Royal Bank Of Canada Issues Pessimistic Forecast for Stella-Jones (TSE:SJ) Stock Price

Stella-Jones (TSE:SJ) had its target price dropped by analysts at Royal Bank Of Canada from C$76.00 to C$70.00 in a note issued to investors on Thursday, BayStreet reports. The brokerage presently has a “sector perform” rating on the stock. Royal Bank Of Canada‘s price objective indicates a potential upside of 6.30% from the stock’s previous close.

A number of other analysts have also commented on the company. Desjardins reduced their target price on Stella-Jones from C$99.00 to C$77.00 and set a “buy” rating for the company in a report on Thursday. Scotiabank reduced their price objective on Stella-Jones from C$79.00 to C$76.00 and set a “sector outperform” rating for the company in a report on Thursday. National Bank Financial reduced their price objective on Stella-Jones from C$92.00 to C$80.00 and set a “sector perform” rating for the company in a report on Thursday. Raymond James Financial decreased their target price on Stella-Jones from C$83.00 to C$80.00 and set an “outperform” rating for the company in a research report on Thursday. Finally, TD lowered their target price on shares of Stella-Jones from C$93.00 to C$81.00 and set a “buy” rating on the stock in a research note on Thursday. Five investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of C$81.62.

Stella-Jones Stock Up 1.3%

Shares of TSE SJ traded up C$0.84 during midday trading on Thursday, hitting C$65.85. The stock had a trading volume of 197,386 shares, compared to its average volume of 172,112. The business’s 50 day moving average is C$67.10 and its 200-day moving average is C$79.86. Stella-Jones has a 52 week low of C$58.37 and a 52 week high of C$101.31. The company has a quick ratio of 1.20, a current ratio of 4.86 and a debt-to-equity ratio of 70.31. The company has a market cap of C$3.59 billion, a P/E ratio of 13.95, a PEG ratio of 2.40 and a beta of 0.06.

Stella-Jones (TSE:SJ) last announced its quarterly earnings results on Wednesday, November 4th. The company reported C$1.39 earnings per share for the quarter. Stella-Jones had a net margin of 6.27% and a return on equity of 10.40%. The company had revenue of C$979.00 million during the quarter. As a group, analysts predict that Stella-Jones will post 6.45 EPS for the current year.

Key Stories Impacting Stella-Jones

Here are the key news stories impacting Stella-Jones this week:

• Positive Sentiment: Management outlined up to $100 million in cost savings over three years and is targeting a full operating run rate at its Candiac facility by the end of Q1 2027. If achieved, the savings could improve margins. Article: Stella-Jones outlines up to $100M in 3-year cost savings
• Positive Sentiment: A recent analysis argues Stella-Jones shares look undervalued based on cash flow, which may appeal to investors focused on valuation. Article: Stella Jones Stock Looks Below Fair Value On Cash Flow
• Neutral Sentiment: Third-quarter sales rose, but adjusted earnings fell. The company also announced a normal-course issuer bid; the earnings trend is a concern, while the buyback could provide some support depending on its execution. Article: Stella-Jones Q3 adjusted earnings fall, sales rise; announces normal course issuer bid
• Negative Sentiment: Several firms cut their price targets, signaling more cautious expectations. Raymond James lowered its target to C$80, Desjardins to C$77, Scotiabank to C$76, TD to C$81, RBC to C$70, and National Bank Financial to C$80. Their ratings remain at outperform, buy, or sector perform, but the target reductions are a near-term sentiment headwind. Read More., Read More., Read More., Read More., Read More., Read More..

Stella-Jones Company Profile

Stella-Jones Inc (TSX: SJ) is a leading North American manufacturer of products focused on supporting infrastructure essential to the electrical distribution and transmission network, and the operation and maintenance of railway transportation systems. It supplies the continent’s major electrical utility companies with treated wood poles and crossarms, steel lattice towers and steel transmission poles, as well as North America’s Class 1, short line and commercial railroad operators with treated wood railway ties.