Finance

Big Moves in the Market: Analyst Upgrades and Downgrades You Can't Ignore!

2025-06-13

Author: Amelia

Andrew Peller Ltd. (ADW-A-T) Gets a Boost

In a positive turn, Luke Hannan from Canaccord Genuity has kept his ‘buy’ recommendation for Andrew Peller Ltd. following the Canadian winemaker’s promising fourth-quarter financial results. Hannan has upped the stock’s target price from $10 to $13, citing anticipated growth and cost reductions in the Canadian wine sector.

Hannan stated, 'In fiscal 2025, Andrew Peller solidified its market dominance across key areas, thanks to its stellar performance in big box retail that exceeded management’s expectations.' He now values the stock at 11 times his fiscal 2026 EBITDA estimate of $65 million, higher than the previous year's $54 million.

Transat A.T. Inc. (TRZ-T): Price Target Raised... But Is It Enough?

On a cautiously optimistic note, Konark Gupta from Bank of Nova Scotia has raised Transat A.T. Inc.’s price target to $2 up from $1.75, buoyed by better-than-expected earnings and a successful debt restructuring.

However, Gupta remains skeptical, as the new target is still below Transat’s current share price of $2.48, which has dropped over 11% recently. He stresses the risks stemming from high leverage and volatile market conditions.

Boom or Bust? Methanex Corp. (MX-T) Reacts to Global Instability

In light of Israel’s recent attack on Iran, Steven Hansen of Raymond James projects a potential surge for Methanex Corp., a leading exporter of methanol, following rising crude oil prices.

Hansen highlights that while no methanol plants were directly affected, geopolitical tensions could lead to increased prices: 'Higher oil prices are expected to drive methanol prices up as well.' He maintains an ‘outperform’ recommendation with a target price of $40, significantly higher than the $34.43 close on the Nasdaq.

Telus Corp. (T-T) Takes Steps to Address Shareholder Concerns

Telus has proposed to buy back shares of its spinoff, Telus Digital, for $3.40 each, offering a glimmer of hope to beleaguered shareholders. Following the announcement, shares jumped 22.7% but remain far below the original $25 debut price from 2021.

Analyst Maher Yaghi from Bank of Nova Scotia cautions that it may be premature to assume the deal will be finalized without further incentives for approval. Despite this, he keeps a positive outlook on Telus with a target price of $24.50, suggesting that resolving the spinoff could pave the way for a possible liquidity event in its Healthcare division by 2026-2027.

K-Bro Linen Inc. (KBL-T): Expansion Through Acquisition

K-Bro Linen Inc. recently acquired U.K.-based STAR Mayan Ltd. for £107.2 million, prompting Derek Lessard of TD Securities to raise his price target from $49 to $50 while maintaining a ‘buy’ stance.

Lessard notes that this acquisition enhances K-Bro’s footprint in the U.K. market and increases its healthcare exposure. He anticipates significant benefits from new bidding opportunities and efficiencies, adding, 'These shares, despite being below historical averages, represent an excellent value at the current pricing.'

AtkinsRealis Group Inc. (ATRL-T) Seizes Opportunities in Nuclear Energy

Krista Friesen from CIBC Capital Markets has upped her target for AtkinsRealis from $92 to $106 following the sale of its stake in Ontario’s Highway 407. This move provides the company with a surplus of $2.2 billion, enabling debt repayment, share buybacks, and strategic acquisitions.

Friesen is particularly bullish on AtkinsRealis's nuclear division, highlighting a 185% increase in their project backlog, now valued at $5.2 billion, and projecting increased revenues in the coming years.”},{