Goldman Sachs Downgrades Zurn Water Solutions (ZWS) to Neutral, 'less potential for the stock to re-rate'

Goldman Sachs analyst Jerry Revich downgraded Zurn Water Solutions (NYSE: ZWS) from Buy to Neutral with a price target of $29.00.

The analyst comments "We downgrade ZWS to Neutral from Buy we see less potential for the stock to re-rate given a softer Commercial backdrop and our estimates are below consensus (GS 2023/2024/2025 EPS is -1%/-3%/-3%). ZWS is over-indexed to the part of Commercial (e.g., Office, Retail, Hospitality) that should experience muted/negative growth next year given YTD start trends. Additionally, comps such as XYL/WTS have de-rated, limiting multiple upside for this water pureplay. Our price target moves to $29 implying a ~5.0% 2025 FCF yield."

For an analyst ratings summary and ratings history on Zurn Water Solutions click here. For more ratings news on Zurn Water Solutions click here.

Shares of Zurn Water Solutions closed at $26.46 yesterday.

You May Also Be Interested In

• Fiserv (FISV) PT Lowered to $60 at Freedom Broker
• Powell Industries (POWL) PT Lowered to $235 at Cantor Fitzgerald
• Freedom Broker Upgrades Serve Robotics (SERV) to Buy