More Raised Targets Scotia’s Phil Hardie raised his Element Fleet Management Corp. target to $27 from $26 with a “sector outperform” rating. Other changes include: CIBC’s Paul Holden to $26 from $25 with an “outperformer” rating and National Bank’s Jaeme Gloyn to $33 from $31 with an “outperform” rating. The average is $28.22.
“Element kicked off 2024 with continued earnings and operational momentum that drove Core EPS ahead of Street expectations,” said Mr. Hardie. “The solid results strongly support our investment thesis that, over the next 12 months, EFN can deliver upperteens shareholder returns through a combination of EPS growth and dividend yield alone. Multiple expansion, supported by growing confidence in EFN’s ability to sustain solid earnings momentum over the mid-term, provides additional upside potential to our target price and outlook. Despite the strong start to the year, management reiterated guidance but commented that they are confident in the company’s ability to meet or exceed the upper range of targets across most metrics. Given the current operational momentum, we see a high probability that management will raise its targets next quarter, which we view as the next catalyst for the stock.”