J.P. Morgan Downgrades DuPont and Illinois Tool Works to Neutral Amid Short-Cycle Demand Concerns
J.P. Morgan downgraded both DuPont (DD) and Illinois Tool Works (ITW) from Overweight to Neutral on Friday, citing concerns about slowing short-cycle industrial demand through 2027. The firm also lowered its price targets for the two companies: $145 for DD (from $172) and $277 for ITW (from $300). This move reflects growing uncertainty over near-term market conditions in the industrial sector, particularly as demand is expected to decelerate. The downgrade highlights broader macroeconomic concerns affecting manufacturing activity. J.P. Morgan’s decision suggests that while both companies remain solid long-term investments, their short-term outlook has dimmed due to potential headwinds from a slowdown in cyclical industries.
