JPMorgan upgrades James Hardie with positives trumping risks

JPMorgan upgraded James Hardie (JHX) to Overweight from Neutral with a price target of A$41.50, up from A$33, following the fiscal Q3 report. The company’s “conservative” Q4 outlook, cost synergies, and low-single-digit volume growth will drive 22% earnings growth in fiscal 2027, the analyst tells investors in a research note. JPMorgan sees this level of growth continuing into fiscal 2028. The “positives outweigh the risks,” the firm contends.