FBIN - Upgrading To Buy on Turnaround Potential; Board Chooses Right CEO

研报英文原文证据摘录

FBIN - Upgrading To Buy on Turnaround Potential; Board Chooses Right CEO

Truist Securities

Equity Research Report June 30, 2026

INDUSTRIALS: Resi/Commercial Fortune Brands Innovations, Inc. (FBIN)

Durable Goods Manufacturers

FBIN - Upgrading To Buy on Turnaround Potential; Board Chooses

Keith Hughes Right CEO

404-926-5032

Keith.Hughes@truist.com

We are upgrading FBIN to Buy from Hold based on the turnaround potential in conjunction

Julian Nirmal with the announcement of Jesse Singh as new CEO. FBIN struggles have revolved around

404-836-4749 brand level execution and capital allocation. Mr. Singh's work at AZEK shows the potential to

Julian.Nirmal@truist.com improve FBIN's best businesses (Moen, Thermatru) and capital allocation discipline on the

others. We could see strategic action on as much as two thirds of EBITDA that could include

improvement or divestment. We have raised our price target to $70 (from $45) representing

13x our 2027E EBITDA. We believe that FBIN can appeal to a broad array of investors in

Stock Rating BUY multiple categories.

↑

from

Hold Announces New CEO. Earlier today FBIN announced that Jesse Singh has been appointed

the new CEO effective immediately. Mr. Singh most recently served as CEO of AZEK from

Price Target $70.00 2016-2025 and before that served various leadership roles at 3M (MMM, NR) and General

↑ Electric (GE, NR).

$45.00 Excellent Job Turning Around AZEK… Mr. Singh's last CEO position was at AZEK

which included a substantial turnaround from a business that we believe had floundered for

sometime despite being in a growth market of composite decking and trim. The turnaround

included a successful shift of marketing, much smoother product production and a very

TR to Target 54.4% hands-on approach to winning new distribution customers.