Deutsche Bank has placed Travis Perkins (LSE:TPK) on the Sell list and trimmed its price target for the builder's merchant to 470p from 530p, pointing to renewed downside risks after the first‑quarter update.
Analyst Ben Wild says the bear case rests on resurgent volume headwinds, space overcapacity and inflationary pressure on materials and overheads that are likely to compress adjusted operating profit at the UK's largest distributor of building materials.
Wild cuts the bank's FY26 adjusted operating profit forecast to £113m and reduces FY26 adjusted EPS by 18%, noting the shares last closed at 517p.
The analyst, meanwhile, acknowledges medium‑term upside risks and said the group is relatively well placed to take volume share in the sector, as highly indebted peers approach refinancing windows and recent management churn has stabilised. But, he says, these mitigations don't offset the weak near‑term profit outlook.
