US Capital Advisors Weighs in on South Bow FY2025 Earnings

Key Points

• US Capital Advisors has revised South Bow Corporation's FY2025 earnings per share estimate down from $1.64 to $1.57, while the current consensus estimate for full-year earnings is $1.74.
• South Bow recently paid a quarterly dividend of $0.50, resulting in an annualized yield of 7.71%, though its payout ratio stands at 108.11%.
• The stock holds a consensus rating of "Hold" among analysts, with a current target price averaging $28.80.

South Bow Corporation (NYSE:SOBO - Free Report) - Investment analysts at US Capital Advisors dropped their FY2025 earnings per share (EPS) estimates for shares of South Bow in a research note issued to investors on Monday, July 28th. US Capital Advisors analyst J. Carreker now expects that the company will post earnings per share of $1.57 for the year, down from their prior estimate of $1.64. The consensus estimate for South Bow's current full-year earnings is $1.74 per share. US Capital Advisors also issued estimates for South Bow's FY2027 earnings at $1.90 EPS.

SOBO has been the subject of several other research reports. Royal Bank Of Canada restated an "outperform" rating and set a $38.00 target price on shares of South Bow in a research note on Monday, May 19th. CIBC boosted their price objective on South Bow from $25.00 to $26.00 and gave the company a "neutral" rating in a research note on Tuesday, July 22nd. Two equities research analysts have rated the stock with a sell rating, eight have given a hold rating, one has given a buy rating and two have assigned a strong buy rating to the company's stock. According to data from MarketBeat, the company presently has an average rating of "Hold" and an average target price of $28.80.

South Bow Stock Up 0.4%

SOBO stock traded up $0.10 during trading on Wednesday, hitting $26.36. 428,660 shares of the company's stock were exchanged, compared to its average volume of 565,670. The business has a 50-day moving average price of $26.33 and a two-hundred day moving average price of $25.48. The stock has a market capitalization of $5.49 billion and a price-to-earnings ratio of 14.25. South Bow has a 52-week low of $21.12 and a 52-week high of $27.60. The company has a current ratio of 1.29, a quick ratio of 1.20 and a debt-to-equity ratio of 2.20.

South Bow (NYSE:SOBO - Get Free Report) last announced its quarterly earnings data on Thursday, May 15th. The company reported $0.47 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.42 by $0.05. The company had revenue of $498.00 million during the quarter, compared to analysts' expectations of $527.00 million. The company's revenue was down 8.5% on a year-over-year basis.

South Bow Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, July 15th. Investors of record on Monday, June 30th were issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 7.6%. The ex-dividend date of this dividend was Monday, June 30th. South Bow's dividend payout ratio is currently 108.11%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of SOBO. Commonwealth Equity Services LLC acquired a new position in South Bow during the fourth quarter worth $482,000. American Century Companies Inc. purchased a new stake in South Bow during the fourth quarter worth $2,042,000. LPL Financial LLC purchased a new stake in South Bow during the fourth quarter worth $563,000. Vanguard Group Inc. purchased a new stake in South Bow during the fourth quarter worth $206,467,000. Finally, JPMorgan Chase & Co. purchased a new stake in South Bow during the fourth quarter worth $4,085,000.

About South Bow

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.