This stock is music to investors’ ears and m
ore TSX winners and losers from this week’s earnings bonanza. The Financial Post explores those stories and more in The Week in Stocks.

Stock of the Week: Stingray Group Inc.

Shares of Stingray Group Inc. (TSX:RAY/A) shot up 17 per cent Wednesday and kept on climbing closing out the week up 22 per cent on the announcement that it was buying audio streamer Tuneln Holdings Inc. Analysts at Desjardins Group hiked their price target for Montreal-based Stingray to $16.50 from $13.50 with analysts Jerome Dubreuil and Laurent Fortier calling the deal “a bold move.” In a note they said, “the TuneIn acquisition not only complements RAY’s portfolio strategically but also fits within its financial profile,” adding the deal could add $2.16 in free cash flow per share. National Bank of Canada Capital Markets analyst Adam Shine also hiked his price target to $18 from $13.50. Shares of Stingray traded Friday near the $14.00 level.

Keeping score

 

How investors can play Round 2 of projects of national interest

Prime Minister

Mark Carney

announced six more projects of national interest to be recommended for fast-track approval. Here’s a look at how analysts at Scotiabank Capital Markets think investors can play some of those projects on the stock market.

The Scotiabank team produced a list of Rockies

liquefied natural gas

producers it thinks will benefit most from the Ksi Lisims floating LNG project that is proposed for the northern British Columbia coast. The list of 12 companies includes Advantage Energy Ltd. (TSX:AVA), Birchcliff Energy Ltd. (TSX:BIR), Murchison Minerals Ltd. (TSX:MUR), Nuvista Eerngy Ltd. (TSX:NVA), Ovintiv Inc. (TSX:OVV), Paramount Resources Ltd., (TSX:POU), Peyto Exploration and Development Corp. (TSX:PEY), Shell PLC (LN:SHEL), TotalEnergies SE (TSX:TTE), Tourmaline Oil Corp. (TSX:TOU) and Whitecap Resources Inc. (TSX:WCP).

They also recommended stocks the could benefit from the construction of the North Coast Transmission Line, that would double electricity supply between Prince George and Terrace, B.C. “We see benefit for exposure to critical minerals that includes Newmont Corp. (TSX:NEM), Skeena Resources Ltd., (TSX:SKE), Thesis Gold Inc. (TSX:TAU) and Teck Resources Ltd. (TSX:TECK/B).

Scotiabank didn’t comment on the other projects as they don’t cover those stocks.

Winners and losers from this week’s earnings bonanza

Earnings continued to flow this week from S&P/TSX Composite listed companies across a wide swath of sectors from the oilpatch to REITs, senior homes and one grocery giant. We track how their stocks performed post-reporting, picking out three winners, three losers and three notable names.

3 winners

  • Shares of CCL Industries Inc. (TSX:CCL), which provides specialty packaging labels for a variety of sectors, rose 11 per cent on earnings that beat estimates. Sean Steuart, an analyst with TD Cowen hiked his price target to $100 from $95, citing a “flexible, strong balance sheet” and “robust” free cash flow in 2026. Shares of CCL traded Friday at the $85 level after slightly paring back some of the week’s gains.
  • Power Corp. (TSX:POW) earned a 10 per cent target price hike this week from analyst Phil Hardie at Scotiabank Capital Markets who said the financial conglomerate was “firing on all cylinders,” including via “solid earnings growth,” “value creation” from purchases, and dividends and share buybacks.” Hardie hiked his price target to $76 from $69. Shares traded Friday at the $69 level. TD Cowen analyst Graham Ryding also hiked his price target to $73 from $69, but downgraded the stock to a hold from a buy. “The seven per cent total potential return to our higher target price is insufficient to maintain a buy rating,” Ryding said.
  • Shares of Baytex Energy Corp. (TSX:BTE) rose 24 per cent after the oilpatch player said it closed the $3.3 billion sale of its Eagle Ford operations. RBC Capital Markets analyst Greg Pardy said the company has indicated it will restart share buybacks and is “committed to returning a significant portion of the deal proceeds to shareholders.” Pardy has a price target of $5. Kevin Fisk at Scotiabank Capital Markets hiked his price target to $5.25 from $4.00. Shares of Baytex traded Friday at the $4.40 level.

3 losers

  • Northland Power Inc. (TSX:NPI) plunged just over 27 per cent on Thursday after the company cut its dividend by 40 per cent. Analyst Sean Steuart at TD Cowen pegged some of the price plunge to poor communication on the part of management. “We believe that there is compelling core value in NPI, but absent clarity on growth opportunities, investor frustration is understandable,” Steuart said in a note. He cut his price target for Northland to $22 from $27. Baltej Sidhu at National Bank of Canada Capital Markets cut his price target to $27 from $30, noting the dividend cut brings “short-term” pain. Shares traded Friday at the $18 level.
  • Shares of Bird Construction Inc., (TSX:BDT) spent most to the week falling and were down 11 per cent as of Friday, which analysts at CIBC Capital Markets attributed to “the deferral of certain projects” causing the Ontario-based company to cut its guidance for the fourth quarter. Still, CIBC likes the longer-term outlook and hiked its price to target to $37 from $36. Shares traded Friday at the $25.50 level.
  • Mattr Corp. (TSX:MATR) plummeted 22 per cent on the week after it missed estimates for earnings per share and earnings before interest, taxes and depreciation. “We view the company’s outlook commentary as directionally negative,” Arthur Nagoryn, an analyst at RBC Capital Markets, said in a note. RBC maintained its price target of $11. Shares traded Friday at just below $8.00.

And 3 big names

  • BMO Capital Markets analyst Tom MacKinnon called Manulife Financial Corp.’s (TSX:MFC) earnings beat “high quality, with the bulk of beat attributable to items we’d categorize as somewhat sustainable.” MacKinnon hiked his price target for Manulife to $58 from $53. Shares, which rose just over three per cent this week, traded Friday at the $48 level.
  • Shares of Loblaw Cos. Ltd. (TSX:L) climbed nearly six per cent on the week as analysts believe the grocery giant is “best positioned” to take advantage of shoppers hunting for discounts. RBC Capital Markets analyst Irene Nattel raised her price target to $68 from $67. CIBC Capital Markets hiked its to $67 from $58.50. Shares traded Friday just under $60.
  • Autoparts maker Linamar Corp. (TSX:LNR) rose just over eight per cent as analysts called the company’s free-cash-flow record “impressive,” giving it the ability to undertake mergers and acquisitions. “We feel this outlook warrants modest upward financial revisions/multiple expansion,” TD Cowen analyst Brian Morrison said in a note. He hiked his price target to $96 from $85. Linamar traded Friday at the $80 level. BMO Capital Markets Etienne Ricard hiked his price target two times in the last two months: to $86 on Nov. 13 from $84 in late October, starting from a price target of $80 earlier last month.
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Every week, the Financial Post breaks down the most interesting developments in the week’s world of investing, from top performers to surprising analyst calls and stocks to have on your radar.

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