Canadian Imperial Bank of Commerce Cuts Stella-Jones (TSE:SJ) Price Target to C$82.00

Key Points

• Canadian Imperial Bank of Commerce cut Stella-Jones’ price target to C$82 from C$87, implying only modest upside from the current share price.
• Other analysts have also trimmed expectations recently, with multiple firms lowering price targets and National Bank Financial downgrading the stock to hold. Even so, the consensus rating remains Moderate Buy with an average target of C$94.38.
• Stella-Jones shares were down about 1.1% to C$78.65, while the company reported quarterly EPS of C$1.12 on revenue of C$791 million in its latest earnings release.

Stella-Jones (TSE:SJ - Get Free Report) had its target price cut by Canadian Imperial Bank of Commerce from C$87.00 to C$82.00 in a research report issued to clients and investors on Thursday,BayStreet.CA reports. Canadian Imperial Bank of Commerce's price target points to a potential upside of 4.26% from the stock's current price.

SJ has been the subject of several other research reports. National Bank Financial cut shares of Stella-Jones from an "outperform" rating to a "hold" rating and dropped their price target for the company from C$107.00 to C$95.00 in a research report on Wednesday, April 8th. TD decreased their price objective on shares of Stella-Jones from C$106.00 to C$93.00 and set a "buy" rating on the stock in a research report on Monday, May 11th. Desjardins decreased their price objective on shares of Stella-Jones from C$107.00 to C$104.00 and set a "buy" rating on the stock in a research report on Thursday, May 7th. Scotiabank lowered their price objective on shares of Stella-Jones from C$99.00 to C$97.00 and set a "sector outperform" rating for the company in a research note on Tuesday, April 28th. Finally, Raymond James Financial dropped their target price on shares of Stella-Jones from C$100.00 to C$95.00 and set an "outperform" rating for the company in a report on Thursday, May 7th. Five research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of C$94.38.

Stella-Jones Trading Down 1.1%

SJ stock traded down C$0.88 during midday trading on Thursday, hitting C$78.65. The company had a trading volume of 106,099 shares, compared to its average volume of 148,783. The company has a current ratio of 4.96, a quick ratio of 1.20 and a debt-to-equity ratio of 80.71. Stella-Jones has a 52 week low of C$69.94 and a 52 week high of C$101.31. The stock's 50 day moving average price is C$78.63 and its 200 day moving average price is C$86.72. The stock has a market cap of C$4.29 billion, a price-to-earnings ratio of 14.25, a PEG ratio of 2.40 and a beta of -0.07.

Stella-Jones (TSE:SJ - Get Free Report) last released its quarterly earnings data on Wednesday, May 6th. The company reported C$1.12 earnings per share for the quarter. Stella-Jones had a return on equity of 14.85% and a net margin of 8.66%.The firm had revenue of C$791.00 million during the quarter. As a group, equities research analysts expect that Stella-Jones will post 6.4457565 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, Director Kevin Patrick Comerford acquired 500 shares of the firm's stock in a transaction on Monday, May 11th. The stock was acquired at an average price of C$72.06 per share, for a total transaction of C$36,030.00. Following the completion of the acquisition, the director owned 6,176 shares in the company, valued at C$445,042.56. This trade represents a 8.81% increase in their ownership of the stock. Also, Director Kenner James acquired 937 shares of the stock in a transaction on Tuesday, May 12th. The shares were purchased at an average cost of C$73.22 per share, with a total value of C$68,607.14. Following the transaction, the director directly owned 1,834 shares of the company's stock, valued at approximately C$134,285.48. This trade represents a 104.46% increase in their position. Over the last 90 days, insiders bought 3,443 shares of company stock worth $247,814. 0.14% of the stock is owned by corporate insiders.

About Stella-Jones

Stella-Jones Inc produces and sells lumber and wood products. The company operates in two segments: Pressure-treated wood, which includes utility poles, railway ties, residential lumber, and industrial products; and Logs & Lumber segment comprises of the sales of logs harvested in the course of the company's procurement process that is determined to be unsuitable for use as utility poles, it also includes the sale of excess lumber to local home-building markets. The vast majority of its revenue comes from the Pressure-treated wood segment.

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