South Bow (NYSE:SOBO) Downgraded to "Sell" Rating by Wall Street Zen

South Bow (NYSE:SOBO - Get Free Report) was downgraded by equities researchers at Wall Street Zen from a "hold" rating to a "sell" rating in a research report issued to clients and investors on Saturday.

Other equities analysts have also recently issued research reports about the stock. Barclays upped their target price on shares of South Bow from $27.00 to $33.00 and gave the company an "equal weight" rating in a research note on Monday, March 9th. Wolfe Research downgraded South Bow from a "peer perform" rating to an "underperform" rating and set a $24.00 target price on the stock. in a report on Wednesday, January 14th. Weiss Ratings raised South Bow from a "hold (c+)" rating to a "buy (b-)" rating in a report on Friday, February 20th. The Goldman Sachs Group assumed coverage on South Bow in a report on Monday, April 20th. They issued a "sell" rating and a $29.00 target price on the stock. Finally, National Bank Financial increased their target price on South Bow from $29.00 to $30.00 and gave the company a "sector perform" rating in a report on Monday, March 16th. Three equities research analysts have rated the stock with a Buy rating, eight have given a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat.com, South Bow presently has an average rating of "Reduce" and an average target price of $30.63.

South Bow Price Performance

SOBO opened at $34.72 on Friday. The company has a debt-to-equity ratio of 2.13, a quick ratio of 1.43 and a current ratio of 1.50. The stock has a market capitalization of $7.24 billion, a P/E ratio of 17.10 and a beta of 0.11. The company's 50-day simple moving average is $33.18 and its two-hundred day simple moving average is $29.53. South Bow has a 52-week low of $24.51 and a 52-week high of $35.56.

South Bow (NYSE:SOBO - Get Free Report) last posted its earnings results on Thursday, May 7th. The company reported $0.44 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.46 by ($0.02). The company had revenue of $491.00 million for the quarter, compared to the consensus estimate of $491.21 million. South Bow had a net margin of 21.32% and a return on equity of 15.24%. South Bow's revenue was up 1.0% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.47 EPS. As a group, analysts predict that South Bow will post 1.88 EPS for the current year.

Hedge Funds Weigh In On South Bow

A number of institutional investors have recently bought and sold shares of the stock. Parkside Financial Bank & Trust raised its holdings in South Bow by 10.0% in the 4th quarter. Parkside Financial Bank & Trust now owns 3,770 shares of the company's stock worth $104,000 after purchasing an additional 344 shares during the period. Aviso Financial Inc. raised its holdings in South Bow by 8.2% in the 3rd quarter. Aviso Financial Inc. now owns 5,200 shares of the company's stock worth $147,000 after purchasing an additional 394 shares during the period. Quantinno Capital Management LP raised its holdings in South Bow by 4.9% in the 2nd quarter. Quantinno Capital Management LP now owns 10,175 shares of the company's stock worth $264,000 after purchasing an additional 478 shares during the period. Parallel Advisors LLC raised its holdings in South Bow by 140.5% in the 1st quarter. Parallel Advisors LLC now owns 849 shares of the company's stock worth $28,000 after purchasing an additional 496 shares during the period. Finally, apricus wealth LLC raised its holdings in South Bow by 4.1% in the 1st quarter. apricus wealth LLC now owns 15,180 shares of the company's stock worth $506,000 after purchasing an additional 600 shares during the period.

More South Bow News

Here are the key news stories impacting South Bow this week:

• Positive Sentiment: South Bow declared a quarterly dividend of 0.50 per share, implying an annualized yield of about 5.7%, which should appeal to income-focused investors. Dividend declaration article
• Positive Sentiment: The company said it is beginning efforts to secure required permits for its Prairie Connector pipeline project, a step that could support longer-term growth if the cross-border project advances. Permitting article
• Neutral Sentiment: Shareholders approved all resolutions at South Bow’s annual general meeting, indicating normal governance progress without a major surprise. AGM resolutions article
• Neutral Sentiment: Investors also watched for valuation commentary following Q1 earnings and continued progress on pipeline-related opportunities, but these items appear secondary to the earnings report itself. Valuation commentary article
• Negative Sentiment: South Bow’s Q1 report missed analyst estimates on earnings and slightly missed revenue expectations, with year-over-year declines in earnings and net income weighing on sentiment. Q1 earnings miss article

South Bow Company Profile

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.

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