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South Bow Posts Solid 2025 Results, Brings Blackrod Project Online and Maintains Dividend

Tipranks - Fri Mar 6, 7:18PM CST

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South Bow Corp ( (TSE:SOBO) ) has provided an update.

South Bow Corp. reported 2025 results that underscored strong safety and operational performance, with a zero recordable case rate and average throughput of about 584,000 barrels per day on the Keystone Pipeline and 718,000 barrels per day on its U.S. Gulf Coast segment. The company advanced the Blackrod Connection Project, which entered commercial service on March 1, 2026, and continued remedial work following the Milepost 171 incident, while an independent root cause analysis confirmed the pipe and welds met industry standards.

Financially, revenue reached $1.99 billion in 2025, with net income of $433 million and normalized EBITDA of $1.02 billion, slightly above guidance despite lower contributions from uncommitted capacity and marketing activities. South Bow generated $709 million in distributable cash flow, modestly reduced leverage to 4.7 times net debt-to-normalized EBITDA, returned $416 million in dividends to shareholders, declared a further quarterly payout, and continued to mature both organic and inorganic growth options to support future crude oil transport demand.

The most recent analyst rating on (TSE:SOBO) stock is a Buy with a C$41.00 price target. To see the full list of analyst forecasts on South Bow Corp stock, see the TSE:SOBO Stock Forecast page.

Spark’s Take on TSE:SOBO Stock

According to Spark, TipRanks’ AI Analyst, TSE:SOBO is a Neutral.

The score is driven primarily by solid profitability but constrained by high leverage and weakening recent revenue/FCF trends. Technicals are mildly constructive with neutral momentum, while valuation is supported by a high dividend yield and a moderate P/E. Earnings-call guidance points to stable EBITDA and good project execution, tempered by ongoing operational restrictions into 2026.

To see Spark’s full report on TSE:SOBO stock, click here.

More about South Bow Corp

South Bow Corp., listed on the TSX and NYSE, operates the Keystone Pipeline System and related U.S. Gulf Coast assets, transporting crude oil from Western Canada to U.S. markets. The company focuses on highly contracted, pipeline-based cash flows, serving producers in the Western Canadian Sedimentary Basin and refiners on the U.S. Gulf Coast.

Average Trading Volume: 1,077,134

Technical Sentiment Signal: Buy

Current Market Cap: C$9.41B

Learn more about SOBO stock on TipRanks’ Stock Analysis page.

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