The stock fell 1.5% on the downgrade to 'neutral', with Goldman removing its 'buy' tag on the company, despite bumping up its target price by 4% to £20.14 from £19.47. The UK housing market recovery bodes well for Travis Perkins and this is reflected in Goldman's numbers as it expects 7% growth in organic revenue for five years and thinks the EBITDA margin will improve from 6.8% in 2013 to 8.5% in 2017. "UK construction and housing data continue to trend positively and we expect Travis Perkins (with 100% UK exposure and a broad end-market split) to benefit from this encouraging outlook," it says.