The Globe and Mail reports in its Thursday, May 29, edition that National Bank Financial analyst Cameron Doerksen has reaffirmed his "underperform" recommendation and $1.50 share target for Transat AT. The Globe's David Leeder writes in the Eye On Equities column that analysts on average target the shares at $1.54. Transat AT posts its second quarter results on June 12. Mr. Doerksen is "optimistic" Transat AT will show an improvement in profitability in this fiscal year, emphasizing "the steps the company is taking toward improving margins through its Elevation program are positive with solid progress so far." Mr. Doerksen says in a note: "However, Transat's net debt remains too high relative to earnings, sitting at $1.9-billion at the end of Q1, and we forecast leverage at year-end F2025 at 6.9 times. We continue to believe that additional equity will be a component of a forthcoming refinancing plan, which could be materially dilutive to existing shareholders." In a research note released Wednesday, Mr. Doerksen said the Montreal-based tour operator's winter season appears to have closed without any surprises with similar conditions emerging for the summer.