The Globe and Mail reports in its Friday, March 28, edition that ATB Capital Markets analyst Chris Murray has reaffirmed his "sector perform" recommendation for AutoCanada. The Globe's David Leeder writes that Mr. Murray gave his share target a 50-cent boost to $18.50. Analysts on average target the shares at $20.71. Mr. Murray says in a note: "AutoCanada released Q4/24 results on March 19, 2025, reporting revenue, adjusted EBITDA, and FD EPS of $1.26-billion, $54.1-million and 33 cents; however, results were reported on a continuing operations basis (i.e., Canadian operations only) as management announced its intention to sell its U.S. business, limiting comparability versus ATB estimate and consensus. On a pre-adjusted basis (i.e., including U.S. ops), the company reported revenue and adjusted EBITDA of $1.45-billion and $47.1-million, exceeding ATB of $1.2-billion and $37-million, and consensus of $1.4-billion and $35.8-million, with the EBITDA variance primarily driven by cost savings. Management noted that demand conditions demonstrated signs of softening in December and has carried into Q1/25 on macro pressures with the industry's exposure to potential tariffs representing a significant and uncertain headwind."
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