Dycom price target raised to $390 from $300 at DA Davidson

DA Davidson raised the firm’s price target on Dycom (DY) to $390 from $300 and keeps a Buy rating on the shares after its Q3 earnings beat. The company’s Power Solutions transaction may also allow Dycom to accelerate its own inside-the-fence data center business running fiber through conduit, which is in a similar operating region, the analyst tells investors in a research note. Enhancing margins, data center exposure, and cash flow all should benefit the stock’s valuation, the firm added.