Analyst Hamed Khorsand of BWS Financial maintained a Buy rating on Hawkins, with a price target of $200.00.
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Hamed Khorsand has given his Buy rating due to a combination of factors that highlight Hawkins’s potential for growth despite recent challenges. The company reported fiscal second-quarter results that fell short of expectations, primarily due to weaker sales in the water treatment segment, which has historically been a strong growth driver for Hawkins. However, the milder summer in certain regions affected the anticipated boost from annual contract renewals, impacting overall sales figures.
Despite this setback, Khorsand notes the impressive performance of Hawkins’s industrial segment, which experienced a growth of approximately 10.8 percent. This growth is attributed to industrial customers finding it easier to access Hawkins’s inventory compared to dealing with imports and tariffs. Khorsand believes that while Hawkins may experience variable quarterly performances, these fluctuations do not undermine the company’s overarching growth narrative, justifying the Buy rating.