01:52 PM EDT, 10/07/2024 (MT Newswires) -- National Bank has dropped its organic growth forecast for Doman Building Materials ( CWXZF ) to -5% in the quarter (was -2%). "Taking a longer view, we restrain our increasingly bullish outlook for lumber pricing by capping our annual organic growth forecast at ~5%," analyst Zachary Evershed writes. Still, capacity closures and curtailments, and channel participants' reticence to hold significant inventories given pricing volatility in recent years has created a perfect setup for a runup in lumber should volume demand kick off.

National Bank has not yet included an additional lift to organic growth attributable to Hurricane Helene, in the southeast U.S., though it will spur rebuilding and repair activity, benefiting Doman's new exposure to the Southeast following the acquisition of CM Tucker.

Raising target to $12 (was $8.50). Reiterate Outperform.

Price: 8.81, Change: +0.05, Percent Change: +0.57