The Globe and Mail reports in its Tuesday, July 9, edition that RBC Capital analyst Walter Spracklin has lowered his recommendation for Stella-Jones to "sector perform" from "outperform," saying that the risk-reward is "well balanced" at current share-price levels. The Globe's Darcy Keith writes that Mr. Spracklin is sticking with his $94 share target. Mr. Spracklin says in a note: "We view Stella-Jones as well run, with exposure to solid long-term trends in infrastructure investment. However, with the company's valuation now reaching the top end of its five-year range, we see these trends as being appropriately reflected at current levels. Moreover, we view new pole capacity coming on-line during the remainder of the year across the industry as a potential risk to pricing looking ahead, which could weigh on revenues and margins into 2025. Net-net, we view solid volume tailwinds as being offset by pole pricing risk as well as valuation." Mr. Spracklin's second quarter earnings before interest, taxes, depreciation and amortization estimate increased to a Street high $202-million (from $193-million), above consensus of $194-million on indication the demand environment is solid in the quarter.