UPDATE: BMO Capital Markets Upgrades Louisiana-Pacific to Outperform on Demand and Yield Outlook
BMO Capital Markets upgraded Louisiana-Pacific (NYSE: LPX) from Market Perform to Outperform and maintained a $24.00 price target.
BMO Capital Markets said, "We expect an extended up-cycle as U.S. housing demand returns to demographically sustainable housing starts, estimated at 1.4mm to 1.5mm starts. Given that LPX is net debt free, we expect the company to initiate a dividend policy. The primary risk to our forecast is lower U.S. growth associated with the debt-limit negotiations."
Louisiana-Pacific closed at $19.43 on Thursday.
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Tags: BMO Capital Markets