Installed Building Products cut to Hold at Loop Capital on balanced risk-reward

Loop Capital downgraded Installed Building Products (IBP) to Hold from Buy with a higher price target of $255, up from $200, following its Q2 results. The company’s single-family and multi-family organic sales significantly outpaced the broader industry thanks to the positive mid-high single digit residential growth in key markets, outsized multi-family demand at its insulation business, and a better relative performance from local builders, the analyst tells investors in a research note. The firm adds however that at current levels, risk-reward on the stock looks “balanced”.