Keyera (TSE:KEY) Announces Earnings Results

Keyera (TSE:KEY) issued its quarterly earnings results on Tuesday. The company reported C($0.23) earnings per share (EPS) for the quarter, FiscalAI reports. The company had revenue of C$2.44 billion for the quarter. Keyera had a net margin of 2.54% and a return on equity of 5.34%.

Here are the key takeaways from Keyera’s conference call:

• Plains assets are performing ahead of expectations, with CAD 115 million in run-rate synergies delivered by September against a CAD 120 million–CAD 140 million target for the first 12 months after closing. Management also cited further potential from operating improvements and capital-efficient investments.
• Fee-based businesses remained strong: gathering and processing realized margin was CAD 125 million, while liquids infrastructure posted a record CAD 272 million, supported by acquired assets and strong throughput. A contracted Fort Saskatchewan condensate-system debottleneck is expected to add about 15% capacity early next year.
• Keyera raised its 2026 marketing realized-margin guidance to CAD 400 million–CAD 430 million, citing stronger isooctane and butane contributions and about CAD 50 million of benefits from acquired-inventory and hedge revaluations.
• AEF reliability remains a significant concern. Keyera expects an approximately four-week outage in early January for interim repairs, followed by permanent heat-exchanger replacement in May 2027; full production is expected by the end of that month.
• Net debt to adjusted EBITDA ended the quarter at about 3.6 times, above Keyera’s long-term target range; management expects to return to the range in 2028 as major project spending winds down. The company said major growth projects remain on schedule and at or below budget, and reiterated its targeted fee-based EBITDA-per-share growth through 2029.

Keyera Stock Performance

TSE KEY opened at C$52.20 on Thursday. The stock has a market capitalization of C$15.32 billion, a price-to-earnings ratio of 34.12, a PEG ratio of 1.35 and a beta of 0.67. The stock has a 50-day moving average of C$54.02 and a 200 day moving average of C$54.58. The company has a current ratio of 0.91, a quick ratio of 0.57 and a debt-to-equity ratio of 174.48. Keyera has a twelve month low of C$40.09 and a twelve month high of C$61.41.

Keyera Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 29th. Investors of record on Tuesday, September 29th were issued a $0.5625 dividend. This represents a $2.25 dividend on an annualized basis and a yield of 4.3%. The ex-dividend date of this dividend was Tuesday, September 15th. This is a positive change from Keyera’s previous quarterly dividend of $0.54. Keyera’s payout ratio is currently 141.18%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on the stock. National Bank Financial dropped their price objective on shares of Keyera from C$63.00 to C$62.00 and set an “outperform” rating on the stock in a report on Wednesday. Barclays raised their target price on Keyera from C$56.00 to C$61.00 in a research note on Friday, August 7th. Citigroup lifted their price target on Keyera from C$102.00 to C$106.00 and gave the stock a “buy” rating in a research report on Friday, September 4th. Scotiabank boosted their price target on Keyera from C$65.00 to C$66.00 and gave the company a “sector outperform” rating in a research note on Tuesday, July 21st. Finally, Scotia boosted their price target on Keyera from C$88.00 to C$92.00 and gave the company a “sector perform” rating in a research note on Friday, September 4th. Ten research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat.com, Keyera has an average rating of “Moderate Buy” and a consensus price target of C$73.07.

Insider Buying and Selling

In other Keyera news, Director Taylor Timothy Kitchen acquired 500 shares of the company’s stock in a transaction on Friday, September 4th. The shares were bought at an average cost of C$55.74 per share, with a total value of C$27,870.00. Following the completion of the acquisition, the director owned 7,500 shares in the company, valued at approximately C$418,050. This trade represents a 7.14% increase in their ownership of the stock. Insiders own 0.39% of the company’s stock.

Key Headlines Impacting Keyera

These are some of the KEY headlines that stood out recently:

• Positive Sentiment: Another analysis says the shares could be about 20% undervalued following third-quarter results, which may support investor interest. Keyera Could Be 20% Undervalued
• Neutral Sentiment: National Bank Financial, ATB Cormark and BMO lowered their price targets from C$63, to C$62, C$61 and C$62, respectively. Their ratings remain “outperform,” “sector outperform” and “market perform,” making the revisions a modestly cautious signal rather than a broad downgrade. National Bank Financial Ratings
• Negative Sentiment: Keyera was reported to have swung to a quarterly loss, a potential concern despite the separate coverage describing an earnings beat. Keyera Swings to Quarterly Loss

Keyera Company Profile

Keyera Corp. (TSX:KEY) operates an integrated Canadian-based energy infrastructure business with extensive interconnected assets and depth of expertise in delivering energy solutions. Its predominantly fee-for-service based business consists of natural gas gathering and processing; natural gas liquids processing, transportation, storage and marketing; iso-octane production and sales; and an industry-leading condensate system in the Edmonton/Fort Saskatchewan area of Alberta. Keyera strives to provide high quality, value-added services to its customers across North America and is committed to conducting its business ethically, safely and in an environmentally and financially responsible manner.