Toro Company price target lowered by $2 at Baird, here’s why

Baird lowered the firm’s price target on Toro Company to $92 from $94 and keeps a Neutral rating on the shares. The firm’s channel checks indicate modest growth is expected in golf course budgets and turf/equipment spend for 2024, similar to 2023 growth levels. Dealers are seeing a small improvement in golf equipment lead times, but still significantly elevated versus history, the analyst tells investors in a research note. The firm says lawn and garden dealer sell-through sales remain sluggish and dealer inventory remains elevated. Overall, the checks suggest a continuation of recent golf and lawn/garden trends, Baird says.