Aecon Group (TSE:ARE) Hits New 12-Month High on Analyst Upgrade

Key Points

• Shares hit a 52-week high after TD raised its price target from C$49.00 to C$59.00 (TD has a buy rating); Aecon last traded around C$49.34 on volume of ~36,225 shares.
• Analyst views are mixed—five Buys and six Holds—with a MarketBeat consensus price target of C$48.29 despite several recent upward revisions from firms like Canaccord and CIBC.
• Insider and financial red flags: a director sold 125,000 shares in late March, the company reported C($0.21) EPS last quarter, carries a P/E of 224 and a payout ratio of 330% while paying a C$0.77 annualized dividend (yield ~1.5%).

Aecon Group Inc. (TSE:ARE - Get Free Report)'s stock price reached a new 52-week high on Wednesday after TD raised their price target on the stock from C$49.00 to C$59.00. TD currently has a buy rating on the stock. Aecon Group traded as high as C$49.48 and last traded at C$49.34, with a volume of 36225 shares traded. The stock had previously closed at C$48.10.

Other analysts also recently issued reports about the company. Canadian Imperial Bank of Commerce lifted their target price on Aecon Group from C$45.00 to C$48.00 in a research report on Thursday, April 9th. Desjardins lifted their target price on Aecon Group from C$43.00 to C$45.00 and gave the stock a "hold" rating in a research report on Monday, March 30th. TD Securities lifted their price objective on Aecon Group from C$47.00 to C$49.00 and gave the company a "buy" rating in a report on Monday, March 30th. Canaccord Genuity Group lifted their price objective on Aecon Group from C$40.00 to C$52.00 and gave the company a "buy" rating in a report on Monday, March 9th. Finally, Stifel Nicolaus lifted their price objective on Aecon Group from C$44.00 to C$44.50 and gave the company a "hold" rating in a report on Friday, April 17th. Five analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of C$48.29.

Insider Buying and Selling at Aecon Group

In related news, Director Eric Stuart Rosenfeld sold 125,000 shares of Aecon Group stock in a transaction dated Friday, March 27th. The stock was sold at an average price of C$41.64, for a total value of C$5,205,000.00. Following the completion of the sale, the director directly owned 184,200 shares in the company, valued at C$7,670,088. The trade was a 40.43% decrease in their ownership of the stock. 0.82% of the stock is owned by insiders.

Aecon Group Price Performance

The company has a debt-to-equity ratio of 65.17, a current ratio of 1.10 and a quick ratio of 1.27. The firm has a fifty day moving average of C$42.34 and a two-hundred day moving average of C$34.79. The stock has a market capitalization of C$3.53 billion, a P/E ratio of 224.17, a P/E/G ratio of 18.18 and a beta of 0.97.

Aecon Group (TSE:ARE - Get Free Report) last posted its earnings results on Tuesday, April 28th. The company reported C($0.21) earnings per share (EPS) for the quarter. Aecon Group had a net margin of 0.28% and a return on equity of 1.66%. The company had revenue of C$1.26 billion during the quarter. On average, analysts predict that Aecon Group Inc. will post 1.3793321 EPS for the current year.

Aecon Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, April 2nd. Shareholders of record on Thursday, April 2nd were paid a $0.1925 dividend. This represents a $0.77 annualized dividend and a yield of 1.5%. The ex-dividend date was Monday, March 23rd. Aecon Group's payout ratio is 330.43%.

Aecon Group Company Profile

Aecon Group Inc is a Canada-based company that operates in two segments: Construction and Concessions. The Construction segment includes various aspects of the construction of public and private infrastructure projects, mainly in the transportation sector. Its concessions segment is engaged in the development, financing, construction, and operation of infrastructure projects. Aecon generates the majority of its revenue from the Construction segment.

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