Patrick Industries price target lowered to $136 from $160 at Raymond James

Raymond James lowered the firm’s price target on Patrick Industries (PATK) to $136 from $160 and keeps an Outperform rating on the shares. Patrick Industries reported mixed Q3 results on Thursday, reflecting an EPS beat on margin expansion, despite continued soft demand and dealer inventory de-stocking in certain of its end markets, the analyst tells investors in a research note. While management moderated its 2024 outlook, which now includes an operating margin decline of 20-30 basis points vs. flat to up 20 bp prior from last year’s 7.5% on costs related to acquisitions, the company is more optimistic that a positive demand inflection will occur in 2025 on the recent and future interest rate reductions, lower inflation and continued solid economic data, Raymond James says.