Morgan Stanley has revised its price target for Martin Marietta Materials (MLM, Financial), reducing it from $622 to $561 while maintaining an Overweight rating on the shares. This adjustment comes as the firm reassesses its outlook due to changes in the macroeconomic environment.
The firm has updated its 2025 projections for the machinery and construction sectors, taking a more cautious stance in light of potential economic slowdowns. This includes adjusting its bear cases to incorporate the possibility of a recession. In doing so, Morgan Stanley has made key changes to its ratings to better align with its updated risk/reward analysis.
Factors influencing this decision include tariff risks, demand conditions, and overall market positioning. While acknowledging that investors may have already adjusted their expectations to account for a softer outlook, Morgan Stanley's revised analysis aims to provide a clearer perspective on risk-adjusted returns.
Martin Marietta Materials, a leading supplier of building materials, faces an evolving market landscape that requires careful evaluation of its long-term growth prospects, considering both domestic and international challenges.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 23 analysts, the average target price for Martin Marietta Materials Inc (MLM, Financial) is $596.37 with a high estimate of $660.00 and a low estimate of $381.98. The average target implies an upside of 19.50% from the current price of $499.05. More detailed estimate data can be found on the Martin Marietta Materials Inc (MLM) Forecast page.
Based on the consensus recommendation from 24 brokerage firms, Martin Marietta Materials Inc's (MLM, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Martin Marietta Materials Inc (MLM, Financial) in one year is $513.84, suggesting a upside of 2.96% from the current price of $499.05. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Martin Marietta Materials Inc (MLM) Summary page.
