UPDATE: Stifel Raises PT on Mohawk Industries Following Meeting with CFO

In a report published Thursday, Stifel analyst John Baugh reiterated a Buy rating on Mohawk Industries (NYSE: MHK), and raised the price target from $155.00 to $160.00.

In the report, Stifel noted, “We spent the day with the CFO of Mohawk yesterday and file this brief report. We are raising our 2014 EPS estimate from $7.69 to $8.15 to reflect much greater contribution margins in carpet and higher synergies in laminate and ceramic than we had originally modeled. Mohawk should benefit from a continuing rebound in the residential and commercial markets in the U.S., which comprise approximately 70% of consolidated revenues. The retail or R&R end market has only recently begun to recover from seven years of negative or flat demand. The acquisition integrations continue at varying paces but we believe the Marazzi deal is the least furthest along and has the greatest potential.”

Mohawk Industries closed on Wednesday at $139.52.