The Globe and Mail reports in its Wednesday, April 22, edition that North American consumer demand for automobiles remained strong in the first quarter, and TD Cowen analyst Brian Morrison anticipates few negative surprises during the earnings season. The Globe's David Leeder writes that seeing "consumer resiliency, potential conflict resolution, USMCA clarity, and positive year-over-year financial performance" providing potential catalysts "supporting improved investor confidence/applied valuations," Mr. Morrison elevated his share target to $116 from $114, a Street-high, with an unchanged "buy" recommendation. Analysts on average target the shares at $14.25. Mr. Morrison says in a note: "We are positive on the outlook for Linamar, largely due to the forecast growth within its mobility segment from recent acquisitions, organic CPV growth and anticipated margin expansion. We remain cautious with respect to the near-term industrial outlook but view 2026 as the potential trough prior to benefiting from the cycle improving in 2027. A strong FCF profile and financial position are supportive of additional M&A opportunities, and commitment to its NCIB. This could result in upward revisions to our financial forecast."
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