RBC analyst Nelson Ng cut his price target on Superior Plus Corp (
) to C$13 from C$15, citing several headwinds and uncertainties for Certarus, a North American low carbon energy solutions provider it acquired last year. It’s now the main growth driver at Superior Plus.
“We believe the recently announced departure of Certarus’ CEO Curtis Philippon results in some uncertainty for the business as Mr. Philippon played a key role in Certarus’ growth in the past decade. Although we expect an internal candidate will be appointed to lead Certarus, it could take some time to build market confidence. We also see headwinds from potential underutilized mobile storage units (MSUs) and competitive margin pressure.”
He continues to rate Superior Plus “outperform”.