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Inside the Market’s roundup of some of today’s key analyst actions

Despite Canadian National Railway Co.’s (CNR-T) third-quarter financial results falling narrowly below expectations, Desjardins Securities analyst Benoit Poirier advises “do not let short-term weakness scare you away,” seeing a “positive signal” to investors from the reiteration of its guidance and an increase to its share buyback plan.

“With that being said, despite the earlier grain harvest, we believe the set-up for 4Q remains difficult for intermodal volumes (29 per cent of revenue) given the diverted freight and continued competitive truck rates,” he said. “In our view, a lot will need to go right for CN to meet its unchanged 2023 target (we now forecast EPS growth of negative 3.6 per cent).”

After the bell on Tuesday, CN reported revenue of $3.987-billion, down 2 per cent from the previous quarter and falling 12 per cent year-over-year but in line with Mr. Poirier’s $3.981-billion estimate. Earnings before interest, taxes, depreciation and amortization slid 4 per cent from the second quarter and 17 per cent from last year to $1.974-billion, missing the analyst’s $1.991-billion projection. Adjusted earnings per share of $1.64 was 2 cents below his expectation.

“3Q was a tough quarter from an operating perspective as CN was impacted by the West Coast port strike, forest fires and flooding ($0.10 negative EPS impact), and the 3Q surge in fuel prices (EPS headwind on fuel surcharge of $0.10),” said Mr. Poirier. “CN is forecasting 4Q volume improvement across most business lines as management believes volumes bottomed in July, with sequential improvement since.

“What to expect in 2024 as COO Ed Harris heads back into retirement. Management did not provide many specifics on 2024 but expects a gradual recovery in consumer-related freight and stated that the 10–15-per-cent EPS target is not linear. Having said that, the 3Q results and commentary have not changed our stance — we continue to believe 2024 consensus is too optimistic given the current US IP growth forecast of negative 0.05 per cent. We now forecast RTM [revenue ton mile] growth of 1.3 per cent in 2024, driving EPS growth of 8.6 per cent.”

Mr. Poirier did emphasize investors got “an early Halloween treat” as the board approved an additional $500-million in potential buybacks, increasing the NCIB budget to $4.5-billion from $4.0-billion.

“During 3Q23, CN generated FCF of $583-million, considerably below our estimate of $1.033-billion and consensus of $929-million,” he said. “The FCF miss was a mix of lower cash flow from operations driven by volume softness and higher capex. The company ended 3Q with adjusted debt to adjusted EBITDA of 2.22 times, up sequentially from 1.96 times last quarter. This is in line with management’s comments during its investor day back in May that it would gradually increase its leverage ratio to 2.5 times as warranted by economic conditions as it increased shareholder distributions (CN repurchased $1.20-billion of shares in 3Q alone). We reiterate our view that the 2.5 times level is reasonable as CN would still have one of the best balance sheets among Class ls. CN maintained its quarterly dividend of 79 cents per share. For 2023, the company did not provide official capex guidance, but did reiterate on the call that it would continue maintenance capex (with lower volumes allowing it to install rails/ties at a lower cost) and capital efficiency to put CN in a position to benefit from a rebound in demand. While CN maintains its long-term capex plan ($3.5–4.0-billion annual capex over the 2024–26 horizon), management reiterated that it would keep monitoring the volume situation closely and that if further weakening happens, discretionary capex could be reevaluated. We reiterate our view that this is the correct approach as the slightly elevated capex guidance was the main pushback by investors at the investor day. We forecast capex at 19 per cent of revenue in 2024 ($3.4-billion).

Despite raising his earnings estimates through 2025 to align with the results and management commentary, Mr. Poirier trimmed his target for CN shares by $1 to $171, maintaining a “buy” recommendation. The average on the Street is $165.08, according to Refinitiv data.

“We have added confidence in CEO Tracy Robinson and the management team and see further upside on OR [operating ratio] improvement,” he said. “In addition, CN has more optionality and dry powder at its disposal for increased shareholder returns vs other railroads.”

Other analysts making target adjustments include:

* RBC’s Walter Spracklin to $158 from $163 with a “sector perform” rating.

“CN’s Q3 results were impacted by headwinds from wildfires, lower demand, and the B.C. port strike,” he said. “That said, the company reaffirmed guidance and pointed to a much more bullish volume outlook versus last quarter, a positive to sentiment in our view. Key is that the network (as evidenced by car velocity) is running fluidly, positioning the company for operating leverage should volumes inflect in line with the company’s outlook. On the other hand, we point to Canadian West Coast port headwinds that we see as an important potential risk.”

* Citi’s Christian Wetherbee to US$117 from US$115 with a “neutral” rating.

“Coming off CN’s 3Q23 earnings call and our call back we think there are two key questions,” said Mr. Wetherbee. “First is whether the implied 4Q EPS guidance is achievable. Our sense is that management is quite constructive on a sequential volume increase, which would help bridge the gap. Assuming our 2.5-per-cent year-over-year RTM growth in 4Q is right we think the low-end is possible, as it would require a 30-per-cent sequential incremental margin (ex-fuel and weather), but the upper end seems less likely and we’re moving our numbers a bit below the low end. The second question is whether 2024 can accelerate into the long term 10-15-per-cent EPS growth range. CN is operating well, but comps don’t ease until 2Q and international intermodal remains a question, so we think slightly below 10 per cent is more likely. Collectively, with 4Q/2024 estimates ticking higher, shares likely benefit.”

* Scotia’s Konark Gupta to $168 from $170 with a “sector perform” rating.

“Q3 slightly fell short of the Street but materially missed us due to larger-than-expected yield compression (fuel surcharge headwind),” said Mr. Gupta. “We expect the market to look through the noisy quarter and focus on outlook, which appears positive although mixed vs. expectations. CNR maintained 2023 guidance and long-term targets. Management is seeing positive momentum in Q4 as traffic bottomed in July; it continues to expect gradual recovery in consumer demand in 2024. It is also making good progress on company-specific growth initiatives disclosed at the investor day. However, the company cautioned on potential timing shift in the multi-year growth profile due to macro uncertainty. As a result, we have trimmed our 2024-2026 estimates, while maintaining our Q4/23 EPS outlook.”

* Barclays’ Brandon Oglenski to $155 from $150 with an “equal-weight” rating.

* Raymond James’ Steve Hansen to $175 from $180 with an “outperform” rating.

* JP Morgan’s Brian Ossenbeck to $158 from $159 with a “neutral” rating.


While National Bank Financial analyst Cameron Doerksen remains “positive” on the long-term prospects for TFI International Inc. (TFII-N, TFII-T), expecting a “better” freight backdrop in 2024, he’s taking a “more neutral stance” following weaker-than-expected third-quarter results, expecting “at least one or two more quarters of challenging end markets.”

Shares of the Montreal-based transport and logistics company dropped 8.3 per cent on Tuesday after it reported adjusted earnings before interest, taxes, depreciation and amortization of US$303-million and adjusted earnings per share of US$1.57, both falling below the estimates of both Mr. Doerksen (US$317-million and US$1.80) and the Street (US$312-million and US$1.72). Maintaining its full-year 2023 guidance, TFI also announced a 14-per-cent increase to its quarterly dividend (to 40 cents from 35 cents).

“We see earnings growth tailwinds in the coming quarters driven by margin improvement in the U.S. LTL [less-than-truckload]segment both from the improved market backdrop as well as from the company’s margin enhancement initiatives,” said Mr. Doerksen.

“TFII shares performed well through the summer boosted by the failure of LTL competitor Yellow Corp. early in Q3. While this change in the competitive landscape is still clearly positive for all LTL players, we note that after seeing initial daily U.S. LTL shipments rise to approximately 26k from 23k prior to the Yellow shutdown, TFII’s U.S. LTL volumes have more recently stabilized around 24k-25k/day. Our 2024 forecast and valuation assumes that segment LTL revenue will improve 8.0 per cent and the EBIT margin ex-fuel surcharge will increase to 14.2 per cent from a forecasted 11.7 per cent in 2023. While there is upside to margins beyond 2024, we think the current estimates and valuation already reflect a meaningful improvement.”

While its LTL business is improving, Mr. Doerksen warned that TFI’s other segments are likely facing “some soft quarters ahead.

“About two-thirds of TFII’s total revenue is generated in its non-U.S. LTL segments where a weak freight market is likely to continue to pressure results in the near term,” he said. “For instance, TFII’s second largest segment, Truckload, saw its EBIT margin come in at 12.5 per cent, well below our 15.3-per-cent forecast. The broader trucking market, both in the U.S. and Canada, may now be in a bottoming phase, but we still expect a similarly challenging freight backdrop for most of the company’s operations in the coming quarters.”

Seeing its current valuation as “reasonable,” he reduced his target for its shares to $178 from $191 after lowering his financial estimates based on the results and management’s updated commentary on volume trends and 2024. The average target on the Street is $175.81.

“TFII shares are trading at 13.1 times our updated 2024 EPS estimate versus the weighted average peers (based on TFII’s revenue exposure by segment) of 18.7 times,” said Mr. Doerksen, who maintained a “sector perform” recommendation. “We do note that the weighted average peer group multiple is skewed higher by high multiples in the LTL segment (peers at 21 times-plus). Nevertheless, considering the recent selloff in the stock, we suspect the downside from here is limited.”

Elsewhere, other analysts making target adjustments include:

* Desjardins Securities’ Benoit Poirier to $182 from $192 with a “buy” rating.

“While we have reduced our numbers, our long-term compounding FCF generation thesis for TFII remains unchanged,” he said. “We view [Tuesday’s] sell-off as an over-reaction and an attractive entry point; we calculate a potential three-year CAGR [compound annual growth rate] of 17.8 per cent (excluding any M&A), higher than for both CNR and CP. Our numbers for 2024 remain conservative (we forecast adjusted fully diluted EPS of US$7.49) but believe TFII could surpass US$8.00 assuming M&A and/or a stronger TL recovery.”

“TFII remains our favourite transportation name. We continue to like the name as we see sizeable potential opportunities for value creation as management executes on its capital deployment strategy over the long term (M&A, dividend and buybacks).”

* RBC’s Walter Spracklin to US$133 from US$153 with an “outperform” rating.

“TFII’s stock has been under pressure [Tuesday] (and into the quarter) on weak TL results and a challenging macro outlook,” he said. “While we see TL as a headwind into next year and view the macro backdrop as challenging, we see upside to the shares reflecting $2-billion-plus in dry powder for a larger transaction, expected in 2024, and a fundamentally more attractive LTL sector stemming from Yellow shut-down. Moreover, the shares yield 8 per cent on a FCF basis on trough 2023 earnings, representing in our view meaningful value on the standalone business.”

* Scotia’s Konark Gupta to $170 from $182 with a “sector perform” rating.

“TFII reported a third consecutive miss as freight recession continued into Q3, mostly weighing on TL, while U.S. LTL also missed high expectations following Yellow’s exit,” he said. “However, management didn’t cut 2023 guide this time, citing sequential gains in Q4 and recent tuck-ins. In fact, it aims to be near the high end of the guidance range. TFII continues to expect EPS rebound next year, although it now sees 2024 as a transition year and appears less confident in $8 EPS. We believe anything above $7.50 might be difficult without M&As or significant buybacks, either of which are possible but not certain. We are reducing our 2024/2025 outlook while assuming $400-million worth of tuck-ins each year. As usual, there could be upside risk to our estimates from stronger M&A activity given strong balance sheet and increased liquidity. Lacking confidence in the cycle, we maintain our Sector Perform rating while reducing our target.”

* CIBC’s Kevin Chiang to US$147 from US$159 with an “outperformer” rating.

“While TFII reported a softer-than-expected Q3, we maintain our positive long-term outlook on the company and view the pullback in the stock post results as a good entry point,” he said. “TFII continues to benefit from a number of self-help levers. We remain confident in its U.S. LTL segment hitting an 87-88-per-cent OR next year and a mid-80-per-cent OR in 2025, while its strong balance sheet positions it well to pursue a number of M&A opportunities and buy back shares.”

* BMO’s Fadi Chamoun to US$122 from US$127 with a “market perform” rating.

* TD Cowen’s Jason Seidl to US$152 from US$163 with an “outperform” rating.

* JP Morgan’s Brian Ossenbeck to US$133 from US$150 with an “overweight” rating.


Canaccord Genuity analyst Matthew Lee sees CAE Inc.’s (CAE-T) $311-million sale of its Healthcare business to Chicago-based Madison Industries as “a positive for the firm,” achieving “two of its major objectives: streamlining the business to improve focus and reducing leverage.”

That led him to raise his recommendation for the Montreal-based company’s shares to “buy” from “hold” previously.

“We have often thought of the healthcare business as non-core and somewhat challenged from a profitability perspective,” said Mr. Lee. “Based on our estimates, the transaction represents a approximately 10 times EV/NTM [next 12-month] EBITDA multiple, which is largely in-line with current trading multiples. More importantly, it allows management to deepen its focus on defence, which is expected to see meaningful margin improvements in H2/F24 and into F25. With the shares trading off over the prior three months, we believe it is now an attractive entry point, especially given the firm’s more focused operations and improved balance sheet (about 2.5 times by fiscal year-end). Given our view that CAE should be valued on a sum-of-the-parts basis, we have increased our blended valuation from 11 times to 11.5 times, as the highly valuable civil segment is now a larger share of the overall business.”

Though he lowered his fiscal 2025 revenue expectation to account for the divestiture, the analyst raised his target by $1 to $36. The average on the Street is $37.75.


National Bank Financial analyst Zachary Evershed saw Neighbourly Pharmacy Inc.’s (NBLY-T) second-quarter fiscal 2024 results as “steady,” however he warned it’s “now back to the waiting game” for investors as there was no update on its proposed move to go private.

On Oct. 3, the Toronto-based company announced a deal to be taken private by its largest shareholder, Persistence Capital Partners, which already owns 50.2 per cent of common shares. The deal gives PCP until Nov. 13 to arrange financing, and is also subject to a vote by shareholders.

“With the stock price pulling back since the transaction announcement, the current price of $17.09 sits at a 16.6-per-cent discount to the offer price,” he said in a note. “This wide spread likely highlights uncertainties surrounding financing and the announcement of an LOI rather than a definitive agreement, while PCP confirmed that it would not entertain offers from other parties. In light of the uneasy trading picture, we highlight further potential downside risk: using the FY2 FCF yield floor valuation lens we have applied elsewhere in our coverage universe, we calculate NBLY’s share price would have to fall to $12 (roughly in line with the 52-week low) to achieve a more defensible 6-per-cent FCF yield.”

Before the bell on Tuesday, Neighbourly reported quarterly revenue rose 13.6 per cent year-over-year to $203.2-million, driven by contributions from acquisition and “strong” same-store sales growth of 4 per cent and in line with the Street’s expectation of $203-million. Adjusted earnings per share increased 9.7 per cent to 13 cents, topping the consensus forecast by 2 per cents.

“As recruitment and retention, dynamic pricing, inventory optimization and other operational efforts are taking hold, we nudge our profitability expectations upwards, seeing our FYQ3/24 EBITDA margin estimate move to 11 per cent (was 10.7 per cent), bearing a 50-basis points improvement sequentially, in line with management guidance for 50-60 bps.,” he said. “We also flag that management is targeting $6-8 million worth of inventory release, the bulk of which should be completed by the end of Q3.

“We move our acquired locations forecast in FY24 to 19 (was 22) to reflect the latest acquisitions and the current pipeline. Management still has its sights set on higher EBITDA, higher volume locations relative to past acquisitions, noting that the market continues to support the lower end of 6-7 times EBITDA acquisition multiple range. Despite bullish messaging, we nevertheless move our contribution per location downward slightly, adjusting based on revenue generated by the most recent acquisitions.”

While its short-term guidance was “slightly” above expectations, Mr. Evershed lowered his full-year revenue estimates for 2024 and 2025 to $904.5-million and $1.024-billion, respectively, from $919.4-million and $1.053-billion. His adjusted EPS projections slid to 55 cents and 72 cents, respectively, from 57 cents and 79 cents.

Reiterating a “sector perform” recommendation for Neighbourly shares, he raised his target to $20.50 from $20 to fall in line with PCP’s bid. The average on the Street is $24.94.

Elsewhere, BMO’s Peter Sklar cut his target to $20.50 from $21 with a “market perform” rating.


Desjardins Securities analyst Brent Stadler emphasized the significant rise in interest rates has put pressure on independent power producers “given the defensive nature and bond-like cash flow characteristics driving an inverse relationship to bond yields.”

However, while he projects weather resources to be “a bit weaker” in the third quarter, Mr. Stadler predicts a “relatively positive” tone through the sector during the earnings season ahead.

“While rates are in the driver’s seat and primarily affect valuations, fundamentals and sectoral tailwinds remain and are gaining momentum, in our view,” he said in a Wednesday report. “We would highlight a positive environment for project returns given elevated power prices and continued strong demand from both corporates and government, leading to potentially the best PPA environment we have seen, with more state-backed RFPs, corporate demand at record levels, better inflation protection in PPAs and with longer tenures. The demand can be attributed to the desire to achieve energy security and independence, decarbonization and ensure adequate power supply to meet future demand. In many core markets , policy is being implemented to support and accelerate the development of renewables, with a focus on building out a domestic supply chain through significant investment in manufacturing—which should be both a near- and long-term tailwind. We believe there are indications of cost declines, specifically for solar panels and storage, while in general, our coverage names have managed wind supply chain pressures. Overall, we expect our companies to remain relatively bullish on their outlooks on the quarterly calls. We do not expect any material capex increases or significant changes to expected project CODs.

“We continue to favour names with solid balance sheets, well-funded pipelines and catalysts. We highlight BLX and CPX as our preferred names and we maintain our Buy ratings on INE (good value in its hydro-weighted portfolio) and NPI (for its offshore wind exposure).”

After increasing discount rate on renewables by approximately 75 basis points, Mr. Stadler reduced his target prices for IPP stocks while noting, “We continue to see healthy total returns across all our coverage names.”

Mr. Stadler’s target price adjustments are:

  • Algonquin Power and Utilities Corp. (AQN-N/AQN-T, “sell”) to US$4.75 from US$6.50. The average on the Street is US$8.36.
  • Boralex Inc. (BLX-T, “buy”) to $40 from $45. Average: $40.64.
  • Brookfield Renewable Partners LP (BEP.UN-T, “hold”) to $39 from $43. Average: $44.43.
  • Capital Power Corp. (CPX-T, “buy”) to $52 from $54. Average: $47.82.
  • Innergex Renewable Energy Inc. (INE-T, “buy”) to $14 from $16.50. Average: $16.35.
  • Northland Power Inc. (NPI-T, “buy”) to $30 from $33. Average: $34.08.


Scotia Capital analyst Robert Hope predicts leverage, funding outlooks, and interest rate risk will overshadow actual quarterly results during the coming earnings season for Canadian utilities and energy infrastructure companies.

“Companies with low leverage and equity self-funding plans are faring better in this higher interest rate environment, which we expect will continue unless rates temper,” he said in a Wednesday note. “We are generally ahead of consensus for the midstream and power names, while for the utility group, we are fairly balanced in terms of expectations for beats and misses. We like the midstream group over the more interest rate sensitive utility group at this point. Our favourite names are AltaGas, Gibson Energy, and Keyera.”

In a note released Tuesday, Mr. Hope said companies with low leverage and “easy-to-execute” funding plans are outperforming peers in the current rising interest rate and falling asset valuation environment.

“We highlight our recent upgrade of Gibson Energy (What’s Not to Like? Upgrading to Sector Outperform), as we see the name benefiting from a strong balance sheet, low payout ratio, and improved growth outlook,” he said. We see limited downside risk and the potential for upside in both our estimates and valuation. We also highlight Keyera, who has outperformed its midstream and pipeline peers by a wide margin this year. With KAPS ramping up volumes and a focus on improving returns at its existing asset base, the company is well-positioned for cash flow growth as well as moving down leverage. We expect its valuation to continue to improve as the market becomes more confident in its KAPS outlook. We also see AltaGas and TransAlta funding their growth outlooks with retained cash flow and moving down debt levels in 2024/2025.”

In response to a higher-for-longer interest rate environment, Mr. Hope reduced his target prices for several stocks. His changes are:

  • Brookfield Renewable Partners LP (BEP-N/BEP.UN-T, “sector outperform”) to US$30 from US$38. The average is US$33.90.
  • Brookfield Infrastructure Partners LP (BIP-N/BIP.UN-T, “sector outperform”) to US$38 from US$44. Average: US$40.50.
  • Capital Power Corp. (CPX-T, “sector perform”) to $47 from $50. Average: $47.82.
  • TransAlta Corp. (TA-T, “sector outperform”) to $15.50 from $17. Average: $16.15.

“We are well ahead of consensus for the Alberta power producers for Q3 given the strong pricing environment and high utilization of gas assets,” he said. “We like both Capital Power and TransAlta heading into the quarter, but believe there is more upside with TransAlta (up 13 per cent versus consensus). For the pipelines and midstream group, we are generally ahead of consensus. We are ahead of consensus for TC Energy on an EPS basis, which should have a good quarter on the back of a strong Natural Gas Pipeline contribution. We also expect continued progress and de-risking of the Coastal GasLink project to be a positive for the shares. In the utilities, we are a penny ahead of consensus for Algonquin, though note that we moved down our estimates heading into the quarter, and we are now below the company’s 2023 EPS guidance range.”


In other analyst actions:

* Veritas Research’s Desmond Lau upgraded Shopify Inc. (SHOP-N, SHOP-T) to “buy” with a US$52 target. The average on the Street is US$66.14.

* BMO’s Tamy Chen initiated coverage of NFI Group Inc. (NFI-T) with an “outperform” rating and $17 target. The average on the Street is $14.42.

* CIBC’s Allison Carson started Vizsla Silver Corp. (VLZA-X) with an “outperformer” rating and $2.80 target. The average is $3.22.

“Vizsla is a well-funded silver developer advancing its 100-per-cent-owned Panuco project near Mazatlán, Mexico,” she said. “The Panuco project hosts a high-grade, undeveloped silver-gold deposit with an indicated resource of 105Moz AgEq at 437g/t AgEq and an inferred resource of 114Moz AgEq at 491g/t AgEq. Panuco is one of the few primary silver development projects, with a high-grade deposit and district-scale exploration potential, which we believe make it an attractive M&A candidate.

“We derive our price target using a 0.9 times multiple on our NAV5% of $3.10/share. Compared to silver peers, Vizsla trades at a P/NAV of 0.5 times, a discount vs. the peer average of 0.8 times at spot prices. We view this as an attractive entry point and believe upside exists for both our target multiple and the share price to re-rate higher with several potential upcoming catalysts, including an updated MRE and a preliminary economic assessment (PEA), which we expect in early 2024.”

* Jefferies’ Christopher LaFemina cut his First Quantum Minerals Ltd. (FM-T) target to $40 from $45 with a “buy” rating. The average is $36.34.

* Previewing the Nov. 7 release of its third-quarter results, Desjardins Securities’ Gary Ho increased his target for Goeasy Ltd. (GSY-T) to $160 from $155 with a “buy” rating. The average is $174.

“Boring as it may be (which we favour), we expect results in line with 3Q guidance, and stable credit trends,” Mr. Ho said. “We now expect rate cap implementation in July 2024, resulting in our raising our revenue yield forecasts, partially offset by higher financing costs. Net-net, our new 2025 adjusted EPS is $19.09 for an attractive 18-per-cent two-year CAGR [compound annual growth rate].”

* Updating his forecast ahead of the Nov. 9 release of its third-quarter results, National Bank Financial’s Adam Shine lowered his Quebecor Inc. (QBR.B-T) target to $38, matching the average, from $41, maintaining an “outperform” rating.

“Our updated forecast has yet to include TPIA [[third-party internet access] and bundling opportunities which will be deployed as QBR leverages beneficial network access arrangements with Rogers,” said Mr. Shine. “One area where QBR may continue to surprise is on less than expected capex which offers a boost to FCF and faster path to delevering.”

* Jefferies’ Christopher LaFemina cut his Teck Resources Ltd. (TECK.B-T) target to $70, above the $67.90 average, from $80 with a “buy” rating. Others making changes include: Canccord Genuity’s Dalton Baretto to $66 from $71 with a “buy” rating and Scotia’s Orest Wowkodaw to $72 from $75 with a “sector outperform” rating.

“TECK reported weaker-than-anticipated Q3/23 results and made several negative 2023 guidance revisions,” said Mr. Wowkodaw. “Although the ramp-up at QB2 is making positive progress, the project capex was increased by another 7 per cent (to US$8.6-$8.8-billion). As expected, there was no material update with respect to the company’s planned metallurgical coal separation. Although we view the update as negative, we view the share price weakness as a near-term buying opportunity ahead of the impending coal separation.

“We rate Teck shares Sector Outperform based on valuation, impressive near-term Cu growth, and takeover optionality. We anticipate the impending coal separation to be a significant catalyst for the shares.”

* Scotia’s Phil Hardie dropped his Trisura Group Ltd. (TSU-T) target to $49 from $55 with a “sector outperform” rating. The average is $53.

“Recent share price weakness has likely created an attractive risk-reward proposition for owning Trisura and created a compelling entry point for the stock,” he said. “Our base case yields a potential upside of over 62 per cent, while we see a downside risk of 15 per cent. In an optimistic bull base, we see an upside potential of 90 per cent over the next twelve months.”

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Tickers mentioned in this story

Study and track financial data on any traded entity: click to open the full quote page. Data updated as of 26/02/24 4:00pm EST.

SymbolName% changeLast
Algonquin Power and Utilities Corp
Boralex Inc
Brookfield Renewable Partners LP
Brookfield Infra Partners LP Units
Cae Inc
Canadian National Railway Co.
Capital Power Corp
First Quantum Minerals Ltd
Goeasy Ltd
Innergex Renewable Energy Inc
Neighbourly Pharmacy Inc
Nfi Group Inc.
Northland Power Inc
Quebecor Inc Cl B Sv
Shopify Inc
Teck Resources Ltd Cl B
Tfi International Inc
Transalta Corp
Trisura Group Ltd

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