RBC cuts building product stocks on 2027 risks in Q3 preview
RBC downgraded Mohawk Industries (MHK), Builders FirstSource (BLDR), and Owens Corning (OC) due to expected headwinds in 2027. The firm lowered price targets and earnings estimates, citing higher rates, inflation, and weak housing starts. RBC prefers distributors over manufacturers and sees potential risks in the fourth quarter and 2027 for these stocks.







