UPDATE: Citigroup Upgrades Armstrong World Industries to Buy on Non-Residential Construction Improvement

Citigroup upgraded Armstrong World Industries

from Neutral to Buy and raised the price target from $60.00 to $67.00. Citigroup commented, "We upgrade AWI on: (1) the improving outlook for nonresidential construction; (2) our related increased EPS estimates and target; and (3) we expect sentiment to improve for the name as investors transition from potentially overbought homebuilding/building products stocks with trading multiples ahead of historical norms into less well followed AWI. Our new target is $67 (was $60) based on 8.6x 2014E EBITDA, a multiple consistent with the current forward peer median." Armstrong World Industries closed at $54.63 on Monday.