Babcock & Wilcox downgraded to Neutral from Buy at DA Davidson

DA Davidson analyst Brent Thielman downgraded Babcock & Wilcox to Neutral from Buy with a price target of $1, down from $3.50. The firm cites the imposition of tariffs and potential economic risks adding to overall risk for the company, especially during a time in which Babcock & Wilcox needs to execute refinancing of debt coming due within the next 12 months, the analyst tells investors in a research note. The needs of the power generation market remain a potential positive here, although managing through tariffs and potentially a worsening near-term economic environment amidst refinancing efforts lend added risks, the firm adds.