US Capital Advisors Expects Higher Earnings for South Bow

Key Points

• US Capital Advisors has revised its Q2 2025 EPS estimate for South Bow to $0.39, a rise from the previous estimate of $0.34.
• South Bow has recently declared a quarterly dividend of $0.50, representing an annualized yield of 7.76% with a payout ratio of 108.11%.
• The stock currently holds an average target price of $28.80 and an average rating of "Hold" according to MarketBeat data.

South Bow Corporation (NYSE:SOBO - Free Report) - Stock analysts at US Capital Advisors upped their Q2 2025 earnings per share estimates for shares of South Bow in a note issued to investors on Monday, July 28th. US Capital Advisors analyst J. Carreker now expects that the company will post earnings per share of $0.39 for the quarter, up from their prior estimate of $0.34. The consensus estimate for South Bow's current full-year earnings is $1.74 per share. US Capital Advisors also issued estimates for South Bow's Q3 2025 earnings at $0.33 EPS, Q4 2025 earnings at $0.38 EPS, Q4 2026 earnings at $0.48 EPS and FY2026 earnings at $1.86 EPS.

South Bow (NYSE:SOBO - Get Free Report) last announced its quarterly earnings data on Thursday, May 15th. The company reported $0.47 earnings per share for the quarter, beating analysts' consensus estimates of $0.42 by $0.05. The firm had revenue of $498.00 million for the quarter, compared to analysts' expectations of $527.00 million. South Bow's revenue for the quarter was down 8.5% on a year-over-year basis.

Several other equities analysts have also issued reports on SOBO. CIBC raised their price target on South Bow from $25.00 to $26.00 and gave the stock a "neutral" rating in a research report on Tuesday, July 22nd. Royal Bank Of Canada restated an "outperform" rating and set a $38.00 price target on shares of South Bow in a research report on Monday, May 19th. Two equities research analysts have rated the stock with a sell rating, eight have given a hold rating, one has issued a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $28.80.

South Bow Trading Up 0.4%

SOBO traded up $0.10 on Tuesday, hitting $26.36. 412,760 shares of the company were exchanged, compared to its average volume of 858,149. The firm has a fifty day simple moving average of $26.33 and a two-hundred day simple moving average of $25.44. The company has a debt-to-equity ratio of 2.20, a quick ratio of 1.20 and a current ratio of 1.29. South Bow has a 12 month low of $21.12 and a 12 month high of $27.60. The stock has a market capitalization of $5.49 billion and a PE ratio of 14.25.

South Bow Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, July 15th. Stockholders of record on Monday, June 30th were given a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a dividend yield of 7.6%. The ex-dividend date was Monday, June 30th. South Bow's dividend payout ratio (DPR) is currently 108.11%.

Institutional Investors Weigh In On South Bow

A number of large investors have recently made changes to their positions in SOBO. HighTower Advisors LLC boosted its position in shares of South Bow by 0.4% during the first quarter. HighTower Advisors LLC now owns 112,769 shares of the company's stock valued at $2,878,000 after purchasing an additional 451 shares in the last quarter. Vanguard Personalized Indexing Management LLC boosted its position in shares of South Bow by 4.4% during the second quarter. Vanguard Personalized Indexing Management LLC now owns 14,565 shares of the company's stock valued at $378,000 after purchasing an additional 616 shares in the last quarter. Mutual Advisors LLC boosted its position in shares of South Bow by 3.3% during the second quarter. Mutual Advisors LLC now owns 28,409 shares of the company's stock valued at $737,000 after purchasing an additional 904 shares in the last quarter. Caitong International Asset Management Co. Ltd boosted its position in shares of South Bow by 150.0% during the second quarter. Caitong International Asset Management Co. Ltd now owns 1,550 shares of the company's stock valued at $40,000 after purchasing an additional 930 shares in the last quarter. Finally, Louisbourg Investments Inc. bought a new stake in South Bow in the first quarter worth $31,000.

About South Bow

South Bow Corp is a strategic liquids pipeline company. It is a new liquids-focused midstream infrastructure company. South Bow Corp is based in Canada.