Constellium price target raised to $28 from $25 at JPMorgan

JPMorgan raised the firm’s price target on Constellium to $28 from $25 and keeps an Overweight rating on the shares ahead of the Q1 report. The analyst sees downside risk to Q1 consensus estimates given material weather impacts on production at Muscle Shoals early in the quarter, but feels the company’s fiscal 2024 guidance is still achievable. The firm remains constructive on the group longer term given aluminum’s recyclability and light weight, which it believes will play a key role in the energy transition over the next few decades. The higher target reflects “warranted multiple expansion as witnessed in the broader industrials space,” JPMorgan contends.