Brokers Issue Forecasts for TSE:CU FY2025 Earnings

Key Points

• National Bank Financial has revised its FY2025 earnings per share forecast for Canadian Utilities Limited, lowering it from $2.46 to $2.43, while the consensus estimate is currently $2.41.
• The company recently increased its quarterly dividend to $0.4577 per share, resulting in an annualized dividend of $1.83 and a dividend yield of 4.7%.
• Canadian Utilities' stock received a "hold" rating from several analysts, with an average target price set at C$38.83.

Canadian Utilities Limited (TSE:CU - Free Report) - Research analysts at National Bank Financial dropped their FY2025 earnings per share (EPS) estimates for Canadian Utilities in a report issued on Thursday, July 31st. National Bank Financial analyst P. Kenny now anticipates that the company will post earnings per share of $2.43 for the year, down from their previous forecast of $2.46. The consensus estimate for Canadian Utilities' current full-year earnings is $2.41 per share. National Bank Financial also issued estimates for Canadian Utilities' FY2026 earnings at $2.51 EPS.

Other research analysts have also issued reports about the company. Royal Bank Of Canada lifted their target price on Canadian Utilities from C$39.00 to C$41.00 and gave the company a "sector perform" rating in a report on Thursday, May 8th. TD Securities upgraded Canadian Utilities to a "hold" rating and set a C$40.00 price target on the stock in a research report on Friday, June 27th.

Canadian Utilities Trading Down 0.5%

Shares of CU traded down C$0.20 during midday trading on Monday, hitting C$38.17. 193,919 shares of the stock were exchanged, compared to its average volume of 539,637. Canadian Utilities has a 52-week low of C$32.03 and a 52-week high of C$39.68. The stock has a fifty day simple moving average of C$38.13 and a 200 day simple moving average of C$36.63. The firm has a market cap of C$7.80 billion, a P/E ratio of 20.62, a P/E/G ratio of 2.38 and a beta of 0.66. The company has a debt-to-equity ratio of 158.34, a quick ratio of 1.30 and a current ratio of 1.63.

Canadian Utilities Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 1st. Shareholders of record on Thursday, August 7th will be given a $0.4577 dividend. This is a boost from Canadian Utilities's previous quarterly dividend of $0.45. This represents a $1.83 dividend on an annualized basis and a yield of 4.8%. Canadian Utilities's dividend payout ratio is presently 97.79%.

Insiders Place Their Bets

In related news, Senior Officer James Armstrong sold 1,258 shares of the stock in a transaction dated Friday, May 9th. The shares were sold at an average price of C$37.98, for a total transaction of C$47,778.84. Following the sale, the insider owned 136 shares in the company, valued at C$5,165.28. This represents a 90.24% decrease in their ownership of the stock. Over the last three months, insiders have sold 1,508 shares of company stock valued at $57,191. Corporate insiders own 37.58% of the company's stock.

About Canadian Utilities

Canadian Utilities Limited, together with its subsidiaries, engages in the electricity, natural gas, renewables, pipelines, liquids, and retail energy businesses in Canada, Australia, and internationally. It operates through ATCO Energy Systems, ATCO EnPower, and Corporate & Other segments. The ATCO Energy Systems segment provides regulated electricity transmission and distribution services in northern and central east Alberta, the Yukon, the Northwest Territories, and the Lloydminster area of Saskatchewan; and integrated natural gas transmission and distribution services in Alberta, the Lloydminster area of Saskatchewan, and Western Australia.