Can Deckorators Deal Boost UFP Industries' Position in Outdoor Living?
UFP Industries, Inc.UFPI is strengthening its position in outdoor living through a strategic move by its Deckorators division. The company acquired the remaining operating assets of MoistureShield, a well-known brand in the decking market.
The acquisition marks a step to expand wood plastic composite manufacturing capabilities, enhance the product portfolio and support faster innovation. The Arkansas facility adds strong expertise in traditional composite decking. This complements Deckorators’ Surestone technology and design capabilities, improving the overall offering.
The combined platform is expected to deliver broader product options and better value to dealers, contractors, distributors and homeowners. The company also gains proprietary CoolDeck technology, which helps reduce heat absorption compared with standard composite decking. This addition strengthens product differentiation in a competitive market.
The deal also supports capacity expansion. The facility provides immediate room for additional sales and future scaling opportunities. The company expects that with further investments, Deckorators’ WPC capacity could double to $200 million by 2027. This reflects a clear growth path supported by manufacturing expansion.
Demand in outdoor living remains strong as homeowners continue to invest in outdoor spaces for daily use and leisure. The company plans to use this demand to expand product offerings, strengthen dealer and contractor reach, and accelerate product development.
In the fourth quarter of 2025, the company highlighted steady demand trends across key segments. Overall, the Deckorators deal appears to position UFP Industries to capture rising demand, expand the product mix and strengthen its competitive standing in outdoor living markets.
How UFP Industries Stacks Up Against Industry Peers
UFP Industries operates in a competitive outdoor living and composite decking market. The company faces competition from players such as Trex Company, Inc. TREX and Simpson Manufacturing Co., Inc. SSD, both of which serve key parts of the decking and construction value chain.
Trex remains a major competitor with a strong presence in composite decking and railing products. The company continues to benefit from steady demand for low-maintenance and sustainable outdoor solutions. Trex focuses on product innovation and brand strength, which supports its leadership in the composite decking space.
Simpson Manufacturing supplies structural connectors, fasteners and building solutions used in decking and outdoor construction. The company benefits from steady residential construction and repair activity. Simpson Manufacturing’s products play a critical role in supporting deck installations and outdoor structures.
UFP Industries is strengthening its position through the Deckorators acquisition. The added capacity, expanded product mix and new technologies may help the company compete more effectively across the outdoor living value chain.
UFPI Stock’s Price Performance & Valuation Trend
Shares of this global distributor of wood and composite products have declined 7.2% in the past three months, underperforming the Zacks Building Products-Wood industry, the broader Construction sector and the S&P 500 Index.
Image Source: Zacks Investment Research
UFPI stock is currently trading at a discount compared with its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 16.85, as evidenced by the chart below.
Image Source: Zacks Investment Research
Earnings Estimate Revision of UFPI
UFPI’s earnings estimates for 2026 have trended downward in the past 30 days to $5.19 per share. The Zacks Consensus Estimate for UFPI’s 2026 revenues indicates a 1.5% year-over-year decrease, while the same for EPS implies 3.8% growth.
Image Source: Zacks Investment Research
UFPI currently carries a Zacks Rank #5 (Strong Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They include
Stock #1: A Disruptive Force with Notable Growth and Resilience
Stock #2: Bullish Signs Signaling to Buy the Dip
Stock #3: One of the Most Compelling Investments in the Market
Stock #4: Leader In a Red-Hot Industry Poised for Growth
Stock #5: Modern Omni-Channel Platform Coiled to Spring
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.
See Our Newest 5 Stocks Set to Double Picks >>This article originally published on Zacks Investment Research (zacks.com).
