Inside the Market’s roundup of some of today’s key analyst actions
In response to the announcement it is seeking a second extension from the Ontario Securities Commission and its lenders to file much-delayed audited annual financial statements, BMO Nesbitt Burns analyst Thanos Moschopoulos downgraded Dye & Durham Ltd. (DND-T) to “market perform” from “outperform” previously.
“We now view the risk/reward on the stock as less favorable, despite the selloff it has already experienced, due to the ongoing filing delays; preliminary revenue/EBITDA trending below our expectations; and management commentary suggesting that more work will be needed to stabilize the business (a goal that it expects to accomplish in the first half of CY2026),” he explained.
Shares of legal software vendor plummeted 19.4 per cent on Thursday, closing at a record low of $3.84, after also releasing preliminary results for both the full 2025 year and the first quarter of 2026 that were below analysts’ expectations.
The company said in a release that its preliminary results for its fiscal year ended June 30 indicated revenue was approximately $440.6-million, down 3.8 per cent from the prior year, while adjusted operating earnings were $231.3-million, down 10 per cent. Its annual net loss is expected to come in at about $82.7-million, an improvement from a $174.3-million loss in its prior fiscal year.
“We believe that DND may well be able to unlock value over the coming months through additional asset sales, if not a potential sale of the entire business, in light of its strategic review process,” he added. “However, the fact that an additional filing extension is required gives us significant pause, as does our concern that quarterly EBITDA may trend lower in the near-term (given adverse seasonality and commentary that the business isn’t yet stabilized), meaning that DND’s leverage ratio (perhaps 5.8 times TTM [trailing 12-month] net debt/EBITDA pro forma the Credas sale) may trend higher. This was already a story with many moving parts to it, but the incremental uncertainty, in our view, prompts us to move to the sidelines.”
His target for Dye & Durham shares fell to $4.50 from $16 previously. The average target is $10.70, according to LSEG data.
Elsewhere, Scotia Capital’s Kevin Krishnaratne cut his target to $7 from $16 with a “sector outperform” rating.
“Although we like the risk/reward given the current valuation on our revised estimates (less than 7.5 times CY26 EBITDA), shares could remain pressured near-term as we await audited filings for FY25 and Q1 pending the conclusion of the OSC Review, in addition to more details on progress related to DND’s investments in product & customer success to help drive top-line growth,” said Mr. Krishnaratne.
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While continuing to view it as “a solid defensive name with an attractive dividend yield,” TD Cowen analyst Graham Ryding lowered his rating for Power Corp. of Canada (POW-T) to “hold” from “buy” on Friday to “reflect recent valuation expansion.”
“We view Power Corp’s fundamentals as solid, with the core operating companies of GWO and IGM performing well (both are Buy-rated),” he said. “Share buybacks remain healthy and we model this to persist (contributing 1-2 per cent to 2026/2027 EPS growth). The alternatives platform continues to scale. However, valuation has moved higher reflecting these positive themes, in our view.”
Mr. Ryding also emphasized he remains “constructive” on both Great-West and IGM and sees momentum remaining “intact” for its alternatives assets under management platform.
“Buybacks are expected to remain a focus outside of inorganic opportunities at GWO (Empower), or investments within Power Corp. (such as Sagard-related acquisitions and Wealthsimple financing rounds),” he added. “We model $500-million per year for Power Corp. in 2026/2027 (1-2 per cent of shares outstanding). We expect POW to continue to participate in GWO buybacks (proceeds to fund Power Corp buybacks, in addition to its $1.9-billion of cash).”
The analyst raised his target to $73 from $69, noting a “7-per-cent total potential return to [a] higher target price is insufficient to maintain a buy rating.” The average is $70.
Elsewhere, Desjardins Securities’ Doug Young raised his target to $75 from $65 with a “buy” rating.
“We believe POW has ways to surface value in the future. It also offers an attractive dividend yield (3.5 per cent),” said Mr. Young.
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RBC Dominion Securities analyst Nelson Ng acknowledges investor confidence in the management team of Northland Power Inc. (NPI-T) has been “shaken” following the announcement of a 40-per-cent dividend cut and its forecast of a potential 50-60-per-cent shortfall in pre-completion revenues for the Hai Long offshore wind project.
However, despite a drop of over 27 per cent on Thursday which wiped out virtually all market gains this year, he sees value in shares of one of Canada’s leading renewable energy operators, which are trading at a discount to his “conservative” estimates of its operating assets and projects under construction.
“Management explained that the 40-per-cent dividend reduction was a strategic step aimed at supporting long-term growth through a fully self-funded growth model,” said Mr. Ng. “Based on discussions with clients, we believe the biggest push-back is that when dividend sustainability concerns were raised in Q1/25, many clients got the impression from management that the dividend was sustainable, sacrosanct, and will not change. Some clients believe the Hai Long precompletion revenue shortfall also played a factor in the dividend cut.
“While the messaging and timing of the dividend cut is not ideal, we have always felt that the company should cut the dividend by at least 30 per cent.”
At its now much-anticipated Investor Day event on Nov. 20, Mr. Ng predicts management will present their strategic plan to capitalize on growing power demand in core markets, including Canada and Europe.
“We expect management to highlight organic growth opportunities, value enhancement projects within their existing fleet, and prospects for acquisitions of mid-to-late-stage projects,” he added. “We expect management to put forward a multi-year financial outlook to provide the market with better visibility.
“Could Hai Long commissioning delays lead to a funding shortfall? Management highlighted that the Hai Long project is still tracking on time and within budget. However, although 37 (of 73) turbines are installed, 14 are commissioned, and only 2 are feeding power to the grid. The company is taking steps to resolve the issues, and management estimates that there could be a $150-200 million (NPI’s share) shortfall in pre-completion revenues that funds construction, and did not rule out a future equity injection into the project.”
Keeping his “outperform” rating for Northland shares, Mr. Ng cut his target by $1 to $27. The average is $25.83.
Elsewhere, analysts downgraded Northland shares include:
* Scotia’s Robert Hope to “sector perform” from “sector outperform” with a $24 target, down from $28.
“ It was a very challenging update for Northland with the surprise 40-per-cent dividend reduction and commissioning issues at Hai Long sending the shares down 23 per cent (it was also a weak day for the overall power space),” said Mr. Hope. “The slower-than-expected commissioning at Hai Long adds risk to our unchanged 2027 outlook. Our 2025-2026 estimates move down to reflect a $180-million reduction in pre-completion revenues. We increase the discount rate for the valuation of the Offshore wind projects, which in part lowers our target to $24 from $28. Our $24 target price still implies healthy overall returns, though we move to Sector Perform until there is greater visibility on completion of the large offshore projects, which we expect in H2/26.”
* Desjardins Securities’ Brent Stadler to “hold” from “buy” with a $20 target, down from $27.
“It was a tough update with the 40-per-cent dividend cut coming as a surprise. Also, we are concerned by Hai Long taking longer than expected and the potential need to inject capital into this project. With another large project (Baltic Power) under construction simultaneously, we believe investors should take a wait-and-see approach to the story. We will look for an update on the growth outlook and funding sources at the investor day on November 20. We have reduced our target to C$20.00 and our rating to Hold,” he said.
* BMO analyst Ben Pham to “market perform” from “outperform” with a $25 target, down from $31.
“While NPI’s 40 per cent dividend cut should better position the company to accelerate growth self-funded with its 8.5GW development pipeline, it will likely come as a surprise and disappointment especially with its major construction projects on track,” Mr. Pham said.
”Accordingly, while the shares are inexpensive (and will likely get more inexpensive near-term), we expect a transition period in the shareholder base, reduced confidence in the future outlook, and extended rebuild of management credibility," he said.
Analysts making target revisions include:
* ATB’s Nate Heywood to $26 from $28 with an “outperform” rating.
“The messaging around the dividend cut was focused around ensuring financial flexibility through all business cycles and enabling opportunity capture in the current market. While strategic conversations were light given next week’s investor day, management alluded to a number of opportunities both organically and through M&A to drive shareholder value. Management will also provide an outlook through 2030 that should include short-cycle, accretive investments across its operating jurisdiction, including value enhancement projects at existing assets to extract additional value. The update also included more high-grading of its asset base in an effort to grow prudently and within guardrails that will likely be laid out next week. While we view dividend cuts as a bearish indicator, we are interested to see what the Company can do in a more flexible situation and how the new management team will capitalize on its aforementioned opportunity set,” said Mr. Heywood.
* CIBC’s Mark Jarvi to $25 from $29 with an “outperformer” rating.
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After AtkinsRéalis Group Inc. (ATRL-T) had a “good” third quarter, National Bank analyst Maxim Sytchev emphasized its investment thesis is almost solely driven by the performance of its nuclear-reactor technology business.
“Without nuclear, engineering performance would have received a negative reaction if judged by the most recent ARDS and WSP prints,” he said in a client note. “But Nuclear is a material and growing part of the portfolio with likely more momentum/ projects to come. We are structurally very bullish on nuclear (its need, clean nature, etc.) but we wonder about the curvature of EBITDA ramp-up required to justify the market’s expectations. As a result, we would like a more opportune entry point.”
Mr. Sytchev added momentum in the nuclear business led to “another blowout quarter for the segment, with full-year guidance raised significantly once again.”
“Management is in discussion with several countries (primarily Asia and Eastern Europe) for additional new builds following the earlier Cernavoda contract win; recall that CANDU technology is differentiated by its ability to use natural (non-enriched) uranium – which alleviates supply concerns – and produces medical isotopes as a by-product,“ he said. ”While the cadence of revenue recognition for new builds is very gradual (several years to reach the peak), the nuclear resurgence of recent years provides a significant boost to revenue visibility and increases ATRL’s moat given the highly specialized nature of the work and exclusive deployment rights."
Shares of the Canadian engineering company jumped over 4 per cent despite the broader market selloff on Thursday after it reported consolidated revenue for the quarter of $2.808-billion, in line with both the Street estimate of $2.768-billion and Mr. Sytchev’s $2.838-billion expectations. Consolidated EBITDA of $289.2-million topped the Street by 4 per cent ($277-million) and the analyst’s $263-million projection “due to higher Engineering margins (mainly in Canada) and also higher than expected growth in Nuclear.”
“Q4/25E guidance implies low single digit organic growth for engineering services, as well as 30-per-cent year-over-year growth in Nuclear, which we reflected in our estimates. We also increased our growth and margin assumptions for the Linxon business on the back of impressive execution year-to-date,” he added. “Our other modeling assumptions are otherwise unchanged and given the net cash balance sheet, any M&A would provide upside to our estimates.”
Calling its nuclear business “a crucial differentiator” but seeing a rebound in Engineering Services Regions (ESR) business as “a more influential earnings driver” moving forward, Mr. Sytchev raised his target for AtkinsRéalis shares to $102 from $101, keeping a “sector perform” rating. The average target is $116.62.
Elsewhere, other analysts making revisions include:
* Desjardins Securities’ Benoit Poirier to $115 from $116 with a “buy” rating.
“With the strongest balance sheet in the industry, a clear path for potential acquisitions and the prospect of positive new-build announcements next year, we believe investors are well-positioned in ATRL. At the current share price, applying our 25-times multiple to our increased 2026 nuclear EBITDA estimate implies that ATRL’s Engineering Services business is being valued at just 8.5 times forecast 2026 EBITDA by the market, representing a 40-per-cent discount to peers STN and WSP,” said Mr. Poirier.
* RBC’s Sabahat Khan to $125 from $115 with an “outperform” rating.
“AtkinsRéalis reported Q3 results that were ahead of consensus, with Nuclear yet again a standout (2025 segmented revenue guide revised higher again). Although Engineering Services Regions (“ESR”) organic growth was soft, we believe the segment’s record backlog positions it well for an acceleration in 2026. Combined with a positive outlook for the remainder of the business, we continue to view AtkinsRéalis as attractive at current levels,” said Mr. Khan.
* ATB’s Chris Murray to $121 from $118 with an “outperform” rating.
“The Adjusted EBITDA beat was driven by better-than-expected growth in Nuclear, offsetting limited organic growth in Engineering Services. Full-year guidance was revised to account for performance in ES and Nuclear to date in 2025 and implies expectations for a reversal in ES-based organic growth beginning in Q4/25. The backlog reached $21.0bn, reinforcing healthy demand conditions and providing the foundation for stronger levels of organic growth in 2026, with management remaining constructive on the outlook for its regions/sectors entering 2026. We would remain buyers of ATRL given the recent pullback in the shares, with demand for nuclear, backlog growth in ES, M&A and balance sheet flexibility all supportive of the outlook heading into 2026,” said Mr. Murray.
* CIBC’s Krista Friesen to $125 from $122 with an “outperformer” rating.
* Canaccord Genuity’s Yuri Lynk to $121 from $125 with a “buy” rating.
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In a separate report, believing “restructuring efforts continue to impress, but volumes surprise to the downside,“ Mr. Sytchev reduced his target for shares of AutoCanada Inc. (ACQ-T) to $31 from $36, keeping an “outperform” rating. The average is $34.04.
“EBITDA was in line, but the absolute level of revenue decline is concerning; over the years ACQ went through a number of strategic realignments and there was always a temporary hint of things ‘working’ only for investors to be disappointed 12 - 24 months later,“ he said. ”We sincerely hope this is not a repeat as the cost-out exercise appears to have been more deliberate. Cash infusion from U.S. dealership sales also moved to the right; with concerns down south around sub-prime and the auto space in general now, we would have preferred an earlier closing. While there were questions on the call regarding M&A as a function of leverage, we believe a more realistic trigger should be operational resilience amid revenue fluctuations to make sure the platform can absorb any incremental growth; net-net, this was a negative print (hopefully cushioned somewhat by the precipitous 36-per-cent share price decline since Sept. 2025).”
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In other analyst actions:
* Raymond James’ Steve Hansen downgraded Ag Growth International Inc. (AFN-T) to “market perform” from “outperform” with a $52 target. The average on the Street is $51.86.
“We are downgrading our rating on Ag Growth International (AGI) ... based upon [Thursday’s] announcement that the company: 1) has delayed its 3Q25 filings; 2) needs more time to ‘finalize the accounting treatment’ of its Brazilian operations; 3) is in the process of reviewing its internal controls in Brazil; and 4) given this development, is withdrawing its previously issued FY2025 Adjusted EBITDA guidance,” said Mr. Hansen.
“It is very hard to sugar coat this release, in our view. Brazil is an important component of AGI’s business mix, representing 15 per cent of total EBITDA, and one of the company’s most important growth engines. Until we know more, we have elected to leave our estimates and target unchanged; however, our confidence in these estimates has clearly waned in light of this news. We will continue to monitor.”
* Scotia’s Orest Wowkodaw lowered Altius Minerals Corp. (ALS-T) to “sector perform” from “sector outperform” but raised his target to $42 from $37. The average target on the Street is $41.43.
“We are lowering our investment rating on Altius Minerals shares to Sector Perform (from Sector Outperform) based on a more balanced risk–reward outlook at current levels. With the shares now trading at a relatively fulsome 5-per-cent P/NAV multiple of 1.57 times, a negligible implied return to our revised 12-month target of $42.00 per share, and no obvious near-term next catalyst ahead, we see better opportunities in other mining/royalty equities,“ said Mr. Wowkodaw. ”After receiving windfall proceeds of $375-million from the recent sale of a 1.0-per-cent royalty interest in the Silicon Au deposit in Nevada, ALS is very well positioned to redeploy capital into new business opportunities ahead. However, we do not anticipate a meaningful step-up in the company’s share buyback program at the current valuation.”
* Scotia’s Ben Isaacson downgraded Chemtrade Logistics Income Fund (CHE.UN-T) to “sector perform” from “sector outperform” with a $17 target, up from $15, while CIBC’s Hamir Patel raised his target to $19 from $16 with an “outperformer” rating. The average is $18.54.
“While CHE has benefited from commodity tailwinds, strong execution of strategy, and superb capital allocation, the prospects for continued outperformance are winding down, in our view,” said Mr. Isaacson. “First, it’s become clear that CHE has over-earned this year, with guidance now more than 14 per cent above where it started earlier in the year. However, the Street now sees less than 1-per-cemt EBITDA growth in ’26, or $519-million vs. $514-million year-over-year. This compares to CHE’s 5-per-cent to 10-per-cent growth aspiration. For context, and within our coverage, CHE now has the lowest EBITDA growth in ‘26, ex the ferts. Second, chlorine netbacks pulled the MECU $50 lower in Q3, with further erosion since then, and which will likely offset SWC growth in Q4. Third, sulphur volatility continues, whether due to regional outages or Russia’s export ban. This could lead to N/T margin variability, which CHE just flagged as a risk. Fourth, on capital allocation, CHE is doing everything right, in our view, whether the B/S, growth, or shareholder returns. That said, surely this is priced in, following a 35 per cent (or $550-million) rally since mid-August. Finally, on ‘26E EBITDA of $515-million, our PT moves to $17, using an unchanged 6.5 times, and to acknowledge intrinsic value creation.”
* Following a “significant” third-quarter miss, CIBC’s Robert Catellier downgraded Superior Plus Inc. (SPB-T) to “neutral” from “outperformer” and cut his target to $8.50 from $9, while TD Cowen’s Aaron MacNeil reduced his target to $8.50 from $9 with a “hold” rating. The average is $9.73.
“We view Superior’s Q3/25 results as a miss, but we are more concerned about the persistent pricing pressure for the CNG business. Furthermore, the propane improvement plan (Superior Delivers) is experiencing some growing pains,” said Mr. Catellier.
* Canaccord Genuity’s Robert Young lowered Thinkific Labs Inc. (THNC-T) to “speculative buy” from “buy” and reduced his target to $4.25 from $5. The average is $3.70.
“Thinkific delivered Q3 results slightly ahead of guidance and estimates as the company continues to execute against its strategic pivot toward higher-value customers, albeit slower than previously expected. Commerce was the key driver for the quarter, with segment revenue up 23 per cent year-over-year as GPV grew 34 per cent year-over-year. Plus revenue growth of 17 per cent year-over-year decelerated as Thinkific attracted larger customers to the sales funnel to the detriment of sales cycle. Management commentary touted early pipeline momentum with larger and higher value customers and confidence in maintaining profitability through the pivot as Thinkific expands its platform capabilities to serve enterprise use cases. However, management reiterated near-term elevated churn given the de-emphasis of lower value cohorts. Given a more elongated transition balanced against an attractive valuation, we are shifting our rating,” said Mr. Young.
* ATB Capital Markets’ Nate Heywood lowered Tidewater Midstream and Infrastructure Ltd. (TWM-T) to “sector perform” from “speculative buy” with a $6 target, down from $8. Analysts making target changes include: National Bank’s Patrick Kenny to $4.50 from $2 with an “underperform” rating and RBC’s Maurice Choy to $6 from $5.50 with a “sector perform” rating. The average is $6.40.
“TWM shares traded off 6 per cent following its Q3/25 print and conference call,” said Mr. Heywood. “The Q3/25 deconsolidated EBITDA a loss of $0.2-million, a decline from $15.5-million in Q3/24 and below our estimate of $8.3-million. Consolidated EBITDA of $16.2-million was materially down from $29.2-million in Q3/24 and modestly below our estimate of $18.4-million (consensus: $21-million), with Tidewater Renewables (TWR) providing a solid $16.5-million print (incl. one-time outperformance of $7.9-million from non-core operations). On the call, the outlook for the base business is expected to modestly recover with improved PGR utilization and a strong crack-spread environment; however, we continue to expect some challenges for downstream sales margins and volume offtake. On the legacy midstream infrastructure, throughput volumes continue to be pressured by a weak AECO tape, despite the ongoing ramp up of LNG Canada. An improvement in the AECO price over 2026 could be a tailwind for the business, but we have conservatively revised estimates lower for the near-term. We do expect TWM could see a lift in results from the Western Pipeline acquisition, with management pointing to its integration providing cost savings and optimization opportunities of $10-million-15-million.”
* CIBC’s Krista Friesen reduced her Bird Construction Inc. (BDT-T) target to $36 from $37, remaining above the $34.25 average, with an “outperformer” rating. Other changes include: Raymond James’ Frederic Bastien to $34 from $37 with an “outperform” rating, Stifel’s Ian Gillies to $46 from $41 with a “buy” rating and ATB Capital Markets’ Chris Murray to $31 from $34 with an “outperform” rating.
“We remain constructive (and view the current entry point as attractive) on BDT as we think our thesis is intact albeit with a few bruises given continued near-term downward estimates revisions. 2025 has been a year to forget for Bird but the Canadian Government spending backdrop remains very conducive for large construction companies. We also think Bird’s 2025 has been harmed by the ‘newness’ of all the trade issues in Canada. In our view, private capital projects will start to move forward again in 2026E as companies become accustomed to the current state of play. This view is supported Bird’s robust combined backlog of $10.0-billion. We continue to believe BDT’s 2027 estimated 8.0-per-cent EBITDA margin is attainable but our 2025-2027E organic growth CAGR of 5.6 per cent falls below the company’s guidance of 8-12 per cent,” said Mr. Gillies.
* TD Cowen’s Cherilyn Radbourne increased her Brookfield Corp. (BN-N, BN-T) target to US$59 from US$57 with a “buy” rating. Other changes include: Scotia’s Mario Saric to US$49 from US$50 with a “sector outperform” rating and CIBC’s Dean Wilkinson to US$52 from US$50.67 with an “outperformer” rating. The average is US$51.11.
“We maintain our SO rating, with [Thursday’s] (overdone) 7-per-cent share price decline more than our 2 per cent lower TP and Forward NAVPS, narrowing some of BN’s average prior 30-per-cent year-to-date gain vs. peers ... We view yesterday’s correction as re-establishing a double-digit return profile in a high-quality company that we still believe is capable of establishing a new investor base (Growth) to compliment/replace the existing one (Value) over time, although Q3 was perhaps a bit of a setback in that regard as the items exclusive to BN (Real Estate, Carrry, Insurance, Share Buy-Backs) were mixed, in our view. That said, BN is back to trading at a 5-per-cent discount to our Current NAVPS (19 per cent to Forward), historically attractive entry points, although the implied $18-billion real estate value seems fair,” said Mr. Saric.
* Raymond James’ Stephen Boland bumped his Canaccord Genuity Group Inc. (CF-T) to $14 from $13 with a “strong buy” rating. The average is $13.38.
“With the improvement in capital markets results, expanding wealth margins, and a possible resolution to the ongoing U.S. regulatory matter, we expect the shares to react positively. We’d also note that a near-term a potential monetization / sale of UK Wealth is possibly approaching, with the media recently reporting that the division could sell for in excess of £1 billion. With this in mind, we believe a sale could provide further upside despite recent strength in the shares following the initial report," said Mr. Boland.
* CIBC’s Dennis Fong raised his Cenovus Energy Inc. (CVE-T) target to $32 from $30, keeping an “outperformer” rating. The average is $27.85.
* In response to Thursday’s announcement of its deal to be taken private, Raymond James’ Stephen Boland dropped his ECN Capital Corp. (ECN-T) target to $3.10 from $3.25 with a “market perform” rating. The average is $3.49.
“We expect mixed reactions to the take-private price,“ said Mr. Boland. ”Since the sale of Service Finance and the payment of the special dividend, the stock has struggled for a variety of reasons, including lingering COVID-related impacts on housing volumes, elevated interest rates, and operational challenges. In addition, the senior management team has undergone significant changes. We presume the Purchaser group has secured commitments from the newer senior management team to support the return to growth. More details should become available when the circular is filed.
“Lastly, we do not expect a superior proposal. In addition to Champion’s support, we believe the Purchaser group has secured commitments from the company’s key institutional funding partners, including Blackstone and Carlyle. It is possible those firms are part of the group to secure future loan origination opportunities.”
* National Bank’s Jaeme Gloyn bumped his target for Fiera Capital Corp. (FSZ-T) to $7.50 from $7 with a “sector perform” rating. The average is $7.40.
“This is a good quarter that is showing some early signs of success on distribution and efficiency strategies for new CEO Maxime Menard. Both Public Markets (ex. sub-advised) and Private Markets reported net inflows. In addition, costs appear well contained as opex drove the EBITDA and margin beats. Our target price increases to $7.50 on upward revised estimates,” said Mr. Gloyn.
* National Bank’s Matt Kornack raised his target for Flagship Communities REIT (MHC.U-T, MHC.UN-T) to US$25.50 from US$23 with a “sector perform” rating. Other changes include: Raymond James’ Brad Sturges to US$22.25 from US$22.75 with a “strong buy” rating and Desjardins Securities’ Kyle Stanley to US$24 from US$23 with a “buy” rating. The average is US$23.22.
“MHC printed a strong organic growth figure in Q3 at up 10 per cent vs. our expectation for 9 per cent,“ said Mr. Kornack. ”The setup is for continued SPNOI growth in the high single digits to low teens on the basis of just shy of 6-per-cent increases to lot rents combined with 100-200 bps of occupancy gains and possibly slight margin expansion depending on the level of rental homes added in the vacancy reduction effort. Management noted that they continue to pursue self-regulation to the tune of 200-500 bps on renewal rent increases, which provides an ongoing MTM potential while reducing turnover. We see the current trading gap to book value and our NAV as far too wide, offering a significant total return potential.“
* Mr. Kornack cut his target for GO Residential REIT (GO.UN-T) to US$13 from US$15 with an “outperform” rating. The average is US$14.97.
“GO’s inaugural (albeit still incomplete) quarter largely tracked our expectations from an operations and costs standpoint,” he said. A slight negative variance on revenue/NOI will likely correct course in Q4 as in-place occupancy converges with near full committed levels. Management noted new/renewal spreads in the mid-single digits and still sees the ability to capture MTM over the next 12 months, with additional upside on value-add activity at One East River. Nonetheless, since IPO, the market context for valuations has deteriorated with still elevated financing costs/economic concerns driving higher risk premiums/cap rates. We see material upside to NAV but some near-to-medium-term structural pressures given higher leverage and less supportive capital markets.”
* Canaccord Genuity’s Mike Mueller moved his Freehold Royalties Ltd. (FRU-T) target to $17 from $16 with a “buy” rating. The average is $16.17.
* National Bank’s Patrick Kenny moved his target for shares of Hydro One Ltd. (H-T) to $49 from $48 with a “sector perform” rating. Other changes include: Desjardins Securities’ Brent Stadler to $60 from $59 with a “buy” rating and RBC’s Maurice Choy to $57 from $53 with a “sector perform” rating. The average is $51.35.
“With better-than-expected Q3/25 results (mainly due to lower-than- anticipated operating expenses), Hydro One remains positioned to deliver its 6-8-per-cent EPS CAGR [compound annual growth rate] over the 2023-2027 period, with our model suggesting it may deliver at the high-end of the range, subject to load trends. While that may help support the stock’s strong valuation today, in the year ahead, we see: (1) incremental new projects plus the next JRAP (and the associated funding plan); (2) the provincial government’s balancing of affordability and economic growth; and (3) the market’s macro view as being important drivers of Hydro One’s stock sentiment,” said Mr. Choy.
* TD Cowen’s Derek Lessard cut his K-Bro Linen Inc. (KBL-T) target to $50 from $55 with a “buy” rating. The average is $50.17.
* CIBC’s Hamir Patel bumped his target for KP Tissue Inc. (KPT-T) to $11 from $10.50 with a “neutral” recommendation, while Desjardins Securities’ Frederic Tremblay raised his target to $11 from $10 with a “hold” rating. The average is $10.50.
“3Q results were solid, with both segments exceeding our adjusted EBITDA expectations. Continued positive momentum has contributed to a stronger-than-expected outlook for 4Q. While we believe 2026 should be a good year, our enthusiasm is tempered by risks associated with an uncertain macroeconomic environment and prospects of higher pulp costs,” said Mr. Tremblay.
* CIBC’s Ty Collin moved his Linamar Corp. (LNR-T) target to $88 from $87, keeping an “outperformer” rating, while Raymond James’ Michael Glen increased his target to $85 from $80 with a “market perform” rating. The average is $84.17.
* RBC’s Darko Mihelic raised his Manulife Financial Corp. (MFC-T) target to $52 from $49 with an “outperform” rating. Other changes include: Scotia’s Mike Rizvanovic to $53 from $45 with a “sector outperform” rating, Desjardins Securities’ Doug Young to $55 from $52 with a “buy” rating and CIBC’s Paul Holden to $50 from $49 with a “neutral” rating. The average target is $52.14.
“We come out of the quarter more constructive on MFC’s medium-term outlook following solid Q3 results overall, with reiterated guidance from management on current 2027 targets,“ said Mr. Rizvanovic. “Key positives from the quarter included the Asia business, which continues to show very strong gains, GWAM growing in the double-digit range with an improving EBITDA margin despite net outflows, and better sequential results out of the U.S. segment. Our forecasts and price target move higher post-Q3, and we now value MFC on our BVPS forecast for the end of 2027. We believe MFC’s valuation discount relative to peers keeps the stock looking attractive and can close further if management is able to move the needle higher on ROE in the coming quarters. Our Sector Outperform rating is unchanged.“
* National Bank’s Zachary Evershed reduced his target for Mattr Corp. (MATR-T) to $11.50 from $14.50 with an “outperform” rating. Other changes include: Stifel’s Ian Gillies to $7 from $11.25 with a “hold” rating and Canaccord Genuity’s Yuri Lynk to $12 from $14 with a “buy” rating. The average is $11.07.
“The outlook for MATR remains challenged, with a deteriorating demand profile for Shawflex products in Canada, continued softness in the energy sector which impacts Flexpipe and uncertain impacts on margins from tariffs. This is making 2026E very tough to call at this juncture. With that said, we have lowered our 2026 EBITDA estimate to $143-million (prior: $174-million) on a weaker margin profile and flat revenue year-over-year. This is coupled against elevated leverage ratios. The share price decline certainly has us more interested, but we think initial green shoots need to be visible before getting more constructive and/or considering valuation as a reason to own the stock,” said Mr. Gillies.
* Canaccord Genuity’s Mike Mueller raised his Peyto Exploration & Development Corp. (PEY-T) target to $21.50 from $20 with a “hold” rating, while TD’s Aaron Bilkoski bumped his target to $23 from $21 with a “buy” rating. The average is $21.77.
* Scotia’s Robert Hope raised his South Bow Corp. (SOBO-N, SOBO-T) target to US$29 from US$28 with a “sector perform” rating. The average is US$25.78.
“South Bow reported Q3 adj. EBITDA of $254-million, slightly above our $249-million estimate and consensus of $247-million (range $244-million-$250-million),“ said Mr. Hope. ”The 2025 EBITDA guidance outlook was reiterated. More importantly, the company significantly increased its 2025 distributable cash flow outlook to $700-million from $590-million, driven by lower expected cash taxes following U.S. legislation changes and a reduction in planned maintenance capital. The 2026 EBITDA outlook was as expected, though again lower cash taxes are a tailwind to cash flow. The initial finding for the MP-171 incident are highly favourable, pointing to a non-systematic fatigue crack with costs largely expected to be covered by insurance. We increase our target price to $29 from $28 to reflect our higher near term cash flow estimates.”