Mohawk Industries upgraded to Outperform from Neutral at Baird

Baird analyst Timothy Wojs upgraded Mohawk Industries (MHK) to Outperform from Neutral with a price target of $196, up from $160. The firm sees “some green shoots” for flooring demand emerging. Mohawk has “meaningful leverage” to a residential replace recovery and $16-$17 per share of earnings power is possible by 2027, the analyst tells investors in a research note. Volume leverage, restructuring actions, mix improvement, and meaningful capital deployment optionality are key growth levers against still-mixed sentiment, adds Baird.