Core & Main (NYSE:CNM) Hits New 52-Week Low After Analyst Downgrade

Key Points

• Core & Main shares fell 5.9% to a new 52-week low of $39.64 after Royal Bank of Canada cut its price target from $60 to $57, while maintaining an outperform rating.
• Analyst sentiment is mixed, with seven Buy, five Hold and one Sell rating; the consensus rating is Hold with an average price target of $54.40.
• The company recently beat 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 approximately 94.19% of the stock.

Shares of Core & Main, Inc. (NYSE:CNM - Get Free Report) hit a new 52-week low during trading on Wednesday after Royal Bank Of Canada lowered their price target on the stock from $60.00 to $57.00. Royal Bank Of Canada currently has an outperform rating on the stock. Core & Main traded as low as $39.64 and last traded at $39.5950, with a volume of 352104 shares. The stock had previously closed at $42.10.

Several other research analysts have also commented on the company. Deutsche Bank Aktiengesellschaft set a $55.00 price target on Core & Main in a research report on Thursday, September 10th. Zacks Research downgraded shares of Core & Main from a "hold" rating to a "strong sell" rating in a research note on Monday, September 14th. The Goldman Sachs Group restated a "neutral" rating and issued a $53.00 price objective on shares of Core & Main in a report on Thursday, September 10th. Robert W. Baird lowered their target price on Core & Main from $66.00 to $57.00 and set an "outperform" rating for the company in a report on Thursday, September 10th. Finally, William Blair assumed coverage on shares of Core & Main in a research report on Thursday, July 23rd. They issued a "market perform" rating on the stock. Seven equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $54.40.

Hedge Funds Weigh In On Core & Main

Institutional investors have recently made changes to their positions in the company. Root Financial Partners LLC increased its holdings in Core & Main by 111.6% in the first quarter. Root Financial Partners LLC now owns 895 shares of the company's stock valued at $44,000 after buying an additional 472 shares in the last quarter. EverSource Wealth Advisors LLC increased its stake in shares of Core & Main by 42.3% during the first quarter. EverSource Wealth Advisors LLC now owns 2,389 shares of the company's stock worth $118,000 after purchasing an additional 710 shares in the last quarter. SkyView Investment Advisors LLC purchased a new stake in Core & Main during the 2nd quarter worth approximately $145,000. HB Wealth Management LLC purchased a new position in Core & Main in the 1st quarter valued at $205,000. Finally, iSAM Funds UK Ltd purchased a new position in shares of Core & Main in the second quarter worth about $207,000. 94.19% of the stock is owned by hedge funds and other institutional investors.

Core & Main Trading Down 5.9%

The company has a current ratio of 2.47, a quick ratio of 1.51 and a debt-to-equity ratio of 1.16. The company has a fifty day moving average price of $43.60 and a two-hundred day moving average price of $46.67. The firm has a market capitalization of $7.55 billion, a price-to-earnings ratio of 16.28, a PEG ratio of 1.75 and a beta of 0.91.

Core & Main (NYSE:CNM - Get Free Report) last posted its quarterly 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. Core & Main had a return on equity of 25.98% and a net margin of 5.96%.The business had revenue of $2.15 billion for the quarter, compared to analyst estimates of $2.14 billion. During the same quarter in the previous year, the firm earned $0.87 EPS. The company's quarterly revenue was up 2.5% compared to the same quarter last year. As a group, research analysts forecast that Core & Main, Inc. will post 3 earnings per share for the current fiscal year.

About Core & Main

Core & Main, Inc NYSE: CNM is a specialized distributor of infrastructure products serving the water, wastewater, storm drainage, fire protection and related utility markets. The company supplies products used to build, repair and maintain essential public and private infrastructure across the United States.

Its product portfolio includes ductile iron and plastic pipe, valves, hydrants, water meters, fittings, and other waterworks components. Core & Main also distributes stormwater drainage products, fire protection equipment and related solutions.

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