Two Raised TargetsThis was later added to the National Bank article. GLTA
Elsewhere, others making changes include:
* Scotia Capital’s George Doumet to $27 from $25 with a “sector outperform” rating.
“We believe organic margins have troughed and expect more gradual improvement over the near to medium term (which we believe will also be supportive of the current recovery in the company’s trading multiple). Furthermore, we continue to like NBLY’s defensive characteristics and see substantial FCF generation over the NTM [next 12 months] – allowing it to attain (at least) the lower end of its 35-40 acquisition cadence, in a leverage-neutral manner,” said Mr. Doumet.
* BMO’s Peter Sklar to $25 from $20 with a “market perform” rating.
“Following a disappointing FQ1/23, Neighbourly reported a more positive FQ2/23 with stronger same-store-sales and improved margin, reflecting operating leverage over its corporate costs (a previous issue). Given this improvement, the stock rebounded sharply [on Tuesday] ... However, the stock has declined from $40 to the $20-level this year, and today’s $2+ bounce, although large in terms of percentage return, should be seen in the overall context of that decline. [Tuesday’s] quarterly result was essentially in line, we consider Neighbourly to be appropriately valued,” he said.