Core Business Overview - Core & Main (CNM) is experiencing gradual improvement in its underlying business fundamentals, although it is still perceived as a short-cycle distributor [1] Market Perception - The market continues to view Core & Main through a lens that emphasizes its short-cycle distribution model, which may affect investor sentiment [1]

Core Business Overview - Core & Main (CNM) is experiencing gradual improvement in its underlying business fundamentals, although it is still perceived as a short-cycle distributor [1] Market Perception - The market continues to view Core & Main through a lens that emphasizes its short-cycle distribution model, which may affect investor sentiment [1]

Core Points - Core & Main, Inc. has updated the timing for its fiscal 2025 third quarter results conference call, which will take place on December 9, 2025, at 7:30 a.m. ET [1][2] - The financial results will be released before the market opens on the same day [1] - A live webcast of the call will be available on the company's investor relations website, with a replay accessible afterward [3] Company Overview - Core & Main is a leading specialty distributor focused on advancing reliable infrastructure with local service across the U.S. [4] - The company specializes in water, wastewater, storm drainage, and fire protection products, serving municipalities, private water companies, and contractors [4] - Core & Main operates over 370 locations nationwide and employs approximately 5,700 associates [4]

Core & Main Performance - Core & Main's stock decreased by 1.64% to $44.90, underperforming the S&P 500's daily gain of 1.55% [1] - Over the past month, the stock has fallen by 16.44%, compared to a loss of 1.58% in the Industrial Products sector and 1.8% in the S&P 500 [1] Upcoming Earnings Expectations - Analysts expect Core & Main to report an EPS of $0.72, reflecting a 4.35% increase from the same quarter last year [2] - Revenue is anticipated to reach $2.08 billion, indicating a 2.03% rise compared to the previous year [2] Fiscal Year Projections - For the entire fiscal year, earnings are projected at $2.24 per share, a 5.16% increase year-over-year, with revenue expected to be $7.67 billion, up 3.02% [3] - Recent changes in analyst estimates suggest a positive outlook for the company's business and profitability [3] Analyst Rating System - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), has a strong historical performance, with 1 rated stocks delivering an average annual return of +25% since 1988 [5] - Core & Main currently holds a Zacks Rank of 3 (Hold) [5] Valuation Metrics - Core & Main has a Forward P/E ratio of 20.35, which is higher than the industry average of 19.79 [6] - The company also has a PEG ratio of 1.79, aligning with the average PEG ratio of the Manufacturing - Tools & Related Products industry [6] Industry Context - The Manufacturing - Tools & Related Products industry ranks 25th in the Zacks Industry Rank, placing it in the top 11% of over 250 industries [7] - Strong individual industry groups, as measured by the Zacks Industry Rank, tend to outperform weaker groups by a factor of 2 to 1 [7]

Core Insights - The article compares two stocks in the Manufacturing - Tools & Related Products sector: AB SKF (SKFRY) and Core & Main (CNM) to determine which is more attractive to value investors [1] - A strong Zacks Rank combined with a favorable Value grade is identified as an effective method for discovering value opportunities [2] Zacks Rank Comparison - AB SKF has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Core & Main has a Zacks Rank of 5 (Strong Sell) [3] Valuation Metrics - SKFRY has a forward P/E ratio of 18.06, compared to CNM's forward P/E of 23.08, suggesting SKFRY is more undervalued [5] - The PEG ratio for SKFRY is 1.62, while CNM's PEG ratio is 2.03, indicating SKFRY's earnings growth is more favorably priced [5] - SKFRY's P/B ratio is 1.97, significantly lower than CNM's P/B of 5.21, further supporting SKFRY's valuation attractiveness [6] Value Grades - SKFRY has a Value grade of B, while CNM has a Value grade of D, reinforcing the conclusion that SKFRY is the better option for value investors [6]

Group 1 - Core & Main Inc. (NYSE:CNM) shares are currently trading at $49.00, reflecting a 0.51% decrease in the session and a 0.28% decrease over the past month, while showing a 9.22% increase over the past year [1] - The price-to-earnings (P/E) ratio is a critical metric for long-term shareholders to evaluate the company's market performance against historical earnings and industry standards [5] - Core & Main has a lower P/E ratio compared to the aggregate P/E of 40.57 for the Trading Companies & Distributors industry, suggesting potential undervaluation or weaker future performance expectations [6] Group 2 - A low P/E ratio can indicate undervaluation but may also suggest weak growth prospects or financial instability, highlighting the need for cautious interpretation [9] - The P/E ratio should be considered alongside other financial ratios, industry trends, and qualitative factors for a comprehensive analysis of the company's financial health [9]

Core Insights - Core & Main Inc. (NYSE:CNM) is expanding its operations in Canada by acquiring Canada Waterworks, enhancing its growth potential in the region [1][3] - The acquisition is seen as a strategic move to build the Core & Main platform in Canada, particularly in Ontario [2][3] - Canada Waterworks specializes in water, wastewater, and storm drainage distribution in southern Ontario, which aligns with Core & Main's service offerings [3] Company Overview - Core & Main distributes water, wastewater, storm drainage, and fire protection products and related services primarily in the US [3] - The acquisition of Canada Waterworks will allow Core & Main to maintain a local presence in Canada while leveraging its resources for growth [3] Market Position - The company is recognized as a promising stock under $100, indicating potential investment interest [1] - While Core & Main shows promise, there are suggestions that certain AI stocks may offer greater upside potential with less downside risk [4]

Core Insights - The article compares two stocks in the Manufacturing - Tools & Related Products sector: AB SKF (SKFRY) and Core & Main (CNM) to determine which offers better value for investors [1] Valuation Metrics - AB SKF has a Zacks Rank of 1 (Strong Buy), indicating a positive earnings outlook, while Core & Main has a Zacks Rank of 4 (Sell) [3] - SKFRY's forward P/E ratio is 17.93, significantly lower than CNM's forward P/E of 23.55, suggesting SKFRY may be undervalued [5] - The PEG ratio for SKFRY is 1.61, compared to CNM's PEG ratio of 2.07, indicating SKFRY has a more favorable earnings growth outlook relative to its price [5] - SKFRY's P/B ratio is 1.97, while CNM's P/B ratio is 5.32, further supporting the argument that SKFRY is a better value investment [6] - Based on these metrics, SKFRY receives a Value grade of B, whereas CNM receives a Value grade of C, reinforcing the preference for SKFRY among value investors [6]

Group 1 - The analyst downgraded Core & Main, Inc. (NYSE: CNM) to a hold rating due to unfavorable macroeconomic conditions and weak guidance, indicating that the stock is unlikely to perform well in the near term [1] - The analyst has a diverse investing background, utilizing various approaches such as fundamental, technical, and momentum investing to refine their investment process [1] Group 2 - There is no current stock, option, or derivative position held by the analyst in any mentioned companies, nor are there plans to initiate any positions within the next 72 hours [2] - The article reflects the analyst's personal opinions and is not influenced by any compensation from companies mentioned [2]

Market Performance - The U.S. stock market is experiencing a robust trading session with major indexes reaching new record highs, driven by soft inflation data and strong earnings outlook from Oracle [1][2] - The S&P 500 is trading up approximately 0.3% to 0.5%, while the Nasdaq Composite is also gaining between 0.1% and 0.5% [2] - The Dow Jones Industrial Average is lagging, registering a decline of around 0.1% to 0.6%, primarily due to a significant drop in Apple shares [3] Economic Data - The August Producer Price Index (PPI) report showed wholesale inflation unexpectedly slipped 0.1% month-over-month, contrasting with expectations of a 0.3% rise, bolstering hopes for interest rate cuts by the Federal Reserve [4] - A preliminary revision to employment data revealed that 911,000 fewer jobs were created than initially reported, indicating a weakening labor market [5] Upcoming Events - Investors are anticipating the Federal Reserve's FOMC meeting on September 16-17, with an 88% to 90% probability of a 25-basis-point interest rate cut [6] - The August Consumer Price Index (CPI) report is due on September 11, which will provide insights into consumer-level inflation [7] Corporate Earnings - Oracle Corporation's shares surged by 35% to 40% following a boosted outlook for cloud infrastructure sales, anticipating a 77% increase to $18 billion this fiscal year [9][10] - Other tech companies like Broadcom, Nvidia, and AMD also saw significant stock price increases due to positive sentiment around AI [11] - Conversely, Apple shares fell between 1.5% and 3% after the unveiling of its iPhone 17 models, which investors found underwhelming [12] Notable Stock Movements - Klarna's shares surged 20% on its NYSE debut, indicating strong investor interest in the fintech sector [13] - GameStop's stock increased by 6% after announcing its Bitcoin holdings surpassed $500 million [13] - Synopsys shares plunged between 24% and 35% after missing earnings estimates and lowering its outlook [14] - JPMorgan Chase & Co. climbed 1.7% following optimistic forecasts for third-quarter revenues, while Core & Main, Inc. plummeted 25.4% after missing revenue estimates [15] Commodity Market - Oil prices are trending upward, with Brent crude futures near $67 a barrel and U.S. West Texas Intermediate crude futures around $63 to $64 a barrel, influenced by geopolitical tensions [17]