In a report released today, Robert Ohmes from Bank of America Securities maintained a Buy rating on Floor & Decor Holdings (FND – Research Report), with a price target of $120.00.
Robert Ohmes has given his Buy rating due to a combination of factors that highlight Floor & Decor Holdings’ strategic positioning and potential for future growth. The company is well-prepared to handle the unpredictability of tariffs, having diversified its supply chain away from China, which reduces its vulnerability compared to competitors. This strategic move, along with its ability to negotiate with suppliers and adjust pricing, positions FND favorably in the market.
Additionally, despite the current challenging macroeconomic environment, FND is expected to emerge stronger with fewer competitors and enhanced operational efficiency. The company’s focus on cost control and maintaining high fixed costs will allow it to capitalize on improved earnings once the macroeconomic conditions stabilize. Furthermore, strategic initiatives such as expanding design centers and outdoor departments, along with the potential recovery in the housing market, are anticipated to support FND’s long-term growth and revenue improvement.