Howden Joinery Group (LSE:HWDN) PLC, the kitchen supplier, has had its price target hiked by Deutsche Bank.
This followed an unexpected trading update released by Howden on Monday, ahead of Thursday’s scheduled date, said analyst Shivani Shah.
The company’s UK revenue growth was 38% in the year to date and 2021 profit before tax (PBT) is estimated to be between GBP298mln and GBP360mln according to management – above the previous guidance of GBP300mln.
Shah raised their 2021 PBT estimate 21% to GBP370mln, upgraded their 2022 estimates by 7-10%, and reiterated that the stock is undervalued by recommending investors to ‘buy’.
Howden is one of Deutche’s UK mid-cap top picks.