Scotiabank Has Bearish Forecast for Stantec FY2027 Earnings

Key Points

• Scotiabank cut its FY2027 earnings estimate for Stantec to $6.35 per share from $6.68, while keeping a Sector Outperform rating and a $133 target price.
• Stantec’s latest quarterly results showed C$1.33 EPS on revenue of C$2.07 billion, with a return on equity of 15.21% and a net margin of 6.19%.
• Despite mixed analyst target revisions, sentiment remains constructive overall: 13 analysts rate the stock Buy, and MarketBeat shows a consensus Buy rating with an average price target of C$146.00.

Stantec Inc. (TSE:STN - Free Report) NYSE: STN - Scotiabank reduced their FY2027 earnings estimates for shares of Stantec in a note issued to investors on Wednesday, July 15th. Scotiabank analyst J. Goldman now forecasts that the company will earn $6.35 per share for the year, down from their prior forecast of $6.68. Scotiabank currently has a "Sector Outperform" rating and a $133.00 target price on the stock.

Stantec (TSE:STN - Get Free Report) NYSE: STN last issued its earnings results on Wednesday, May 13th. The company reported C$1.33 EPS for the quarter. Stantec had a return on equity of 15.21% and a net margin of 6.19%.The business had revenue of C$2.07 billion during the quarter.

A number of other equities analysts have also weighed in on the company. Scotia lowered their target price on Stantec from C$146.00 to C$138.00 and set a "sector outperform" rating on the stock in a research report on Friday, May 15th. National Bank Financial decreased their price target on shares of Stantec from C$143.00 to C$120.00 and set an "outperform" rating for the company in a research note on Monday. Desjardins lowered their price objective on shares of Stantec from C$178.00 to C$171.00 and set a "buy" rating on the stock in a report on Friday, May 15th. ATB Cormark Capital Markets raised shares of Stantec from a "hold" rating to a "moderate buy" rating and dropped their price objective for the company from C$157.00 to C$130.00 in a research note on Friday, May 15th. Finally, BMO Capital Markets dropped their price objective on shares of Stantec from C$175.00 to C$154.00 and set an "outperform" rating on the stock in a research note on Friday, May 15th. Thirteen analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, Stantec currently has a consensus rating of "Buy" and an average price target of C$146.00.

Stantec Stock Up 2.6%

Shares of TSE:STN opened at C$98.98 on Friday. The company has a debt-to-equity ratio of 76.67, a quick ratio of 1.46 and a current ratio of 1.35. Stantec has a 52-week low of C$94.79 and a 52-week high of C$160.05. The business's 50 day simple moving average is C$101.85 and its two-hundred day simple moving average is C$118.38. The firm has a market cap of C$11.29 billion, a P/E ratio of 23.07, a PEG ratio of 1.46 and a beta of 0.71.

Insider Activity at Stantec

In related news, Director Clayton Bock acquired 1,485 shares of the firm's stock in a transaction that occurred on Friday, June 26th. The stock was acquired at an average price of C$94.85 per share, for a total transaction of C$140,852.25. Following the completion of the acquisition, the director owned 4,895 shares of the company's stock, valued at approximately C$464,290.75. This represents a 43.55% increase in their position. Also, Director Douglas Keith Ammerman bought 681 shares of the company's stock in a transaction on Thursday, July 2nd. The stock was bought at an average price of C$97.84 per share, for a total transaction of C$66,629.04. Following the completion of the purchase, the director owned 42,512 shares of the company's stock, valued at approximately C$4,159,374.08. The trade was a 1.63% increase in their ownership of the stock. Corporate insiders own 0.27% of the company's stock.

About Stantec

Stantec empowers clients, people, and communities to rise to the world's greatest challenges at a time when the world faces more unprecedented concerns than ever before. We are a global leader in sustainable engineering, architecture, and environmental consulting. Our professionals deliver the expertise, technology, and innovation communities need to manage aging infrastructure, demographic and population changes, the energy transition, and more. Today's communities transcend geographic borders.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.