Smith Douglas Homes price target lowered to $18 from $22 at BofA

BofA analyst Rafe Jadrosich lowered the firm’s price target on Smith Douglas Homes (SDHC) to $18 from $22 and keeps an Underperform rating on the shares. Smith Douglas’ delivery growth will slow in 2025 and return-on-equity continues to normalize closer to the group average, says the analyst, who adds that the valuation relative to peers “does not appear compelling.”