Shares of MSA Safety Inc (NYSE:MSA) have been on the downtrend.

DA Davidson analyst Michael Shlisky initiated coverage with a Buy rating and a price target of $195.

The MSA Safety Thesis: "We analyzed ~5.6M public company calls and presentations to gauge management focus on this topic–the number of calls/presentations in which 'safety; was mentioned nearly doubled between 2019 and 2023," Shlisky wrote in the initiation note.

Check out other analyst stock ratings.

MSA Safety has been steadily compounding growth, which "does not seem threatened," the analyst said. The company could deliver a compounded annual growth rate (CAGR) of 8%-10% in earnings through 2028, he added.

The top 10 U.S. fire departments, which are "well-funded," could increase their budgets next year by an estimated 6%, Shlisky stated. The number of US construction workers, who use a wide range of the company's products, is expected to continue rising, he added.

MSA Safety was added to DA Davidson's Best-of-Breed Bison list, which includes the "highest-quality companies, with wide competitive moats, strong long-term value creation potential, and a potential trading discount to long-term intrinsic value," the analyst further wrote.

Price Action: MSA Safety was up at last check Thursday, trading at around $166.66 per share.

Read More:

• Best Ways to Profit from the Industrial Sector's 2025 Comeback

Image: Shutterstock