Mueller Water downgraded to Hold at TD Cowen with new growth vectors less clear

As previously reported, TD Cowen analyst Joseph Giordano downgraded Mueller Water to Hold from Buy with a price target of $20, up from $19, following Q3 results. Shares have reached the firm’s price target, the catalyst path previously laid out has “largely taken place and has now become the base case,” and the management transition the firm had been excited about ended with insiders filling the permanent role. The firm doesn’t “love the setup” into next quarter when the company gives FY25 guidance given the risk it sees that the cost savings the company may guide to could disappoint, the analyst tells investors.