Bank of America has revised its price target for ESAB (ESAB, Financial), reducing it from $137 to $134, while maintaining a "Buy" rating on the stock. This adjustment comes as the firm grapples with what it describes as a "challenging setup" in the Machinery, Engineering & Construction, and Waste sectors ahead of earnings reports.
BofA analysts express concern that companies in these sectors face a "lose-lose" scenario. They predict that firms will either need to lower their guidance due to prevailing uncertainties or risk being perceived as disconnected from the current market realities. This complex situation has led BofA to revise price targets across the sector.
In response to these challenges, the firm is shifting its focus more towards services like aggregates, rentals, and waste management, rather than relying on original equipment manufacturers. This strategy reflects a broader industry trend of adapting to unpredictable market conditions by diversifying service offerings.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 9 analysts, the average target price for ESAB Corp (ESAB, Financial) is $134.11 with a high estimate of $150.00 and a low estimate of $109.00. The average target implies an upside of 21.13% from the current price of $110.72. More detailed estimate data can be found on the ESAB Corp (ESAB) Forecast page.
Based on the consensus recommendation from 10 brokerage firms, ESAB Corp's (ESAB, Financial) average brokerage recommendation is currently 1.9, 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 ESAB Corp (ESAB, Financial) in one year is $67.48, suggesting a downside of 39.05% from the current price of $110.72. 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 ESAB Corp (ESAB) Summary page.
