Scotiabank Has Bearish Forecast for TSE:CU FY2027 Earnings

Key Points

• Scotiabank cut its FY2027 EPS forecast for Canadian Utilities slightly to $2.53 from $2.57, versus a consensus current-year estimate of $2.41 per share.
• Several major banks have raised price targets while maintaining cautious ratings—average target is C$46.50 and analysts' consensus rating remains Hold/Sector Perform.
• Canadian Utilities reported Q4 EPS of C$0.72 on C$971M revenue, but carries a very high valuation and leverage with a PE of 322.87 and debt-to-equity of 194.86.

Canadian Utilities Limited (TSE:CU - Free Report) - Research analysts at Scotiabank cut their FY2027 earnings per share (EPS) estimates for shares of Canadian Utilities in a research report issued on Friday, May 1st. Scotiabank analyst R. Hope now forecasts that the company will post earnings of $2.53 per share for the year, down from their previous forecast of $2.57. The consensus estimate for Canadian Utilities' current full-year earnings is $2.41 per share.

Canadian Utilities (TSE:CU - Get Free Report) last posted its earnings results on Thursday, February 26th. The company reported C$0.72 earnings per share (EPS) for the quarter. Canadian Utilities had a return on equity of 1.74% and a net margin of 3.22%.The business had revenue of C$971.00 million during the quarter.

Several other equities research analysts have also recently commented on CU. Canadian Imperial Bank of Commerce boosted their price objective on shares of Canadian Utilities from C$47.00 to C$51.00 in a research report on Monday, April 20th. National Bank Financial increased their target price on Canadian Utilities from C$43.00 to C$45.00 and gave the stock a "sector perform" rating in a report on Friday, February 27th. Royal Bank Of Canada lifted their price target on Canadian Utilities from C$43.00 to C$49.00 and gave the company a "sector perform" rating in a research note on Friday, February 27th. Finally, TD Securities upped their price objective on Canadian Utilities from C$41.00 to C$47.00 and gave the stock a "hold" rating in a research report on Tuesday, March 3rd. Four equities research analysts have rated the stock with a Hold rating, According to MarketBeat.com, the stock has an average rating of "Hold" and an average target price of C$46.50.

Canadian Utilities Price Performance

Canadian Utilities stock opened at C$48.43 on Monday. The company has a 50 day moving average of C$48.47 and a 200-day moving average of C$44.53. The company has a quick ratio of 1.30, a current ratio of 1.56 and a debt-to-equity ratio of 194.86. Canadian Utilities has a twelve month low of C$36.23 and a twelve month high of C$51.05. The stock has a market capitalization of C$13.18 billion, a PE ratio of 322.87, a price-to-earnings-growth ratio of 2.38 and a beta of 0.55.

About Canadian Utilities

Canadian Utilities Ltd, a subsidiary of holding company Atco, offers gas and electricity services. The company's main divisions include electricity (generation, transmission, and distribution), pipelines & liquid (natural gas and water), and Retail Energy. Headquartered in Calgary, Alberta, the firm mainly operates in Canada and Australia, along with some operations in the United States and Mexico. Canadian Utilities launched a large venture called Atco Energy, which provides low-cost and sustainable energy solutions for Alberta.

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.