Bank of America Securities analyst Robert Ohmes reiterated a Buy rating on Floor & Decor Holdings yesterday and set a price target of $95.00.
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Robert Ohmes has given his Buy rating due to a combination of factors that highlight Floor & Decor Holdings’ potential for long-term growth despite current market challenges. The company reported better-than-expected earnings per share for the second quarter of 2025, driven by an increase in average ticket prices and a positive comparable sales growth, marking the first positive comp since the fourth quarter of 2022. This performance was supported by a rise in gross margins, primarily due to reduced supply chain costs.
Ohmes acknowledges the near-term challenges in the industry but sees significant earnings potential for Floor & Decor once the macroeconomic environment improves. The company’s strategic initiatives, such as investments in design services, Pro services, and expansion into adjacent categories, are expected to support long-term growth. Despite lowering the price objective slightly, Ohmes maintains a Buy rating, believing that Floor & Decor is well-positioned to manage competitive pressures and capitalize on its strategic growth initiatives.