The Globe and Mail reports in its Friday, Aug. 8, edition that Scotia Capital analyst Jonathan Goldman is keeping his "sector outperform" recommendation for Atkinsrealis intact. The Globe's David Leeder writes in the Eye On Equities column that Mr. Goldman gave his share target a $5 boost to $113. Analysts on average target the shares at $109.46. Mr. Goldman says in a note: "We were awaiting a potential pullback in the shares in case engineering services margins did not expand as quickly as expected. That did not happen: ES adjusted EBITDA margins of 15.7 per cent were well ahead of our estimate of 15.0 per cent. Moreover, Canada margins improved 430 basis points year-over-year to 15.1 per cent within the same zip code as peers. While there is always some lumpiness from quarter to quarter, and we're not saying progress will be linear, we think the trends is upwards. Moreover, we think margin expansion is being supported largely by structural initiatives, such as improved pricing in the business lines, greater usage of GTC, and strong execution. ES organic growth guidance has been derisked, in our view, with the company now expecting mid-single-digits in 2025 vs. 7 per cent to 9 per cent previously."
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