Core & Main (NYSE:CNM) Shares Gap Up on Better-Than-Expected Earnings

Shares of Core & Main, Inc. (NYSE:CNM) gapped up before the market opened on Tuesday following a better than expected earnings announcement. The stock had previously closed at $48.29, but opened at $53.99. Core & Main shares last traded at $54.01, with a volume of 1,566,802 shares changing hands.

The company reported $0.69 EPS for the quarter, topping the consensus estimate of $0.65 by $0.04. Core & Main had a return on equity of 21.91% and a net margin of 5.58%. The company had revenue of $2.04 billion during the quarter, compared to analyst estimates of $1.99 billion. During the same quarter last year, the business posted $0.65 earnings per share. The firm’s revenue was up 11.5% on a year-over-year basis.

Analysts Set New Price Targets

Several research firms recently weighed in on CNM. Robert W. Baird increased their price target on Core & Main from $60.00 to $66.00 and gave the company an “outperform” rating in a report on Wednesday. Bank of America cut their target price on Core & Main from $38.00 to $34.00 and set an “underperform” rating on the stock in a research note on Thursday, September 5th. Wells Fargo & Company initiated coverage on Core & Main in a research note on Monday, September 23rd. They set an “overweight” rating and a $52.00 price target for the company. JPMorgan Chase & Co. cut their price objective on Core & Main from $54.00 to $52.00 and set an “overweight” rating on the stock in a research report on Tuesday, September 3rd. Finally, Royal Bank of Canada reiterated an “outperform” rating and set a $62.00 target price (up from $53.00) on shares of Core & Main in a research report on Wednesday. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating and six have issued a buy rating to the company. According to MarketBeat, Core & Main has a consensus rating of “Moderate Buy” and a consensus price target of $55.30.

Hedge Funds Weigh In On Core & Main

Several institutional investors have recently bought and sold shares of CNM. QRG Capital Management Inc. boosted its position in Core & Main by 1.9% during the 2nd quarter. QRG Capital Management Inc. now owns 12,153 shares of the company’s stock valued at $595,000 after acquiring an additional 228 shares in the last quarter. United Services Automobile Association boosted its position in Core & Main by 2.0% during the second quarter. United Services Automobile Association now owns 13,307 shares of the company’s stock valued at $651,000 after purchasing an additional 266 shares in the last quarter. Andina Capital Management LLC raised its holdings in Core & Main by 3.5% in the third quarter. Andina Capital Management LLC now owns 8,707 shares of the company’s stock worth $387,000 after purchasing an additional 294 shares in the last quarter. CWM LLC lifted its position in shares of Core & Main by 25.6% during the second quarter. CWM LLC now owns 1,638 shares of the company’s stock valued at $80,000 after buying an additional 334 shares during the last quarter. Finally, GAMMA Investing LLC boosted its holdings in shares of Core & Main by 61.1% in the 3rd quarter. GAMMA Investing LLC now owns 1,348 shares of the company’s stock valued at $60,000 after buying an additional 511 shares in the last quarter. 94.19% of the stock is owned by hedge funds and other institutional investors.

Core & Main Stock Performance

The company has a current ratio of 2.29, a quick ratio of 1.34 and a debt-to-equity ratio of 1.40. The stock has a market cap of $11.11 billion, a PE ratio of 26.44, a P/E/G ratio of 3.14 and a beta of 1.04. The business’s 50-day moving average price is $45.03 and its 200-day moving average price is $48.06.

Core & Main Company Profile

Core & Main, Inc distributes water, wastewater, storm drainage, and fire protection products and related services to municipalities, private water companies, and professional contractors in the municipal, non-residential, and residential end markets in the United States. Its products portfolio include pipes, valves, hydrants, fittings, and other products and services; storm drainage products, such as corrugated piping systems, retention basins, inline drains, manholes, grates, geosynthetics, erosion control, and other related products; fire protection products, including fire protection pipes, and sprinkler heads and devices, as well as fabrication services; and meter products, such as smart meter products, meter sets, meter accessories, installation, software, and other services.