Core & Main price target lowered to $34 from $38 at BofA

BofA lowered the firm’s price target on Core & Main to $34 from $38 and keeps an Underperform rating on the shares after the distributor of water infrastructure products reported Q2 revenue that was $96M, or 5%, below consensus and lowered FY24 revenue guidance. The firm lowers its price based on an unchanged 10-times multiple being applied to its new calendar year 2025 adjusted EBITDA estimate, noting that its target multiple is below the peer average given C&M’s higher financial leverage and slower near-term EBITDA trajectory.