Fastenal initiated with an Equal Weight at Barclays

Barclays initiated coverage of Fastenal (FAST) with an Equal Weight rating and $49 price target The company is among the best-placed distributors in a tariff-driven inflationary environment due to its well invested network and asset base, and large inventory reported on a FIFO accounting basis, the analyst tells investors in a research note. The investment thesis on the stock is about top-line growth, as growth solves many challenges, including perceived headwinds to gross margins and operating margins, though the firm’s neutral rating is due to Fastenal’s investment positives having been reflected in the company’s record valuation relative to history, the firm added.