Inside the Market’s roundup of some of today’s key analyst actions
A “potential inflection point” is at hand for Mattr Corp. (MATR-T), says Canaccord analyst Yuri Lynk after attending a non-deal roadshow in Montreal and New York.
“We came away from the meetings incrementally positive on Mattr’s long-term outlook, with management steadfast in the company’s ability to hit 10% organic revenue growth, 20% EBITDA margin, and 70% free cash flow conversion in the medium term,” Mr. Lynk said in a note.
“Assuming just incremental progress towards these targets in 2026 and 2027 has the stock trading at heavily discounted multiples (FCF yield on 2026E and 2027E is 10% and 16%, respectively). With Q2/2025 marking the end of a multi-year restructuring, we view this as an excellent entry point for investors with at least a 12-month investment horizon,” he said.
Mr. Lynk reiterated a “buy” rating and C$16 one-year price target on Mattr.
He noted that the end of a multiyear transformation is at hand for Mattr.
“Management reiterated Q2/2025 would be the last quarter to feature modernization, expansion, and optimization (MEO) expenses associated with the simultaneous build-out of four greenfield facilities. Furthermore, with the $24 million Thermotite sale closing June 5, the disposition program is also complete after raising over $400 million of net proceeds. Therefore, Q2/2025 brings to a close a four-year period of transformation that was highly disruptive to reported financials and distracting for management. Mattr now has an attractive future facing business with ample capacity to grow.”
The average price target is C$14, according to LSEG data.
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Canaccord analyst Tania Armstrong-Whitworth initiated coverage on biotech firm Eupraxia Pharmaceuticals (EPRX-T) with a C$9 price target and “speculative buy” rating.
The analyst sees the company potentially on the path to developing a successful treatment of a disorder related to the esophagus.
“In May 2024, EPRX shifted focus from knee osteoarthritis (KOA) to eosinophilic esophagitis (EoE), a chronic, immune-mediated condition of the esophagus with rising prevalence and limited treatment options. The company’s lead candidate, EP-104GI, is an extended-release formulation of fluticasone propionate (FP) delivered via local esophageal injection (the same drug used in the KOA program). Data from the ongoing Phase 1b/2a trial suggest the product could offer unprecedented durability and safety, potentially establishing it as a first-line treatment with annual dosing,” Ms. Armstrong-Whitworth said in a note to clients.
EoE affects about 150 per 100,000 individuals in the U.S., a five-fold increase since 2009. Current therapies are either short-acting, prohibitively expensive, or come with side effects that limit compliance. There is a strong need for a more durable, cost-effective treatment that improves patient compliance and minimizes side effects, according to the analyst.
Another promising sign for investors: management and directors together own 18% of fully diluted shares, she noted.
The average price target is C$11.
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Scotiabank has lifted the price targets on several Canadian miners, believing that they will benefit from a copper market that’s getting tighter.
"While we remain cautious on the near-term outlook for copper (Cu) demand given the uncertain macroeconomic backdrop, recent trade war de-escalation efforts by the USA-China offer hope that cooler heads can prevail and that a painful global economic slowdown can still be avoided," said Scotia analysts led by Orest Wowkodaw.
“Despite these risks and rising Middle East tensions, we recommend Cu exposure given low inventories and the impact of elevated supply side under-performance (highlighted most recently by Kamoa-Kakula), as we forecast a market in a multi-year modest deficit position under a relatively unassuming demand scenario, before transitioning to a large structural deficit by 2029-2030 driven by a lack of supply growth. We estimate that global consumption growth of only 1.0% is now sufficient to keep the market in balance this year, with a slightly higher average growth CAGR [compounded annual growth rate] of +1.7% pa required over the 2025-2027 period to maintain balance (vs. 2023-2024 growth of +2.7% and +3.4%; LT growth of +2.9% pa). We forecast relatively modest average 2025-2030 demand growth of +2.0% pa (including only +1.2% pa in China).”
Among the stocks seeing price target changes were:
Dundee Precious Metals Inc (DPM-T): Scotiabank raises target price to C$23 from C$21
ERO Copper Corp (ERO-T): Scotiabank raises target price to C$26 from C$24
First Quantum Minerals Ltd (FM-T): Scotiabank raises target price to C$24 from C$22.50
Hudbay Minerals Inc (HBM-T): Scotiabank raises target price to C$15.50 from C$14
Lundin Mining Corp (LUN-T): Scotiabank raises target price to C$16 from C$14.50
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DA Davidson analyst Gil Luria raised his price target and estimates on Shopify Inc. (SHOP-Q, SHOP-T), encouraged by an acceleration in merchant count growth in recent weeks and a belief that the bull case isn’t yet fully priced into the stock.
“Following our recent conversation with the company and better-than-expected 1Q25 results, we analyzed Shopify’s merchant base and identified an acceleration in Y/ Y merchant growth, supporting our perspective that Shopify’s business is more resilient than feared. Our long term thesis on Shopify extending its market leadership in E-commerce remains unchanged with AI serving as a catalyst to deepen customer relationships and merchant growth,” Mr. Luria said in a note to clients.
He reiterated a “buy” rating and raised his price target from US$115 to US$125.
He added: “Our analysis of the merchant base revealed a surprisingly more positive trend relative to the more mixed investor narrative with Y/Y growth in online merchants accelerating in recent weeks after bottoming in February. This supports management’s positive stance on the macro and Shopify’s ability to weather a less supportive macro. We see possible upside levers for 2Q25 coming from the company’s recent enterprise traction and international prospects, two areas expected to be key LT growth drivers.”
“We believe that investors have not factored in the potential bull case scenario that the current disruption in supply chains and the broader commerce space could drive merchants to Shopify, from other platforms, due to the company’s ability to remove friction on behalf of merchants and navigate change management. That is not to say, however, that the long-right tail of smaller merchants won’t see a higher attrition rate in a more challenging macro relative to historic levels. Last week we got the chance to speak with Shopify and learned that in 2008, COVID, and during Brexit, the subsequent disruption created from these events led to growth of the merchant base, highlighting Shopify’s growing role as a key strategic partner for merchants,” he said.
The average price target is US$113.93.
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Citigroup cut its target price to C$14 from C$20 on Ivanhoe Mines Ltd (IVN-T) but still rates the stock a “buy”.
Despite the lower price target, Citi analyst Alexander Hacking also added Ivanhoe Mines to Citi’s “upside 90-day catalyst watch” list.
This comes after Citi updated its model with material changes following seismic events at the the Kamoa-Kakula mine and a recent update from management.
“We expect IVN to outperform as investors grow more comfortable with the messaging around the revised Kamoa-Kakula mine plan,” the Citi analyst said in a note.
The average price target is C$17.46.
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In other analyst actions:
Cameco Corp (CCO-T): Scotiabank raises target price to C$95 from C$93
Artemis Gold Inc (ARTG-X): Haywood Securities raises target price to C$31 from C$25
Dundee Precious Metals Inc (DPM-T): CIBC raises target price to C$25 from C$23
Magna International Inc (MG-T): BofA Global Research ups price objective to C$61 from C$58