FirstService (NASDAQ:FSV) Price Target Raised to $195.00

FirstService (NASDAQ:FSV) (TSE:FSV) had its price target raised by Stifel Nicolaus from $185.00 to $195.00 in a research report released on Friday,BayStreet reports. They currently have a buy rating on the financial services provider’s stock.

A number of other research firms also recently weighed in on FSV. Deutsche Bank Aktiengesellschaft restated a “hold” rating and issued a $144.00 price target on shares of FirstService in a research note on Friday, July 24th. TD Securities reiterated a “buy” rating and issued a $195.00 price objective on shares of FirstService in a research report on Friday, July 24th. Scotiabank reiterated an “outperform” rating on shares of FirstService in a research report on Friday. Scotia raised their target price on FirstService from $170.00 to $175.00 and gave the company a “sector perform” rating in a report on Friday. Finally, TD boosted their target price on shares of FirstService from $195.00 to $203.00 and gave the stock a “buy” rating in a research report on Friday. Eight analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $179.82.

FirstService Stock Performance

NASDAQ FSV opened at $143.67 on Friday. The company has a current ratio of 1.52, a quick ratio of 1.63 and a debt-to-equity ratio of 1.66. The business’s 50 day moving average is $135.75 and its two-hundred day moving average is $138.76. FirstService has a 12-month low of $119.41 and a 12-month high of $171.88. The stock has a market capitalization of $6.27 billion, a price-to-earnings ratio of 43.80, a PEG ratio of 3.18 and a beta of 0.95.

FirstService (NASDAQ:FSV) (TSE:FSV) last issued its earnings results on Thursday, October 22nd. The financial services provider reported $1.89 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.84 by $0.05. The business had revenue of $1.51 billion during the quarter, compared to the consensus estimate of $1.48 billion. FirstService had a return on equity of 19.66% and a net margin of 2.59%. The company’s revenue for the quarter was up 5.8% on a year-over-year basis. During the same period in the prior year, the business posted $1.76 EPS. Research analysts expect that FirstService will post 5.61 EPS for the current year.

FirstService Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, October 7th. Shareholders of record on Wednesday, September 30th were given a dividend of $0.3050 per share. The ex-dividend date of this dividend was Wednesday, September 30th. This represents a $1.22 annualized dividend and a yield of 0.8%. FirstService’s dividend payout ratio (DPR) is presently 37.20%.

Hedge Funds Weigh In On FirstService

A number of institutional investors have recently made changes to their positions in the stock. Conestoga Capital Advisors LLC raised its stake in FirstService by 19.9% during the first quarter. Conestoga Capital Advisors LLC now owns 1,405,564 shares of the financial services provider’s stock worth $195,289,000 after purchasing an additional 233,043 shares during the period. SEB Asset Management AB acquired a new position in shares of FirstService in the 1st quarter valued at $31,487,000. Janus Henderson Group PLC boosted its holdings in shares of FirstService by 16.1% in the 1st quarter. Janus Henderson Group PLC now owns 1,587,454 shares of the financial services provider’s stock valued at $220,560,000 after purchasing an additional 219,890 shares during the last quarter. Royal Bank of Canada grew its stake in shares of FirstService by 15.7% during the 1st quarter. Royal Bank of Canada now owns 573,421 shares of the financial services provider’s stock valued at $79,672,000 after buying an additional 77,758 shares during the period. Finally, Montrusco Bolton Investments Inc. grew its stake in shares of FirstService by 38.1% during the 1st quarter. Montrusco Bolton Investments Inc. now owns 263,488 shares of the financial services provider’s stock valued at $36,538,000 after buying an additional 72,665 shares during the period. 69.35% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting FirstService

Here are the key news stories impacting FirstService this week:

• Positive Sentiment: TD raised its price target from $195 to $203 and upgraded FirstService to “buy,” implying substantial upside from recent levels. TD analyst rating
• Positive Sentiment: Stifel Nicolaus increased its target from $185 to $195 and maintained a “buy” rating. Stifel Nicolaus analyst rating
• Positive Sentiment: Scotiabank raised its target from $170 to $175 while moving to a “sector outperform” rating, adding to the constructive analyst outlook. Scotiabank analyst rating
• Positive Sentiment: Third-quarter revenue rose 5.8% year over year to $1.53 billion, while adjusted EPS increased to $1.89 from $1.76 and adjusted EBITDA grew to $169.7 million. Revenue and adjusted EPS exceeded the primary analyst consensus. FirstService third-quarter results
• Neutral Sentiment: Scotia’s $175 target still carries a “sector perform” rating in one report, indicating that valuation and near-term industry conditions may limit upside despite higher estimates. Scotia analyst rating
• Neutral Sentiment: Recent commentary described FirstService as potentially fully priced after a prolonged five-year decline, suggesting investors may require stronger earnings momentum before bidding the stock higher. FirstService valuation commentary
• Negative Sentiment: GAAP operating earnings fell 7.1% to $107.4 million, while GAAP diluted EPS declined to $0.99 from $1.24 and net income attributable to common shareholders dropped 24.9%. The results point to a margin squeeze despite solid top-line growth.
• Negative Sentiment: Management’s earnings call highlighted a drag from the roofing business, which may keep profitability under pressure. Cash generation also weakened, and total liabilities increased to approximately $3.0 billion. FirstService earnings call highlights

About FirstService

FirstService Corporation is a Canadian provider of property management and property services serving customers primarily in the United States and Canada. The company operates through two main businesses: FirstService Residential and FirstService Brands.

FirstService Residential provides property management services for condominium and homeowners’ associations, cooperatives, and other residential communities. Its services include community administration, financial management, maintenance coordination, customer support, and related operational services.

FirstService Brands operates and supports a network of property-service businesses, including companies involved in property restoration, painting, flooring, window treatments, and other residential and commercial services.