QXO Inc. (QXO) Gets New Buy Rating, $30 PT by Vertical Research Amid Mixed Analyst Sentiment on Building Products Sector

QXO Inc. (NYSE:QXO) is one of the best large cap stocks to buy under $20. On October 21, Vertical Research analyst Adam Baumgarten initiated coverage of QXO with a Buy rating and $30 price target. Earlier on October 9, Truist analyst Keith Hughes lowered the firm’s price target on the company to $28 from $30 and maintained a Buy rating on the shares.

This sentiment was announced as Truist updated its models to reflect roofing volume weakness in recent months and stated that the lack of strong storm activity and weaker new construction will drive the downside. Truist also believes that the winter months will see inventory reductions in the channel, which will hurt production. At the same time, the firm expects weak pricing to also occur as the industry readjusts to proper levels to start the 2026 season.

KeyBanc also initiated coverage of the company on October 1 with an Overweight rating and $28 price target. KeyBanc views QXO as a compelling long-term story due to its leading growth and margin expansion potential. KeyBanc likes the company’s capital allocation strategy under a proven management team.

QXO Inc. (NYSE:QXO) is an industrials sector company that distributes roofing, waterproofing, and other building products in the US.

While we acknowledge the potential of QXO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.