TopBuild Expands Texas Footprint With Johnson Roofing Acquisition

TopBuild Corp. BLD has further strengthened its growth trajectory by agreeing to acquire Johnson Roofing, expanding its commercial roofing platform and regional footprint.

Johnson Roofing is widely recognized as one of the largest commercial roofing installation service providers in Texas, with a strong presence across the commercial market in the South-Central United States. This acquisition strengthens TopBuild’s commercial roofing platform, expands its footprint in Central Texas and enhances its ability to better serve general contractor customers across the broader region.

Following the news, shares of BLD have gained 1.1% during yesterday’s trading session.

TopBuild’s Strategically Accretive Transaction

The acquisition of Johnson Roofing represents a targeted, bolt-on transaction that strengthens TopBuild’s commercial roofing platform. With approximately $29 million in annual revenues, Johnson Roofing operates in the highly fragmented Texas commercial roofing market, providing attractive regional scale and established customer relationships. Although financial terms were not disclosed, the transaction aligns with TopBuild’s disciplined tuck-in acquisition strategy aimed at expanding its commercial roofing footprint and enhancing long-term earnings power.

Management highlighted that the transaction expands TopBuild’s presence in Central Texas, positions the company to capitalize on a large and highly fragmented commercial roofing market, and enhances its ability to better serve general contractor customers. Leadership also underscored the strong cultural alignment between the two organizations, particularly their shared commitment to safety, operational excellence and customer service, expressing confidence that Johnson Roofing’s long-standing legacy of quality execution and field support will continue to thrive under TopBuild’s broader platform.

TopBuild’s Inorganic Efforts

Recent strategic initiatives underscore TopBuild’s disciplined inorganic expansion strategy. In the third quarter of 2025, the company acquired Progressive Roofing, a business generating approximately $440 million in annual revenues, establishing a meaningful growth platform within the highly fragmented $75 billion commercial roofing market. This was followed by the October 2025 closing of the Specialty Products & Insulation (SPI) transaction, which combined two leading mechanical insulation and custom fabrication businesses and is expected to deliver annual run-rate synergies of $35 million to $40 million.

On Feb. 3, 2026, the company acquired Applied Coatings and Upstate Spray Foam, both based in Winfield, NY. These businesses primarily provide spray foam insulation and fireproofing installation services across residential and commercial markets in New York, Pennsylvania and Massachusetts, further strengthening TopBuild’s regional density and complementary service offerings.

Backed by a solid balance sheet, a robust acquisition pipeline and proven integration capabilities, TopBuild is well-positioned to deliver sustained margin expansion and advance into its next phase of enterprise-wide growth.

BLD’s Share Price Performance

BLD’s stock has gained 19% in the past six months, outperforming the Zacks Building Products - Miscellaneous industry’s 4.6% growth. The company remains well-positioned for sustained long-term growth, supported by recent strategic acquisitions and robust performance in its Specialty Distribution segment, which continues to drive cost efficiencies and margin expansion. However, persistent macroeconomic headwinds and a weak residential market remain a concern.

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BLD’s Zacks Rank & Other Key Picks

Currently, TopBuild carries a Zacks Rank #2 (Buy).

Here are some other top-ranked stocks from the Construction sector:

Comfort Systems USA, Inc. FIX flaunts a Zacks Rank #1 (Strong Buy) at present. The company delivered a trailing four-quarter earnings surprise of 35.2%, on average. FIX stock has surged 105.5% in the past six months. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Comfort Systems’ fiscal 2026 sales and EPS indicates growth of 20.3% and 6%, respectively, from the prior-year levels.

Fluor Corporation FLR sports a Zacks Rank of 1 at present. The company delivered a trailing four-quarter earnings surprise of 17.6%, on average. FLR stock has climbed 27.8% in the past six months.

The Zacks Consensus Estimate for Fluor’s 2026 sales and EPS indicates growth of 3.4% and 23.3%, respectively, from the prior-year levels.

MasTec, Inc. MTZ carries a Zacks Rank of 2 at present. The company delivered a trailing four-quarter earnings surprise of 18.9%, on average. MTZ stock has gained 56% in the past six months.

The Zacks Consensus Estimate for MasTec’s 2026 sales and EPS indicates growth of 9.2% and 28.3%, respectively, from the year-ago period’s levels.

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