TD Cowen analyst Vince Valentini expects Thomson Reuters Corp. (TRI-T) to be one of the “beneficiaries of AI, as opposed to SaaSpocalypse casualties.”
In a client report released Thursday analyzing international information services providers that coincided with his initiation of coverage of Dutch multinational Wolters Kluwer N.V. and London-based RELX plc (with “buy” ratings for both), he emphasized all three possesses “proprietary content and deeply embedded workflows that form the trust layer and/or system of record for professionals who need to embrace the efficiency benefits of Agentic AI.”
Accordingly, he thinks all three stocks have been “meaningfully oversold in the past year,.”
“The overselling has occurred in spite of the lack of evidence of disruption to near-term revenue growth or margins,” he explained. “We view TRI as the highest quality name in this subsector, and our pecking order is TRI, RELX, and WKL.
Mr. Valentini thinks Thomson Reuters’ Westlaw legal research platform and RELX’s LexisNexis have “material competitive advantages that stem from embedded research workflows (high switching costs), unmatched editorial depth, and fiduciary-grade reliability.”
“They own not just legal documents, but decades of human legal reasoning, editorial analysis, citation networks, and validation supported by thousands of courts,” he said. “In law, accuracy matters, and being correct 95 per cent of the time is insufficient. WL and LN form the trust layer of the legal profession.
“As AI adoption accelerates, customer priorities have converged on accuracy, explainability, and privacy. This favors incumbents with proven content ownership, curation, and the capital to invest in secure, compliant AI systems. Our proprietary survey work shows that legal professionals deem reliability and accuracy to be the most important aspects of AI services. There are major consequences for getting it wrong . Therefore, we have yet to see any evidence of disruption to legal segment revenue growth at either TRI or RELX, despite big claims of both revenue growth and capabilities by AI native players over the past 12-18 months. We remain confident that meaningful TAM growth (as the legal profession embraces the use of more technology) leaves enough room for both high-quality incumbent providers, and some new AI vendors.”
Maintaining his “buy” rating and $200 target for Thomson Reuters shares, which exceeds the $169.80 average, Mr. Valentini said he sees it at “the top of the heap” versus peers in the space.
“TRI has compounded EBITDA growth that ranks as the best-in-class among the three, while it also maintains the best EBITDA margins in this set,” he added. “Revenue growth at TRI is also at the top or near the top over the next three years. TRI maintains premier quality businesses in its ‘Big Three’ segments, that account for 85 per cent of its revenues and an even higher proportion of its EBITDA.
“While all three companies are technologically capable of combatting the AI threat, we believe that TRI is best positioned to do so given the strong talent it maintains at the company. ... TRI currently trades slightly higher than RELX on an EBITDA basis, but we believe that the quality of its assets merits a premium multiple.”
National Bank Financial analyst Vishal Shreedhar said Loblaw Companies Ltd.’s (L-T) Investor Day event on Wednesday reinforced his “confidence in [its] ability to deliver consistent performance.”
“Our estimates are unchanged, although we came away more confident in L’s ability to achieve its financial framework against an increasingly unpredictable macro-backdrop,” he said. “L provided additional details on business operations, as well as growth and efficiency initiatives, which we believe were well received by investors.
“The long-term financial framework was reiterated: 2-3-per-cent sales growth (NBCCM models approximately 4-per-cent year-over-year higher retail revenue in 2026E on a 52-week basis), 4-6-per-cent EBIT growth and 8-10-per-cent EPS growth (NBCCM and consensus reflect 9-per-cent EPS growth; 52 weeks).”
In a client note released before the bell, Mr. Shreedhar said he sees “several drivers of growth and efficiency” for the grocery giant following the event, which was held at its distribution centre in East Gwillimbury, Ont.
“Our biggest takeaway was that L has many drivers to support growth and its adjacent growth initiatives are beginning to contribute meaningfully,” he elaborated. “Specifically, supply chain-as-a-service, Lifemark, retail media, T&T U.S. and EQB are expected to be 20 per cent of 2030E earnings mix (from 10 per cent in 2026E). In addition, AI deployment was highlighted as driving growth and cost savings/efficiencies.
“[Shoppers Drug Mart] is the largest growth driver ($150-million of $300-million of annual EBIT growth, with grocery adding $100-million, and other businesses adding $50-million); this is positive as SDM generates higher returns on capital vs. grocery (NBCCM estimates). SDM is supported by secular growth drivers of specialty drugs (GLP-1 is expected to be an $8-billion market in Canada in 2030E from $4-billion; L has 28-per-cent share) and beauty.”
Mr. Shreedhar also emphasized Loblaw’s investment phase is “beginning to subside, which should support returns.”
“Longer-term, acquisitions in adjacent businesses (Lifemark, supply chain, etc.), and acceleration of accretive expansion outside Canada were noted (T&T, etc.),” he added.
He maintained his bullish investment case for Loblaw along with his “outperform” rating and $70 target. The average is $71.40.
“L remains our preferred grocer pick. L’s history of predictable earnings growth is increasingly coveted by investors during macroeconomic uncertainty, supporting elevated multiples vs. history,” said Mr. Shreedhar.
Elsewhere, TD Cowen’s Brian Morrison kept a “buy” rating and $75 target.
“Loblaw demonstrated its leadership position in grocery/drug, its core growth opportunity in hard discount/pharmacy, and growth engines in ancillary segments differentiating it from peers and providing a competitive advantage. This should support strong FCF generation (more than $2-billion) as capex peaks (F2026), its EPS growth algorithm, and in our view a premium valuation multiple,” said Mr. Morrison.
Seeing Savaria Corp. (SIS-T) “transitioning from an operational improvement story into a durable capital-compounding story,” Ventum Financial analyst Daniel Lavoie initiated coverage with a “buy” rating on Thursday.
“The Company is a global leader in specialized accessibility and mobility markets supported by a predictable secular tailwind from an aging population, with core end markets expected to grow roughly 4–6 per cent annually.” he said.
“Savaria’s growth algorithm is attractive and repeatable: 2–3-per-cent volume growth 2–3-per-cemt pricing, supplemented by new products, cross-selling, and market-share gains. Savaria One has materially improved the earnings power of the business, with adjusted EBITDA margins expanding 520 basis points since 2022 to 20.4 per cent in 2025. Supporting this margin profile is an increasingly integrated global manufacturing and supply-chain platform, combining lower-cost sourcing and subassembly in China and Mexico with manufacturing closer to customers in North America and Europe. We believe this footprint improves cost competitiveness, lead times, and the ability to integrate future acquisitions.”
In a client report titled A Lift to Long-Term Compounding, Mr. Lavoie said the “next leg of the story” for the Laval, Que.-based company will focus on capital deploymenyt.
“We expect Savaria to generate approximately $97-million of FCF in 2026, further strengthening the balance sheet and reducing net debt/EBITDA to just 0.44 times by year-end 2026,” he explained. “With the transformation largely complete and substantial financial flexibility, management is shifting capital allocation back toward growth, providing significant capacity to fund organic initiatives and disciplined M&A.
“This creates what we view as a compelling compounding model: 4–6% organic growth + disciplined M&A + modest margin expansion = high-single- to low-double-digit EBITDA growth, with strong FCF providing the capital to repeat the cycle. Management’s ambition to reach approximately $1.6B of revenue by 2030 while sustaining 20%+ EBITDA margins illustrates the runway ahead. In our view, Savaria combines leading niche positions, structural growth, pricing power, an integrated operating platform, strong FCF conversion, and meaningful reinvestment opportunities — the core attributes of an attractive long-duration compounder.”
He set a target of $34.50 for Savaia shares. The average target is $35.67.
Following an updated technical report for its gold-copper project in Quebec, Troilus Mining Corp. (TLG-T) now possesses “more certainty, less risk, longer mine life,” according to Ventum Financial analyst Robin Kozar.
“This story keeps getting better,” he said. “Troilus’ updated Technical Report delivers an enhanced production profile, improved strip ratio and expanded reserve base, all supported by a far more advanced and defensible cost basis than the 2024 Feasibility Study (FS). Initial capex rose to US$1.43-billion but this is not a surprise and came in line with our expectations. Our NAV increases to $5.92 from $5.68, and we are raising our price target to $4.50 from $4.00. Financing, permitting and construction-readiness workstreams continue to advance in parallel, and we expect numerous upcoming catalysts to support positive share price momentum.”
In a client note, Mr. Kozar said the updated NI 43-101 Technical Report, which points to approximately 26-year mine life with an after-tax NPV5-per-cent of $3.2-billion, “further de-risks and validates” the project, which is located in northcentral Quebec.
“The updated report is a culmination of close to 100,000 engineering hours and over $20-million in engineering fees,” he explained. “This is not insignificant. Basic Engineering has been completed across the full Project scope, procurement has advanced materially, and the majority of pricing inputs have been validated against current market quotations. The net result is greater confidence in the Project design, cost basis and execution strategy, and lower project risk.
Seeing its shares price momentum “building” and “more positive catalysts on the horizon,” Mr. Kozar raised his target to $4.50 from $4, keeping a “buy” rating. The average is $3.79.
“Troilus has released a series of positive updates, and the share price has reacted accordingly,” he said. “We think this is just the beginning. We expect a number of upcoming catalysts and milestones to propel the shares higher. We expect a fully funded financing package and IBA agreement to be completed before year-end, followed by permits and a construction go-ahead decision in H1/27.”
Elsewhere, other target revisions include:
* ATB Cormark’s Richard Gray to $4.80 from $4 with a “top pick” rating.
“Our NAV of $8.00 is unchanged, but with another major milestone achieved, Troilus is further de-risking the development of the project and can now look to lock down funding ahead of the expected receipt of the permits in Q1/27. Trading at just 0.29 times NAV, we believe there is considerable upside as this de-risking continues,” said Mr. Gray.
* Desjardins Securities’ Allison Carson to $5 from $4 with a “buy” rating.
“Beyond this new baseline scenario, we continue to see upside for the project. We have run a scenario analysis on commodity prices and higher throughput rates, which demonstrates a NAVPS of up to C$24.60. We continue to view TLG as a top developer with a long-life asset, continued exploration potential and located in a preferred jurisdiction with several re-rating catalysts ahead,” she said.
RBC’s Head of Global Energy Research Greg Pardy sees “lots going on” with Athabasca Oil Corp. (ATH-T) following recent meetings with its President and CEO Robert Broen and CFO Matt Taylor.
“Our constructive stance towards Athabasca continues to reflect its capable leadership team, deep resource base, shareholder alignment, solid operating performance, strong balance sheet, organic growth profile and 100-per-cent payout of (thermal) free cash flow to shareholders,” he said.
In a report released before the bell, Mr. Pardy said the Calgary-based company’s Corner greenfield project “remains in sharp focus, with final sanctioning pending details surrounding the tri-lateral MOU amongst the Oil Sands Alliance and the governments of Alberta and Canada.”
“Athabasca has allocated $55-million toward Corner this year to advance the project to maintain the development schedule ahead of formal sanctioning anticipated before year end,” he said. “Pending sanction, first steam is targeted for early 2029, with production ramping-up to 15,000 bbl/d by year-end 2029.
“Leismer Expansion. Athabasca continues to execute its $300 million (12,000 bbl/d) expansion at Leismer. The company is largely through the spending cycle, with production slated to ramp-up to peak rates of 40,000 bbl/d by late 2027. Leismer’s targeted exit rate sits at approximately 31,000 bbl/d in 2026 with progressive growth up to 40,000 bbl/d by year-end 2027.”
Seeing a “high likelihood of Corner sanctioning later this year,” Mr. Pardy increased his 2027 capital investment outlook for Athabasca to $550-million from $300- million previously, which includes $140-million allocated to Leismer and $300-million towards Corner.
“Athabasca’s balance sheet remains strong, with a net cash position of $62-million (company definition) as of June 30, including $291.7-million of cash & equivalents. Athabasca continues to return 100 per cent of its thermal free cash flow to shareholders via its NCIB,” he added. “As of August 30, the company has repurchased roughly $79-million (1.3-per-cent fully diluted) of its shares during 2026.”
Believing a premium valuation is “warranted,” Mr. Pardy reaffirmed a “sector perform” rating and $12 target. The average is $12.83.
“Under futures pricing, Athabasca is trading at a premium 2027E debt-adjusted cash flow multiple of 6.7 times (vs. our North American intermediate peer group avg. of 4.6x) and free cash flow yield (EV) of 6 per cent (vs. our peer group at 9 per cent),” he explained. “In our minds, Athabasca should trade at a premium valuation vis-à-vis our peer group given its strong leadership team, net debt free balance sheet, solid operating momentum, organic growth profile, free cash flow generation and shareholder alignment.
Touting its “ascendant” royalty portfolio, TD Cowen analyst Derick Ma reaffirmed Royal Gold Inc. (RGLD-Q) as his pick for the firm’s “Canada Best Ideas” list, seeing it “positioned to outperform as the company benefits from strong 2027 production growth and a return to the deal market in H2/26.”
“Other key upcoming catalysts include improving grades at Kansanshi starting in H2/26, exploration and development updates at Fourmile, and a construction decision on Great Bear in 2027/28,” he added.
In a note released before the bell, Mr. Ma said the Denver-based company offers a “robust”asset portfolio, which includes a 2.7-per-cent net value royalty on the nickel, copper, and cobalt produced at the Voisey’s Bay mine in Labrador, “at a compelling valuation.”
“The company’s top 5 assets are operated by high-quality management teams (Centerra, First Quantum, Teck, and Barrick) with long mine lives (weighted average of 21 years) in good jurisdictions,” he added. “RGLD is estimated to deliver the best production growth outlook in 2027 at 6.1 per cent, driven by higher deliveries from Kansanshi, Platreef, Robertson, and Pueblo Viejo.
“We believe the valuation gap to Wheaton Precious Metals and Franco-Nevada should narrow to approximately 2-3 times on EV/ EBITDA, as the market recognizes management’s deal track record and the quality of the assembled asset portfolio. RGLD is currently trading at an EV/2027E EBITDA of 2.5 times, which is a relative valuation discount to its larger peers WPM and FNV of 7.5 times.”
Keeping a “buy” rating for Royal shares, Mr. Ma increased his target to US$315 from US$289. The average is US$302.67.
‘We believe the market underappreciates management’s track record of accretive transactions and the quality of the underlying portfolio,“ he concluded. ”The team has demonstrated a keen ability to source and finance accretive deals over the past 5 years. Highlights include: Cortez (2022 deal, back-calculated pre-tax IRR of 12 per cent), Xavantina (2021 deal, back-calculated pre-tax IRR of 26 per cent), and Khoemacau (2019 deal, back-calculated pre-tax IRR of 22 per cent).
“We forecast the asset portfolio will deliver the best 2027 growth outlook among the big 3 royalty companies at 6.1 per cent (vs. relatively flat 2027 GEOs at both FNV and WPM), with a competitive 2030 growth outlook at 17.6 per cent (vs. FNV at 18.5 per cent and WPM at 24.9 per cent). The business also benefits from one of the most diversified portfolios in the sector with five core assets serving as cash flowing pillars rather than relying on one or more cornerstone assets for stability. RGLD’s largest asset Mt. Milligan accounts for 15 per cent of our total asset NAV.”
In separate notes released Thursday, these stocks were also reaffirmed for TD’s “Canada Best Ideas” list:
* Adentra Inc. (ADEN-T) with a “buy” rating and $46 target. Average: $48.75.
Kasia Trzaski Kopyte: “We see a straightforward equity value creation path through 2027: EBITDA recovery from cyclical lows and FCF-driven deleveraging. There is upside to our thesis from disciplined M&A and valuation expansion (neither is embedded in our estimates). We are constructive on ADENTRA as a lower-risk way to gain exposure to a gradual new housing and repair/remodel recovery.”
* CCL Industries Inc. (CCL.B-T) with a “buy” rating and $115 target. Average: $115.
Sean Steuart: “CCL is our Canada Best Idea pick in the Paper & Forest Products/Special Situations sector. We expect above-sector average EPS growth driven by market share gains, a diverse platform (across regions and applications), and resilient margins. The company’s strong liquidity position supports varied capital deployment opportunities, including organic investment, acquisitions, and shareholder returns.”
In other analyst actions:
* Seeing an attractive valuation following a recent pullback, Morgan Stanley’s Robert Kad upgraded TC Energy Corp. (TRP-T) to “overweight” from “equal-weight” with a $109 target. The average is $102.89.
* In response to the results of an updated preliminary economic assessment (PEA) for its Boumadine project in Morocco, Raymond James’ Craig Stanley hiked his Aya Gold & Silver Inc. (AYA-T) target to $45 from $32 with an “outperform” rating. Other changes include: BMO’s Kevin O’Halloran to $46 from $41 with an “outperform” rating and CIBC’s Cosmos Chiu to $48 from $41.50 with an “outperformer” rating. The average target on the Street is $43.50.
“The updated PEA has a higher NPV and IRR, longer mine life, lower grades and production, higher AISC, and similar initial capex compared to the 2025 PEA,” Mr. Stanley said.
* Canaccord Genuity’s Yuri Lynk initiated coverage of Calfrac Well Services Ltd. (CFW-T) with a “buy” rating and $11 target. The average is $8.83.
“Calfrac is a pressure pumper company serving North America and the high-growth Vaca Muerta shale play in Argentina. In our view, the company is well positioned to reap the benefits of a multi-year, board-initiated restructuring focused on aggressively reducing debt, modernizing portions of its fleet, decentralizing the business model, and improving profitability. With the balance sheet largely fixed and free cash flow (FCF) improving, we believe Calfrac is positioned to pursue opportunistic buybacks, and we see longer-term dividend initiation potential. Ultimately, capital allocation will depend on the new management team’s assessment of strategic adjacencies, especially geothermal, that could leverage Calfrac’s existing core competencies in more stable markets,” said Mr. Lynk.
* Scotia’s Mario Saric initiated coverage of Dream Unlimited Corp. (DRM-T) with a “sector outperform” rating and $25 target. The average is $34.
“We believe DRM has been viewed as a deep-value stock with total returns mostly lagging those of both REITs and the TSX, but growth prospects and corporate simplification can open DRM to a new investor base. DRM is appealing for Value (46-per-cent discount to our NAVPS), Growth (2025A-2027E fee-related earnings [FRE], and funds from operations per share [FFOPS] CAGR of 15-18 per cent), and small-cap investors alike (float of $0.5 billion),” he said.
* ATB Cormark’s Richard Gray raised his Eldorado Gold Corp. (ELD-T) target to $64 from $45 with a “sector perform” rating. The average is $62.63.
“First concentrate production at Skouries represents a meaningful derisking event for Eldorado Gold. By bringing its largest development project close to the finish line, the company has cleared a significant multi-year capex overhang and reduced its executional risk. With the majority of the heavy lifting now complete, focus shifts to the timely connection to the Greek national power grid in September 2026, a smooth ramp-up to commercial production in Q4/26, and continuing the ramp-up at its other major development project, McIlvenna Bay,” said Mr. Gray.
* CIBC’s Ty Collin increased his target for The North West Company Inc. (NWC-T) to $62 from $58 with an “outperformer” rating. The average is
“NWC’s FQ2 results showed a recovery in growth and effective management of volatile supply chain costs. We see a constructive setup for the balance of F2026 as NWC cycles more soft comps and benefits from a recent uptick in settlement payments,” said Mr. Collin.
* National Bank’s Adam Shine trimmed his target for shares of Transcontinental Inc. (TCL.A-T) to $7 from $8 with an “outperform” rating after its third-quarter results beat expectations on the Street but EBITDA fell short due to shipment delays. The average target is $7.17.
* ATB Cormark’s Zach Matheson initiated coverage of White Gold Corp. (WGO-X) with a “speculative buy” rating and $4.50 target, matching the average.
“White Gold is one of Canada’s newest early-stage developers with a focus on advancing its dominant Yukon-focused land position within the prolific Tintina Gold Belt. After recently delivering a robust PEA in August, we see now as an opportune time to look further into the company as it actively executes its largest-ever resource expansion focused drilling campaign. Backed by a newly reshaped management team with a proven history of major industry discoveries and operational expertise, White Gold remains focused on unlocking district-scale growth with numerous key catalysts incoming over the coming quarters,” said Mr. Matheson.
* ATB Cormark’s Nicholas Boychuk initiated coverage of Vancouver-based Zefiro Methane Corp. (ZEFI-NE) with an “outperform” rating and $1 target. The average is $1.25.
“ZEFI provides environmental services focused on plug-and-abandonment (P&A) operations for end-of-life and orphaned oil and gas wells, alongside carbon credit origination from methane abatement. These services are in high demand, and substantial upside in the share price will be driven by a combination of organic market share gains in corporate and government-run P&A programs, regional field service consolidation, and operating leverage. Prevailing C2027 valuation metrics of 5.4 times EV/EBITDA, 19.9 times P/E, and an 8.8-per-cent FCF yield fail to reflect this emerging growth and cash flow profile. Longer-term, ZEFI’s carbon credit monetization is additional free upside optionality for new shareholders,” said Mr. Boychuk.