TopBuild price target lowered to $260 from $310 at Loop Capital

Loop Capital analyst Jeffrey Stevenson lowered the firm’s price target on TopBuild to $260 from $310 and keeps a Hold rating on the shares. The company reported a strong Q3 beat and raised its FY23 guidance as the air pocket in residential demand from soft housing starts in the year through the first half of FY23 continues to hold in better than anticipated, the analyst tells investors in a research note. Loop Capital adds that installation volume declines were not as severe as anticipated, with challenged single-family demand partially offset by positive commercial and multi-family volume growth, though there remains uncertainty around residential demand next year after the Federal Reserve indicated that higher interest rates could remain over a longer period.