Core & Main (NYSE:CNM) Given Outperform Rating at Wolfe Research

Key Points

• Wolfe Research reaffirmed its “outperform” rating on Core & Main and set a $63 price target, implying roughly 54% upside from the stock’s $40.82 opening price.
• Analyst sentiment remains favorable overall, with eight Buy ratings and six Holds producing a “Moderate Buy” consensus and an average price target of $55.64, despite several recent target reductions.
• Core & Main exceeded quarterly expectations, reporting $0.94 in EPS versus $0.91 expected and $2.15 billion in revenue, up 2.5% year over year; institutional investors own 94.19% of the company.

Core & Main (NYSE:CNM - Get Free Report)'s stock had its "outperform" rating reaffirmed by equities researchers at Wolfe Research in a research note issued to investors on Tuesday, Benzinga reports. They currently have a $63.00 price objective on the stock. Wolfe Research's price objective suggests a potential upside of 54.35% from the company's current price.

CNM has been the subject of a number of other reports. Wall Street Zen lowered shares of Core & Main from a "buy" rating to a "hold" rating in a research report on Saturday, August 8th. Royal Bank Of Canada cut their price target on shares of Core & Main from $63.00 to $60.00 and set an "outperform" rating for the company in a report on Thursday. Robert W. Baird reduced their price target on shares of Core & Main from $66.00 to $57.00 and set an "outperform" rating for the company in a research report on Thursday, September 10th. Deutsche Bank Aktiengesellschaft set a $55.00 price target on shares of Core & Main in a report on Thursday. Finally, Barclays lowered their price objective on Core & Main from $62.00 to $61.00 and set an "overweight" rating on the stock in a research report on Thursday. Eight investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, Core & Main currently has a consensus rating of "Moderate Buy" and an average target price of $55.64.

Core & Main Stock Performance

Shares of CNM opened at $40.82 on Tuesday. The stock's 50-day simple moving average is $44.38 and its 200 day simple moving average is $47.67. The stock has a market capitalization of $7.90 billion, a price-to-earnings ratio of 16.80, a price-to-earnings-growth ratio of 1.70 and a beta of 0.91. The company has a debt-to-equity ratio of 1.16, a quick ratio of 1.51 and a current ratio of 2.47. Core & Main has a 52-week low of $40.03 and a 52-week high of $59.66.

Core & Main (NYSE:CNM - Get Free Report) last issued its earnings results on Wednesday, September 9th. The company reported $0.94 EPS for the quarter, topping the consensus estimate of $0.91 by $0.03. The business had revenue of $2.15 billion during the quarter, compared to the consensus estimate of $2.14 billion. Core & Main had a return on equity of 25.98% and a net margin of 5.96%.The firm's revenue was up 2.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.87 EPS. Research analysts forecast that Core & Main will post 3 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, Director James Hope bought 2,067 shares of the company's stock in a transaction on Monday, July 6th. The stock was acquired at an average cost of $46.01 per share, for a total transaction of $95,102.67. Following the completion of the transaction, the director directly owned 11,805 shares in the company, valued at $543,148.05. This trade represents a 21.23% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 1.51% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Core & Main

Hedge funds and other institutional investors have recently bought and sold shares of the stock. SkyView Investment Advisors LLC purchased a new stake in shares of Core & Main during the 2nd quarter valued at $145,000. WINTON GROUP Ltd increased its stake in Core & Main by 41.4% in the second quarter. WINTON GROUP Ltd now owns 46,061 shares of the company's stock valued at $2,222,000 after acquiring an additional 13,482 shares during the last quarter. Squarepoint Ops LLC increased its stake in Core & Main by 109.4% in the second quarter. Squarepoint Ops LLC now owns 215,273 shares of the company's stock valued at $10,387,000 after acquiring an additional 112,444 shares during the last quarter. Allworth Financial LP increased its stake in Core & Main by 176.7% in the second quarter. Allworth Financial LP now owns 33,752 shares of the company's stock valued at $1,629,000 after acquiring an additional 21,555 shares during the last quarter. Finally, Nykredit A S purchased a new stake in Core & Main during the second quarter valued at about $231,000. Hedge funds and other institutional investors own 94.19% of the company's stock.

About Core & Main

Core & Main, Inc NYSE: CNM is a specialized distributor of water, wastewater, storm drainage and fire protection products in the United States. The company supplies infrastructure materials used in the construction, maintenance and repair of public and private utility systems.

Its product offerings include ductile iron and PVC pipe, valves, hydrants, water meters, storm drainage systems, pipe fittings, fire protection equipment and related products. Core & Main also provides services such as product sourcing, technical support, fabrication, field assistance and inventory management to help customers complete infrastructure projects.

Core & Main serves municipalities, utility contractors, water and wastewater authorities, private water companies, civil and site-development contractors, and other industrial customers through a nationwide distribution network.

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