Aecon Group Inc T.ARE

Alternate Symbol(s): AEGXF

Industrials Conglomerates

Aecon Group Inc. is a Canada-based construction and infrastructure development company. The Company delivers integrated solutions to private and public sector clients throughout Canada and other countries. It operates through two segments within the infrastructure development industry: Construction and Concessions. Its Construction segment includes all aspects of the construction of both public and private infrastructure, primarily in Canada, and internationally and focuses primarily on the civil infrastructure, urban transportation solutions, nuclear power infrastructure, utility infrastructure and industrial infrastructure. Its Concessions segment include the development, financing, build and operation of construction projects primarily by way of public-private partnership contract structures, as well as integrating the services of all project participants. The Company’s projects include Annacis Water Supply Tunnel, Bell Canada Gigabit Fiber Service, Finch West LRT, and others.

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Aecon Group Inc > Michael Sprung - BNN - Top Pick

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Post by Possibleidiot01on May 02, 2023 4:42pm

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Post# 35426084

Michael Sprung - BNN - Top Pick

Aecon Group (ARE TSX)

Owned personally and by clients, last purchase October 2022 at $10.45

Aecon is a leading construction and infrastructure company. With the recent sales of a 49.9 per cent minority stake in the Bermuda International Airport concession for US$128.5 million and the sale of the Ontario road-building business for $235 million, ARE is in a much stronger financial position. The four remaining problem fixed-price contracts should be substantially completed by next year. Aecon is now in a position to concentrate on more lucrative contracts in a robust bidding environment. At current levels, the stock is yielding near 5.9 per cent.

stockchase.com

TOP PICK

Finally some good news for them--sold 49.9% stake in the Bermuda airport (finally), and they just sold their Ontario road construction business. Are in much stronger financial position. Four legacy contracts at a fixed price will run out end-2023/early-2024. After that will be strong margin expansion. Pays around a 6% dividend and trades at a good PE vs. peers.

(Analysts’ price target is $16.09)

contractors

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