Core & Main price target raised to $24 from $22 at Truist

Truist analyst Keith Hughes raised the firm’s price target on Core & Main to $24 from $22 but keeps a Hold rating on the shares. The stock rose 5% yesterday on FY23 revenue guidance that was above consensus, even though its EBITDA is expected to contract, the analyst tells investors in a research note. The firm further warns that the lack of inflation inventory profits will lower gross margin in the new year for Core & Main while citing the management’s expectations for flat pricing for 2023 as recent declines in commodities, specifically PVC, have flattened.