Wells Fargo & Company Has Lowered Expectations for CSW Industrials (NYSE:CSW) Stock Price

Key Points

• Wells Fargo lowered its CSW Industrials price target to $290 from $320 while maintaining an “equal weight” rating, implying only 1.64% upside from the stock’s reported $285.32 price.
• CSW reported strong operating growth, with quarterly revenue rising 30.5% year over year to $361.4 million and EPS increasing to $3.66, though EPS narrowly missed analysts’ $3.69 consensus estimate.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus and average target of $343.29, but shares fell 2.1% amid concerns about approximately $49 million in expected fiscal 2027 interest expense and the company’s exit from the Greco business.

CSW Industrials (NYSE:CSW - Get Free Report) had its price target cut by research analysts at Wells Fargo & Company from $320.00 to $290.00 in a research note issued to investors on Friday, Benzinga reports. The firm currently has an "equal weight" rating on the basic materials company's stock. Wells Fargo & Company's price target points to a potential upside of 1.64% from the stock's current price.

Other equities analysts have also issued reports about the company. Citigroup boosted their price target on CSW Industrials from $304.00 to $340.00 and gave the stock a "neutral" rating in a research report on Monday, August 3rd. Truist Financial boosted their target price on shares of CSW Industrials from $313.00 to $332.00 and gave the stock a "hold" rating in a research report on Monday, August 3rd. JPMorgan Chase & Co. upped their target price on shares of CSW Industrials from $350.00 to $380.00 and gave the company an "overweight" rating in a research note on Friday, July 31st. Zacks Research lowered shares of CSW Industrials from a "strong-buy" rating to a "hold" rating in a report on Monday, July 27th. Finally, Wall Street Zen lowered shares of CSW Industrials from a "buy" rating to a "hold" rating in a report on Sunday, October 18th. Two equities research analysts have rated the stock with a Strong Buy rating, one has issued a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $343.29.

CSW Industrials Trading Down 2.1%

Shares of CSW stock traded down $6.10 during mid-day trading on Friday, reaching $285.32. The company's stock had a trading volume of 64,973 shares, compared to its average volume of 143,883. The company has a quick ratio of 1.36, a current ratio of 2.70 and a debt-to-equity ratio of 0.77. The firm has a market capitalization of $4.65 billion, a PE ratio of 39.16 and a beta of 0.81. The company's 50 day simple moving average is $298.82 and its 200-day simple moving average is $291.07. CSW Industrials has a 12-month low of $236.66 and a 12-month high of $355.48.

CSW Industrials (NYSE:CSW - Get Free Report) last announced its quarterly earnings results on Thursday, October 29th. The basic materials company reported $3.66 earnings per share for the quarter, missing analysts' consensus estimates of $3.69 by ($0.03). CSW Industrials had a return on equity of 17.41% and a net margin of 10.34%. The business had revenue of $361.44 million for the quarter. During the same period last year, the business posted $2.96 earnings per share. The company's revenue for the quarter was up 30.5% compared to the same quarter last year. On average, research analysts predict that CSW Industrials will post 12.53 EPS for the current fiscal year.

Insider Activity at CSW Industrials

In other CSW Industrials news, CEO Joseph B. Armes sold 1,500 shares of the stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $287.04, for a total transaction of $430,560.00. Following the transaction, the chief executive officer owned 64,083 shares of the company's stock, valued at $18,394,384.32. This trade represents a 2.29% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Jeff Underwood sold 720 shares of the business's stock in a transaction on Monday, August 10th. The shares were sold at an average price of $346.96, for a total transaction of $249,811.20. Following the sale, the executive vice president owned 6,409 shares of the company's stock, valued at approximately $2,223,666.64. The trade was a 10.10% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 3,720 shares of company stock worth $1,114,741 in the last 90 days. 1.20% of the stock is currently owned by insiders.

Institutional Trading of CSW Industrials

Institutional investors and hedge funds have recently made changes to their positions in the stock. Valley Wealth Managers Inc. bought a new position in CSW Industrials in the 1st quarter worth approximately $26,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new stake in CSW Industrials in the 2nd quarter valued at approximately $29,000. Public Employees Retirement System of Ohio bought a new stake in CSW Industrials during the 2nd quarter valued at $29,000. Global Retirement Partners LLC bought a new stake in CSW Industrials during the 2nd quarter valued at $31,000. Finally, Sound Income Strategies LLC boosted its position in CSW Industrials by 628.6% during the 1st quarter. Sound Income Strategies LLC now owns 153 shares of the basic materials company's stock worth $40,000 after acquiring an additional 132 shares during the period. 82.79% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about CSW Industrials

Here are the key news stories impacting CSW Industrials this week:

• Positive Sentiment: Revenue increased 30.5% year over year to $361.4 million, while adjusted net income and sales reportedly surpassed consensus estimates. The Contractor Solutions segment posted 13% organic growth, supporting the company’s growth outlook. CSW Industrials fiscal 2027 second-quarter results
• Positive Sentiment: Management characterized the quarter as a record period, with broad business momentum and particularly strong organic performance in Contractor Solutions. The favorable revenue trend initially supported gains in the stock. CSW Industrials shares rise after fiscal second-quarter results
• Neutral Sentiment: CSW reported quarterly EPS of $3.66, up from $2.96 a year earlier, but the result was $0.03 below the $3.69 consensus estimate. The modest miss may be limiting investor enthusiasm despite the substantial revenue growth. CSW Industrials second-quarter earnings analysis
• Negative Sentiment: Management expects approximately $49 million of fiscal 2027 interest expense while advancing the exit from the Greco business. The anticipated financing burden and execution risks associated with the exit could pressure earnings and cash flow, contributing to the stock’s weakness. CSW outlines fiscal 2027 interest expense and Greco exit

CSW Industrials Company Profile

CSW Industrials, Inc NYSE: CSW is a diversified industrial company that develops, manufactures and sells products designed for professional trades, commercial and residential construction, and industrial maintenance applications. Its offerings are marketed primarily through established brands and distribution channels serving contractors, building professionals and industrial customers.

The company operates through three principal segments: Contractor Solutions, Engineered Building Solutions and Specialized Reliability Solutions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.