Metro (TSE:MRU) Lowered to "Market Perform" Rating by BMO Capital Markets

Key Points

• BMO Capital Markets downgraded Metro from “outperform” to “market perform” and cut its price target to C$95 from C$105, implying only modest upside from the current share price.
• Other analysts have also turned more cautious on the stock, with several recent target cuts and mostly Hold/Neutral ratings. MarketBeat data shows Metro now has a consensus Hold rating and a consensus target price of C$102.38.
• Metro shares fell 1.4% to C$92.71 on Monday. The company recently reported C$1.11 EPS on C$5.11 billion in quarterly revenue, and analysts expect about 4.82 EPS for the current fiscal year.

Metro (TSE:MRU - Get Free Report) was downgraded by research analysts at BMO Capital Markets from an "outperform" rating to a "market perform" rating in a research report issued on Monday,BayStreet.CA reports. They currently have a C$95.00 price target on the stock, down from their prior price target of C$105.00. BMO Capital Markets' price target would suggest a potential upside of 2.47% from the company's current price.

Other equities research analysts have also issued reports about the company. Desjardins reduced their target price on Metro from C$99.00 to C$97.00 and set a "hold" rating for the company in a report on Thursday, April 23rd. National Bank Financial set a C$105.00 price target on shares of Metro and gave the company a "sector perform" rating in a research report on Tuesday, June 30th. Scotiabank cut shares of Metro from an "outperform" rating to a "hold" rating and set a C$103.00 price objective for the company. in a research note on Thursday, April 9th. Canadian Imperial Bank of Commerce decreased their price objective on shares of Metro from C$101.00 to C$97.00 and set a "neutral" rating for the company in a report on Thursday, April 23rd. Finally, Scotia lowered their target price on shares of Metro from C$103.00 to C$96.00 and set a "sector perform" rating on the stock in a research note on Thursday, April 23rd. One research analyst has rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of C$102.38.

Metro Stock Down 1.4%

MRU traded down C$1.31 during midday trading on Monday, hitting C$92.71. 196,201 shares of the company's stock traded hands, compared to its average volume of 531,002. The company has a debt-to-equity ratio of 69.30, a current ratio of 1.43 and a quick ratio of 0.41. The company has a market cap of C$19.56 billion, a PE ratio of 19.77, a price-to-earnings-growth ratio of 4.06 and a beta of 0.16. Metro has a one year low of C$86.63 and a one year high of C$107.78. The stock's fifty day simple moving average is C$90.99 and its 200-day simple moving average is C$93.72.

Metro (TSE:MRU - Get Free Report) last issued its quarterly earnings data on Wednesday, April 22nd. The company reported C$1.11 earnings per share (EPS) for the quarter. The firm had revenue of C$5.11 billion during the quarter. Metro had a net margin of 4.52% and a return on equity of 14.38%. As a group, equities analysts anticipate that Metro will post 4.8188614 earnings per share for the current fiscal year.

Metro Company Profile

With annual sales of more than $22 billion, METRO Inc is a food and pharmacy leader in Québec and Ontario, providing employment to more than 97,000 people. Its purpose is to Nourish the health and well-being of our communities. As a retailer, franchisor, distributor, manufacturer, and provider of eCommerce services, the company operates or services a network of some 1,000 food stores under several banners including Metro, Metro Plus, Super C, Food Basics, Adonis and Première Moisson, and some 640 pharmacies primarily under the Jean Coutu, Brunet, Metro Pharmacy and Food Basics Pharmacy banners.

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