What is Scotiabank's Forecast for South Bow FY2026 Earnings?

Key Points

• Scotiabank raised its FY2026 EPS estimate for South Bow to $1.73 (from $1.71), maintaining a "Sector Perform" rating and a $34.00 price target.
• South Bow recently beat quarterly expectations with $0.61 EPS (vs. $0.40 consensus) and $503 million in revenue, while the MarketBeat consensus for full-year EPS is $1.88.
• The company pays a quarterly dividend of $0.50 (annualized $2.00) for a yield of 6.2%, with a payout ratio of about 96.15%.

South Bow Corporation (NYSE:SOBO - Free Report) - Stock analysts at Scotiabank lifted their FY2026 EPS estimates for South Bow in a report released on Thursday, April 23rd. Scotiabank analyst R. Hope now expects that the company will post earnings per share of $1.73 for the year, up from their previous forecast of $1.71. Scotiabank currently has a "Sector Perform" rating and a $34.00 target price on the stock. The consensus estimate for South Bow's current full-year earnings is $1.88 per share.

South Bow (NYSE:SOBO - Get Free Report) last posted its earnings results on Thursday, March 5th. The company reported $0.61 earnings per share for the quarter, topping the consensus estimate of $0.40 by $0.21. The firm had revenue of $503.00 million during the quarter, compared to the consensus estimate of $500.57 million. South Bow had a net margin of 21.80% and a return on equity of 15.55%. The company's revenue was up 3.1% on a year-over-year basis. During the same quarter last year, the company earned $0.54 earnings per share.

Other equities analysts also recently issued research reports about the stock. Wolfe Research downgraded shares of South Bow from a "peer perform" rating to an "underperform" rating and set a $24.00 target price for the company. in a research note on Wednesday, January 14th. The Goldman Sachs Group began coverage on shares of South Bow in a research note on Monday, April 20th. They issued a "sell" rating and a $29.00 target price for the company. National Bank Financial boosted their price objective on shares of South Bow from $29.00 to $30.00 and gave the company a "sector perform" rating in a research note on Monday, March 16th. Barclays boosted their price objective 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. Finally, Weiss Ratings raised shares of South Bow from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, February 20th. Three equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and four have given a Sell rating to the company's stock. According to MarketBeat.com, South Bow presently has a consensus rating of "Reduce" and an average price target of $30.38.

South Bow Price Performance

SOBO opened at $32.04 on Monday. The company has a market capitalization of $6.68 billion, a price-to-earnings ratio of 15.41 and a beta of 0.15. The company has a quick ratio of 1.43, a current ratio of 1.50 and a debt-to-equity ratio of 2.13. The firm has a 50-day moving average price of $32.74 and a 200-day moving average price of $29.19. South Bow has a twelve month low of $24.51 and a twelve month high of $34.90.

Hedge Funds Weigh In On South Bow

A number of hedge funds and other institutional investors have recently bought and sold shares of SOBO. Cubist Systematic Strategies LLC purchased a new position in South Bow in the 1st quarter worth approximately $85,000. Amundi purchased a new position in South Bow in the 1st quarter worth approximately $588,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in South Bow by 17.4% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 199,035 shares of the company's stock worth $5,079,000 after buying an additional 29,542 shares in the last quarter. Acadian Asset Management LLC purchased a new position in South Bow in the 1st quarter worth approximately $885,000. Finally, Geode Capital Management LLC grew its stake in South Bow by 7.5% in the 2nd quarter. Geode Capital Management LLC now owns 172,491 shares of the company's stock worth $4,499,000 after buying an additional 11,984 shares in the last quarter.

South Bow Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, April 15th. Shareholders of record on Tuesday, March 31st were paid a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a yield of 6.2%. The ex-dividend date of this dividend was Tuesday, March 31st. South Bow's payout ratio is currently 96.15%.

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.

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.