Craig-Hallum sees Xpel regaining ‘old mojo,’ upgrades to Buy

As previously reported, Craig-Hallum analyst Steve Dyer upgraded Xpel to Buy from Hold with a price target of $52, up from $40. Notwithstanding continued weakness and destocking in China, the company demonstrated broad-based strength across geographies and product lines in Q2 as it “got back on track after an uncharacteristic softer Q1 print,” the analyst tells investors. The firm expects macro unevenness to persist, but would point to new products as well as establishing dominant two-step distribution in a handful of emerging but populated countries as “reasons to believe the company will regain its old mojo,” the analyst added.