B of A Securities Rates W.W. Grainger as Underperform

A recent report highlights that B of A Securities has initiated coverage of W.W. Grainger with an Underperform recommendation, suggesting a slight decrease in stock performance. The company projects a revenue increase but faces bearish sentiment among analysts.

Date: 08-10-2024

AI Rating: 4

According to the report, B of A Securities initiated coverage of W.W. Grainger (NYSE:GWW) with an Underperform recommendation. This could negatively impact investor sentiment, leading to a decrease in the stock price.

The report provides a price target forecast that indicates a slight downside of 0.09% from the latest closing price of $1,022.84 per share. The average one-year price target is $1,021.94, with forecasts ranging from a low of $909.00 to a high of $1,312.50. A bearish outlook reflected in these numbers could lead to cautious trading and downward pressure on the stock.

In terms of revenue growth, W.W. Grainger is projected to achieve an annual revenue of $17,347MM, representing an increase of 3.55%. While this suggests growth, the overall outlook remains skeptical due to the underperform rating.

Additionally, the projected non-GAAP EPS is reported to be 34.47. The perception among investors may trend negatively due to stronger expectations from other companies within the sector.

Institutional interest appears mixed, with a slight decrease of 1.52% in the number of funds3.44%, indicating some degree of sustained interest. The average portfolio weight among funds has risen by 13.22%, showing that those who remain invested are increasing their stakes.

The put/call ratio of 0.54 signals a bullish outlook, which contrasts slightly with the prevailing sentiment indicated by the underperform recommendation. Investors may find this discrepancy curious when assessing market movements.

Stocks: GWW