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Louisiana-Pacific downgraded to Hold on valuation at TD Securities

TD Securities analyst Sean Steuart downgraded Louisiana-Pacific to Hold from Buy with a price target of $85, up from $75. The analyst increased 2023 and 2024 earnings estimates for the company to reflect positive revisions to the firm’s North American oriented strand board price forecast. In the near term, TD expects urging OSB prices and stabilizing siding margins will support “much-improved” results. However, the firm downgraded Louisiana-Pacific on valuation following the stock’s recent strength. The stock’s valuation has expanded to fair levels, writes TD.

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