Core & Main Inc (NYSE: CNM)’s stock price has dropped by -1.41 in relation to previous closing price of 44.53. Nevertheless, the company has seen a loss of -13.85% in its stock price over the last five trading days. seekingalpha.com reported 2025-03-29 that I downgraded Core & Main to hold due to macro uncertainty and a soft FY25 outlook, despite Q4-24 results being in line. Organic growth stalled with just 1.5% y/y in Q4-24; FY25 revenue guidance implies only 2-5% growth, significantly lower than FY24’s 11%. Elevated SG&A costs from recent acquisitions hinder margin expansion, making earnings growth reliant on cost reductions, which seems unlikely.
Is It Worth Investing in Core & Main Inc (NYSE: CNM) Right Now?
Core & Main Inc (NYSE: CNM) has a higher price-to-earnings ratio of 20.64x compared to its average ratio, The 36-month beta value for CNM is at 1.03. Analysts have varying views on the stock, with 6 analysts rating it as a “buy,” 4 rating it as “overweight,” 3 as “hold,” and 0 as “sell.”
The public float for CNM is 189.73M, and currently, shorts hold a 8.06% of that float. The average trading volume for CNM on April 09, 2025 was 2.02M shares.
CNM’s Market Performance
The stock of Core & Main Inc (CNM) has seen a -13.85% decrease in the past week, with a -5.69% drop in the past month, and a -13.68% fall in the past quarter. The volatility ratio for the week is 7.15%, and the volatility levels for the past 30 days are at 4.42% for CNM. The simple moving average for the past 20 days is -8.39% for CNM’s stock, with a -10.09% simple moving average for the past 200 days.
Analysts’ Opinion of CNM
Many brokerage firms have already submitted their reports for CNM stocks, with Deutsche Bank repeating the rating for CNM by listing it as a “Buy.” The predicted price for CNM in the upcoming period, according to Deutsche Bank is $60 based on the research report published on April 01, 2025 of the current year 2025.
Wells Fargo, on the other hand, stated in their research note that they expect to see CNM reach a price target of $52. The rating they have provided for CNM stocks is “Overweight” according to the report published on September 23rd, 2024.
Citigroup gave a rating of “Neutral” to CNM, setting the target price at $64 in the report published on April 05th of the previous year.
CNM Trading at -12.88% from the 50-Day Moving Average
After a stumble in the market that brought CNM to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -29.36% of loss for the given period.
Volatility was left at 4.42%, however, over the last 30 days, the volatility rate increased by 7.15%, as shares sank -7.24% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -22.28% lower at present.
During the last 5 trading sessions, CNM fell by -13.48%, which changed the moving average for the period of 200-days by -14.47% in comparison to the 20-day moving average, which settled at $47.93. In addition, Core & Main Inc saw -13.77% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CNM starting from Stephens John Weldon, who sale 41,963 shares at the price of $50.48 back on Apr 02 ’25. After this action, Stephens John Weldon now owns 4,120 shares of Core & Main Inc, valued at $2,118,460 using the latest closing price.
John Weldon Stephens, the Officer of Core & Main Inc, proposed sale 83,927 shares at $49.38 during a trade that took place back on Apr 02 ’25, which means that John Weldon Stephens is holding shares at $4,144,315 based on the most recent closing price.
Stock Fundamentals for CNM
Current profitability levels for the company are sitting at:
- 0.1 for the present operating margin
- 0.26 for the gross margin
The net margin for Core & Main Inc stands at 0.06. The total capital return value is set at 0.14. Equity return is now at value 26.10, with 7.51 for asset returns.
Based on Core & Main Inc (CNM), the company’s capital structure generated 0.6 points at debt to capital in total, while cash flow to debt ratio is standing at 0.25. The debt to equity ratio resting at 1.48. The interest coverage ratio of the stock is 5.08.
Currently, EBITDA for the company is 913.0 million with net debt to EBITDA at 2.74. When we switch over and look at the enterprise to sales, we see a ratio of 1.46. The receivables turnover for the company is 6.98for trailing twelve months and the total asset turnover is 1.27. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.34.
Conclusion
In conclusion, Core & Main Inc (CNM) has had a bad performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
