Zacks Investment Research Downgrades Stantec Inc. (STN) to Sell
Stantec Inc. (NYSE:STN) (TSE:STN) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report released on Tuesday.
According to Zacks, “Stantec Inc. provides professional consulting services in planning, engineering, architecture, interior design, landscape architecture, surveying and geomatics. It also provides professional consulting services in environmental sciences, project management, and project economics for infrastructure and facilities projects. Its services include, or relate to, the development of conceptual plans, zoning approval of design infrastructure, transportation planning, traffic engineering, landscape architecture, urban planning, design construction review and surveying. It provides knowledge-based solutions for infrastructure and facilities projects through value-added professional services principally under fee-for-service agreements with clients. Stantec Inc. is headquartered in Edmonton, Canada. “
A number of other equities research analysts have also recently commented on the stock. RBC Capital Markets reissued a “sector perform” rating and issued a $36.00 price objective (up from $32.00) on shares of Stantec in a research note on Friday, November 11th. Canaccord Genuity reissued a “hold” rating and issued a $30.00 price objective (down from $33.00) on shares of Stantec in a research note on Sunday, October 23rd. National Bank Financial raised shares of Stantec from a “sector perform” rating to an “outperform” rating in a research note on Wednesday, August 17th. DA Davidson reissued a “hold” rating and issued a $25.00 price objective on shares of Stantec in a research note on Wednesday, November 9th. Finally, Scotiabank cut shares of Stantec from an “outperform” rating to a “sector perform” rating and lowered their price objective for the company from $36.00 to $34.00 in a research note on Friday, August 5th. One equities research analyst has rated the stock with a sell rating, eight have assigned a hold rating and two have assigned a buy rating to the stock. Stantec currently has an average rating of “Hold” and a consensus price target of $32.78.
Shares of Stantec (NYSE:STN) opened at 25.40 on Tuesday. Stantec has a 12 month low of $20.71 and a 12 month high of $26.87. The firm’s 50 day moving average is $23.28 and its 200-day moving average is $24.25. The firm has a market capitalization of $2.89 billion, a PE ratio of 25.94 and a beta of 1.46.
Stantec (NYSE:STN) last posted its quarterly earnings results on Thursday, November 10th. The company reported $0.55 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.48 by $0.07. Stantec had a net margin of 3.34% and a return on equity of 10.28%. The business had revenue of $1.26 million for the quarter, compared to analysts’ expectations of $918.11 million. The firm’s revenue for the quarter was up 40.7% on a year-over-year basis. On average, analysts expect that Stantec will post $1.30 EPS for the current fiscal year.
The firm also recently declared a quarterly dividend, which will be paid on Thursday, January 12th. Stockholders of record on Friday, December 30th will be issued a dividend of $0.0842 per share. The ex-dividend date of this dividend is Wednesday, December 28th. This represents a $0.34 dividend on an annualized basis and a dividend yield of 1.33%. Stantec’s dividend payout ratio (DPR) is presently 37.36%.
Hedge funds and other institutional investors have recently modified their holdings of the company. Grandeur Peak Global Advisors LLC raised its position in shares of Stantec by 18.8% in the third quarter. Grandeur Peak Global Advisors LLC now owns 949,247 shares of the company’s stock worth $22,311,000 after buying an additional 150,109 shares during the period. Credit Suisse AG raised its position in shares of Stantec by 6.6% in the third quarter. Credit Suisse AG now owns 53,558 shares of the company’s stock worth $1,259,000 after buying an additional 3,294 shares during the period. Cetera Advisor Networks LLC acquired a new position in shares of Stantec during the third quarter worth approximately $207,000. Connor Clark & Lunn Investment Management Ltd. raised its position in shares of Stantec by 267.7% in the third quarter. Connor Clark & Lunn Investment Management Ltd. now owns 292,025 shares of the company’s stock worth $6,850,000 after buying an additional 212,600 shares during the period. Finally, The Manufacturers Life Insurance Company acquired a new position in shares of Stantec during the third quarter worth approximately $19,334,000. Institutional investors own 52.05% of the company’s stock.
Stantec Company Profile
Stantec Inc is a provider of professional services in the area of infrastructure and facilities for clients in the public and private sectors. The Company’s segment is Consulting Services. The Company’s services include planning, engineering, architecture, interior design, landscape architecture, surveying, environmental sciences, project management, and project economics for infrastructure and facilities projects.
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