Core & Main tracking record drop after Q1 earnings miss

Core & Main

04/06/2024 15:46

** Core & Main's  CNM.N  shares down 13% at $48.82 early
Tues after water pipe distributor's Q1 profit misses
expectations
    ** CNM on track for largest daily pct loss since co IPOd in
2021. Stock hits lowest since mid-Mar
    ** Co posts adj EPS of 49 cents vs LSEG consensus of 51
cents
    ** Costs in qtr rose due to increase in personnel expenses
along with higher facility and other distribution costs related
to acquisitions and inflation, co says
    ** Q1 sales increased nearly 11% yr/yr to $1.74 bln, just
north of analysts' estimate of $1.72 bln
    ** Co forecasts FY sales of $7.5-$7.6 bln, adding $100 mln
to lower end of previous guidance
    ** 7 of 11 Wall Street brokerages rate CNM "strong buy" or
"buy", 3 have "hold", while 1 recommends "sell" and median PT is
$64
    ** With move on the session, CNM up ~21% YTD and up ~80%
over the past 12 months

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))