National Bank Resuming coverage following the close of its US$282.9-million treasury offering, National Bank’s Maxim Sytchev cut his target for ATS Corp. to $65 from $66, keeping an “outperform” rating, while TD Securities’ Cherilyn Radbourne trimmed her target to $71 from $72. The average is $69.67.
“The talk around U.S. listing and potential capital deployment has been part and parcel of the investment thesis for some time,” said Mr. Sytchev. “One, of course, has to keep in mind that listing does not only equal automatically greater liquidity, access, etc. but also greater scrutiny vs. larger and sometimes more profitable / cheaper multi-industry firms in the U.S. Given current geopolitical backdrop of decoupling manufacturing capacity from Asia, we don’t see much necessity to rethink our thesis, especially in light of future (likely healthcare) M&A, that, based on our numbers, would be EPS-/ capability-additive.”