of US$56.21 million, while full-year sales reached US$2.33 billion and net income was US$345.08 million, alongside ongoing share repurchases totaling 699,995 shares for US$120.00 million under a prior authorization.
• These results highlight how Simpson used pricing actions and acquisitions to grow sales despite a 1% volume decline, while expanding its higher-value OEM and off-site construction business and launching cost-saving initiatives targeting US$30.00 million in annualized benefits.
• Now we’ll examine how resilient 2025 earnings and expanding off-site construction exposure could influence Simpson Manufacturing’s investment narrative.

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Simpson Manufacturing Investment Narrative Recap

To be comfortable owning Simpson Manufacturing today, you need to believe that its leadership in structural connectors and growing off-site construction exposure can support steady earnings even when housing starts are soft. The latest 2025 results look consistent with that view, as pricing, acquisitions and cost savings offset a slight volume decline, but the biggest near term risk remains a prolonged slowdown in construction activity that could test how much pricing and mix can really do.

The most relevant recent update is Simpson’s completion of its US$120.00 million buyback, retiring 699,995 shares, alongside ongoing dividends. For investors watching catalysts, that capital return sits next to cost saving programs and off-site construction growth, which together frame how management is trying to support earnings resilience if volumes stay under pressure.

Yet investors should also be aware that if U.S. and European housing starts stay weak for longer, Simpson’s reliance on pricing and acquisitions...

Read the full narrative on Simpson Manufacturing (it's free!)

Simpson Manufacturing's narrative projects $2.6 billion revenue and $432.2 million earnings by 2028. This requires 5.0% yearly revenue growth and about a $101.8 million earnings increase from $330.4 million today.

Uncover how Simpson Manufacturing's forecasts yield a $194.75 fair value, a 7% downside to its current price.

Exploring Other Perspectives

Five members of the Simply Wall St Community currently value Simpson Manufacturing between US$35.80 and US$221.69 per share, showing very wide dispersion. Against that backdrop, the recent earnings update and continued sensitivity to housing starts give you several different angles to weigh before deciding how resilient you think the business can be.

Explore 5 other fair value estimates on Simpson Manufacturing - why the stock might be worth as much as 6% more than the current price!

Build Your Own Simpson Manufacturing Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Simpson Manufacturing research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free Simpson Manufacturing research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Simpson Manufacturing's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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