More Upgrades Finning International Inc. enters 2022 on a “solid footing,” said Canaccord Genuity’s Yuri Lynk following better-than-expected fourth-quarter results.
He was one of several equity analysts on the Street to raise their price target for shares of the Vancouver-based Caterpillar dealer.
“Having exceeded mid-cycle targets for EPS and ROIC two quarters ahead of schedule, management expects upcycle demand in 2022,” said Mr. Lynk. “Management continues to target mid-teens and above EPS growth during a sustained upcycle, which at the low end implies $2.51 EPS in 2022 from the 2021 base of $2.18. Upcycle demand conditions are supported by ongoing economic growth and commodity prices strength, which in the current constrained supply environment should continue to drive strong demand for used equipment, rentals, and rebuilds.”
Mr. Lynk bumped his target to $46 from $44 with a “buy” rating. The average is $44.67.
Others making changes include:
* RBC’s Sabahat Khan to $47 from $43 with an “outperform” rating.
* TD Securities’ Cherilyn Radbourne to $46 from $45 with a “buy” rating.
* BMO’s Devin Dodge to $38 from $35 with a “market perform” rating.