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Valmont Industries (VMI): Buy Rating Reaffirmed as Transient Brazil Headwinds Contrast With Solid 2026 Earnings Outlook

Valmont Industries (VMI): Buy Rating Reaffirmed as Transient Brazil Headwinds Contrast With Solid 2026 Earnings Outlook

William Blair analyst Brian Drab has maintained their bullish stance on VMI stock, giving a Buy rating today.

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Brian Drab has given his Buy rating due to a combination of factors that balance near‑term noise with solid longer‑term fundamentals. While fourth‑quarter results were slightly shy of expectations because of weaker irrigation performance in Brazil, infrastructure operations tracked in line, and the profit shortfall was partly tied to discrete legal and credit items that are not expected to recur at the same magnitude.

Drab also highlights that unusual tax benefits and Brazil‑related charges essentially offset, leaving the underlying earnings power largely intact. Management’s 2026 outlook, calling for low‑to‑mid single‑digit sales growth and a healthy adjusted EPS range, aligns with prior market expectations and supports a constructive view on earnings growth, underpinning his favorable valuation stance and Buy recommendation on VMI.

In another report released today, J.P. Morgan also maintained a Buy rating on the stock with a $510.00 price target.

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