Avnet price target raised to $55 from $54 at Truist

Truist raised the firm’s price target on Avnet (AVT) to $55 from $54 and keeps a Hold rating on the shares. The firm notes the company posted Q3 upside, and guided Q4 mixed. Revenue upside is having a difficult time falling through to margins, mostly because of the geographic mix. Management sees a variety of signs pointing to cyclical stabilization, but Truist doesn’t see a clear cyclical recovery here. Limited AI exposure helps, but not enough. Other than more exposure to AI, recovering PMIs would help, the firm adds.