Investors are showing increased confidence in Quebecor, Inc. (TSE:QBR.B) as the company receives an average rating of “Moderate Buy” from analysts. This consensus comes from seven ratings firms currently covering the telecommunications provider, according to MarketBeat Ratings. Among these analysts, three have issued a hold recommendation, while four have assigned a buy rating.
The average 12-month price target for Quebecor stands at C$50.19, reflecting positive expectations for the stock’s performance. Recent evaluations have seen several firms adjust their price objectives, indicating a bullish outlook. For instance, on November 7, TD Securities raised its target from C$49.00 to C$52.00, maintaining a “buy” rating. Similarly, Desjardins increased its target from C$43.00 to C$47.00 on October 9, while CIBC adjusted its target upwards from C$54.00 to C$57.00.
Additionally, JPMorgan Chase & Co. set a price objective of C$56.00 with an “overweight” rating, reflecting their confidence in the company’s growth potential. In contrast, Royal Bank Of Canada lowered its recommendation from “outperform” to “sector perform,” while increasing its target price from C$45.00 to C$46.00 on October 15.
Recent Performance and Financial Overview
As of November 6, 2023, Quebecor’s shares opened at C$51.98. The company has demonstrated solid performance with a market capitalization of C$11.88 billion. Its price-to-earnings (P/E) ratio is 14.64, with a price/earnings to growth (PEG) ratio of 1.43. The stock exhibits a beta of 0.55, suggesting lower volatility compared to the broader market.
Quebecor has seen a range in its stock price over the past year, with a low of C$30.02 and a high of C$53.32. Financially, the company reported earnings of C$1.05 per share for the last quarter, alongside revenue of C$1.41 billion. Notably, Quebecor achieved a return on equity of 37.44% and a net margin of 12.99%.
The company’s financial metrics also include a debt-to-equity ratio of 363.97, a current ratio of 1.01, and a quick ratio of 0.35. These figures provide insight into the company’s financial health and operational efficiency.
Quebecor’s Market Position
Quebecor remains a dominant player in the telecommunications sector in Quebec, where it primarily offers mobile and fixed-line services. It boasts over 1.8 million internet subscribers, providing service to more than 60% of the homes within its network reach. In the mobile market, Quebecor holds approximately 20% share, with around 1.6 million mobile subscribers.
As Quebecor continues to navigate the competitive landscape, the recent analyst ratings suggest a cautious optimism among investors. This could lead to further strategic developments as the company aims to enhance its market position and deliver consistent shareholder value.
