Graco price target raised to $82 from $75 at DA Davidson

DA Davidson analyst Matt Summerville raised the firm’s price target on Graco to $82 from $75 and keeps a Neutral rating on the shares after its Q4 earnings beat. The company’s core growth is set to rise 2%-3% in 2024, reflecting price capture and modestly higher overall volume with similar growth projected across its three reportable business segments, while its backlog and incoming order trends continue to normalize, the analyst tells investors in a research note. Graco’s top-line growth outlook is augmented by the company’s “fortress balance sheet and associated optionality”, proven execution track record, and strong free cash flow generation profile, the firm added.