Raymond James Raymond James’ Frederic Bastien raised his AtkinsRalis Group Inc. target to $70 from $62, exceeding the $66 average on the Street with an “outperform” rating in a note titled Investor Day 2024: Pivot Complete; Profitable Growth Now In Focus.
“AtkinsRalis’ predominantly Canadian investor base spent so much time focusing on the firm’s myriad problems domestically that it was oblivious to its momentum abroad,” he said. “Not anymore. We returned from last week’s Investor Day in Toronto impressed with ATRL’s 2025–2027 Strategic Plan to Deliver Excellence and Drive Growth, and confident in the leadership team’s ability to build further shareholder value from here. In our opinion, AtkinsRalis can leverage its highly connected global organization and end-to-end capabilities to drive above-average organic growth and margin gains in Engineering Services. There are also opportunities for the firm to roll up small engineering firms to accelerate its ‘Land and Expand’ strategy in the US. On the nuclear side, ATRL is entering a super cycle in enviable position, with exclusive rights to service CANDU reactors and its global reputation as a leader for asset performance. For all these reasons, we reaffirm our constructive recommendation on the stock.”