William Blair analyst Ryan Merkel has maintained their bullish stance on JHX stock, giving a Buy rating on September 30.
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Ryan Merkel has given his Buy rating due to a combination of factors that underscore James Hardie Industries PLC’s strong market position and growth potential. The company is well-positioned for sustained long-term growth, thanks to its robust brands and extensive manufacturing capabilities, particularly in Hardie siding and AZEK decking, railing, and trim. Additionally, the fiscal 2026 guidance appears achievable, even under conservative assumptions, which suggests a solid financial outlook.
Furthermore, investor concerns about potential price cuts in the decking segment seem exaggerated, as the synergies with AZEK are more reliant on comprehensive solutions and professional brand strength. The consolidation in professional distribution channels is also seen as beneficial for both customers and the company. Notably, there is increased optimism about commercial synergies, especially with AZEK trim, and the company is maintaining its market share without experiencing a trade-down in the siding market. Overall, James Hardie is confident in its ability to achieve double-digit growth within a supportive housing market environment.
According to TipRanks, Merkel is a 4-star analyst with an average return of 7.7% and a 57.34% success rate. Merkel covers the Industrials sector, focusing on stocks such as Fastenal Company, Trex Company, and QXO Inc.
In another report released on September 30, Wolfe Research also initiated coverage with a Buy rating on the stock with a $25.00 price target.