Truist Sees More Upside in Patrick Industries (PATK) as RecPro Aftermarket Gains Momentum

Group 1 - Patrick Industries, Inc. (NASDAQ:PATK) is recognized among the 15 Dividend Growth Stocks with the Highest Growth Rates [1] - Truist analyst Gregory Miller raised the price target for Patrick Industries to $126 from $114, maintaining a Buy rating, highlighting the company's strong performance in 2025 despite a challenging macro environment [2] - The aftermarket business through RecPro and the expanding presence in powersports, which now accounts for approximately 9%-10% of total revenue, are identified as key growth drivers for the company [3] Group 2 - In Q3 2025, Patrick reported net sales of $976 million, reflecting a 6% year-over-year increase, attributed to steady organic growth and acquisitions, despite industry-wide shipment declines [4] - Operating income decreased to $66 million from $74 million year-over-year, with operating margin easing to 6.8% from 8.1%, and net income fell to $35 million from $41 million [5] - Year-to-date operating cash flow was $199 million, down from $224 million in the same period last year, with free cash flow totaling $211 million over the trailing twelve months, and $13 million returned to shareholders through dividends [6]