UPDATE: Deustche Bank Upgrades James Hardie Industries On Strong Demand Growth

In a report published Wednesday, Deutsche Bank analyst Emily Behncke upgraded James Hardie Industries

from a Hold rating to a Buy rating and raised the price target from $8.90 to $13.51. In the report, Deutsche Bank says "James Hardie's 2QFY14 result was hard to fault: 1) US primary demand growth is back on track, with volume growth of 21% yoy; 2) US fibre cement EBIT margins continued to improve, against the usual season patterns; 3) investment continues in the US business with very robust returns and 4) an uplift in the payout ratio combined with the potential (and likely) capital return should mean a yield of 6.3% in FY14. We therefore upgrade our recommendation to Buy with 13% upside to the current share price." James Hardie Industries closed on Wednesday at $12.00.