Bank of America just raised its EUR/USD forecast
Investing.com - Truist Securities lowered its price target on James Hardie Industries (NYSE:JHX), a $11.8 billion building materials company, to $25.00 from $35.00 on Wednesday, while maintaining a Buy rating on the stock. According to InvestingPro data, the company maintains a GOOD financial health score, with liquid assets exceeding short-term obligations.
The price target reduction follows a 27% drop in James Hardie’s stock in Sydney trading after the company released results and fiscal year 2026 guidance that fell significantly below market expectations. The stock currently trades at $28.43, near its 52-week low, with a P/E ratio of 20.8. Get deeper insights into JHX’s valuation metrics and 8 additional key indicators with InvestingPro.
Truist noted the earnings miss was primarily concentrated in North American siding, where the company experienced double-digit volume declines driven by weak homebuilder demand and inventory reductions expected to continue throughout the year.
The results have raised questions about potential market share losses in the siding segment, according to Truist’s analysis of the company’s performance.
The firm also observed that Azek, which James Hardie acquired in July, is expected to decelerate to low-single-digit growth, underperforming its peer Trex, a development that could benefit Trex while raising questions about the timing of the Azek acquisition.
In other recent news, James Hardie Industries reported its first-quarter earnings for fiscal year 2026, which fell short of expectations. The company’s earnings per share were $0.29, missing the anticipated $0.35, representing a negative surprise of 17.14%. Revenue also came in below forecasts at $899.9 million, compared to the expected $950.68 million, marking a 5.34% shortfall. Following these results, Jefferies adjusted its outlook on James Hardie, lowering the stock price target to $30 from $34, while maintaining a Buy rating. Jefferies noted that the company’s full-year guidance appeared "much weaker than expected." These developments reflect a softer outlook for the building materials manufacturer.
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