South Bow (NYSE:SOBO) Stock Rating Raised to "Hold" at Wall Street Zen

Key Points

• Wall Street Zen upgraded South Bow from “sell” to “hold.” Analysts overall also remain cautious, with a consensus “Hold” rating and an average price target of $33.00.
• South Bow reported quarterly EPS of $0.50, exceeding the $0.45 consensus estimate, while revenue reached $546 million versus expectations of $496.87 million.
• The stock opened at $33.83, with a $7.06 billion market capitalization and a 52-week trading range of $25.01 to $39.02; several institutional investors recently increased or initiated holdings.

South Bow (NYSE:SOBO - Get Free Report) was upgraded by Wall Street Zen from a "sell" rating to a "hold" rating in a report released on Saturday, Wall Street Zen reports.

A number of other analysts have also recently weighed in on the stock. Barclays increased their price target on shares of South Bow from $34.00 to $35.00 and gave the stock an "equal weight" rating in a research note on Friday, August 7th. Royal Bank Of Canada restated an "outperform" rating on shares of South Bow in a research note on Monday, August 10th. Weiss Ratings cut shares of South Bow from a "buy (a-)" rating to a "buy (b+)" rating in a report on Tuesday, September 8th. TD Securities reiterated a "hold" rating on shares of South Bow in a research note on Thursday, July 16th. Finally, Scotiabank raised their price target on South Bow from $36.00 to $39.00 and gave the stock a "sector perform" rating in a report on Tuesday, July 21st. Four investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, South Bow presently has an average rating of "Hold" and a consensus target price of $33.00.

South Bow Trading Up 0.9%

NYSE:SOBO opened at $33.83 on Friday. The company has a market capitalization of $7.06 billion, a PE ratio of 15.31 and a beta of 0.22. South Bow has a 52-week low of $25.01 and a 52-week high of $39.02. The stock's 50 day moving average price is $36.26 and its 200 day moving average price is $35.65. The company has a quick ratio of 1.44, a current ratio of 1.52 and a debt-to-equity ratio of 2.15.

South Bow (NYSE:SOBO - Get Free Report) last issued its quarterly earnings data on Wednesday, August 5th. The company reported $0.50 earnings per share for the quarter, beating analysts' consensus estimates of $0.45 by $0.05. The company had revenue of $546.00 million during the quarter, compared to analysts' expectations of $496.87 million. South Bow had a return on equity of 15.84% and a net margin of 22.99%. On average, research analysts anticipate that South Bow will post 1.88 EPS for the current year.

Institutional Investors Weigh In On South Bow

Hedge funds and other institutional investors have recently modified their holdings of the stock. Capital International Investors grew its holdings in shares of South Bow by 0.6% in the 4th quarter. Capital International Investors now owns 15,483,085 shares of the company's stock worth $425,840,000 after acquiring an additional 94,772 shares during the period. Clearbridge Investments LLC grew its holdings in South Bow by 3.0% in the fourth quarter. Clearbridge Investments LLC now owns 7,262,965 shares of the company's stock valued at $199,514,000 after purchasing an additional 209,864 shares during the last quarter. Thornburg Investment Management Inc. increased its position in shares of South Bow by 2.4% in the second quarter. Thornburg Investment Management Inc. now owns 3,721,332 shares of the company's stock valued at $130,974,000 after buying an additional 88,457 shares in the last quarter. Cibc World Market Inc. acquired a new position in shares of South Bow during the 2nd quarter worth $119,802,000. Finally, Connor Clark & Lunn Investment Management Ltd. acquired a new position in shares of South Bow during the 2nd quarter worth $97,830,000.

About South Bow

South Bow Corp. NYSE: SOBO is a midstream energy company focused on the transportation and handling of crude oil. The company owns and operates liquids pipeline infrastructure that connects Western Canadian production with refining and export markets in the United States.

Its principal asset is the Keystone Pipeline System, which transports crude oil from Canada to destinations in the U.S. Midwest and along the U.S. Gulf Coast. South Bow also operates related gathering, transportation and storage assets that support producers, refiners and other customers across the North American energy network.

South Bow was established as an independent publicly traded company through the separation of TC Energy's liquids pipelines business, which was completed in 2024.

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