UPDATE: KeyBanc Initiates Texas Industries at Hold

KeyBanc is out with its report today on Texas Industries (NYSE: TXI), initiating TXI at Hold.

In its report, KeyBanc writes, "We think favorable long-term demographic trends in Texas and California support TXI's ongoing capacity expansions in today's oversupplied markets in time, but low demand growth hinders meaningful upside near term. Large shareholder interest is a positive investment consideration into 2012 and offers some valuation support despite limited near-term demand."

At the time of posting, shares of TXI were trading at $35.23, up 0.54% from Monday's close.