THE ANALYSTS WEIGH IN, & THOUGHTSAnalysts do important work. They're certainly not always right, but typically the "collective" view proves to be right. Most projections call for a given price target oer the next year. I'm pleasantly surprised to see how supportive the analysts are of Bombardier on the whole. Again, the current price is certainly below the analysts' calls, but that is what is making Bomardier attractive at these prices.
All of the analyst coverage noted below is within the past few months.
1) BMO Capital BUY rating, target of $63.00. Rating confirmed 06/26/22 (Fadi Chamoun)
2) TD Securities BUY rating, target of $79.66, Rating confirmed 06/20/22 (Tim James)
3) Barclays SELL rating, target of $27.00. Rating confimed 06/20/22 (David Strauss)
4) CIBC HOLD rating, target of $36.00. Rating confirmed 06/20/22 (Kevin Chiang)
5) RBC Capital BUY Rating, target of $56.00. Rating confirmed 06/13/22 (Walter Spracklin)
6) Scotialbank BUY rating, target of $55.00. Rating confirmed 06/13/22
7) Desjardins BUY rating target of $80.00. Rating confirmed 06/12/22 (Benoit Poirier)
8) UBS BUY rating, tartet of $50.00. Rating upgraded 05/17/22 (Myles Walton)
9) Vertical Research BUY rating, target of $55.00. Rating upgraded 05/05/22 (Robert Stallard)
10) Cowen & Co HOLD rating, target of $35.33, confirmed 05/04/22 (Cayvon Rumohr)
11) National Bank BUY rating, target of $66.25, confirmed 02/10/22 (Cameron Doerksen)
A couple of points and observations here:
1) That's 8 BUY ratings, 2 HOLD ratings, and one SELL rating.
2) The AVERAGE price target of all ratings is $53.69, which represents an 173.26% whopping increase over the current share price. Again, this value is the AVERAGE of analyst calls.
3) The two HOLD ratings are BOTH have price tarkets over the current share price, one by about 90%, (target of $36.00) and the other by about 85% (target of $35.33)
4) Even the solo SELL rating has a price target ABOVE the current price, at $27.00
5) The two upgraded recommendations (from Hold to buy) are very nice to see, further tipping the scale in Bombardier's favour.
6) Further suppporting the thought that Bombardier is currently vastly oversold, the average price target of $53.69 represents a massive gain for anyone purchasing shares at current price levels. Now, you could take the opposite arguement and suggest the analysts are out to lunch with their projections. Again though, I find the collective thought by them to pan out to be true far more often than not, and with that, I believe the opportunity to buy is certainly there.
As the brutal saying goes, "Buy when there's blood in the streets."