Graco price target lowered to $91 from $94 at RBC Capital

RBC Capital analyst Deane Dray lowered the firm’s price target on Graco to $91 from $94 but keeps an Outperform rating on the shares. The company’s “modest” earnings miss was driven by weaker-than-expected growth/margins in Contractor segment, but more importantly, Graco believes that inventory levels in the home center/pro channels are matching out-the-door sales, suggesting that destocking is largely over, the analyst tells investors in a research note.