Chemtrade Logistics Income 6 50 Convertible Unsecured Subordinated Debentures T.CHE.DB.E

Target & Rating Changes

[ace1mccoy]

National Bank’s Zachary Evershed raised his Chemtrade Logistics Fund (CHE-UN-T +2.64%increase

) target to $14 from $13.50 with an “outperform” rating, while Desjardins Securities’ Gary Ho bumped his target to $13.25 from $13 with a “buy” rating.. The average is $12.54.

 

“CHE reported a strong 2Q beat,” said Mr. Ho. “Management raised 2024 EBITDA guidance by 7 per cent to $430460-milllion —incorporating the 2Q beat, we raised our 2024/25 estimates. We are encouraged by CHE’s priority toward buybacks given the current attractive valuation (as well as dilution from ITM converts), followed by organic growth and, lastly, moderate M&A. We continue to believe its Arizona project would be a prudent way to deploy capital.”