BMO Capital Markets on Wednesday reiterated its market-perform rating on the shares of Capital Power (CPX.TO) while raising its price target to C$68.00 from C$56.00 as it resumed coverage of the power producer following the close of an equity issue.
"We are resuming coverage of CPX at Market Perform with a new target price of $68 (vs. $56) after coming off restriction post the close of its $460M equity offering (~6% increase to shares o/s). Similar to closest peer TA ($19.85; OP), we have lifted our target multiple for CPX by 1x (to 10x vs. 9x) to reflect the growing probability of Alberta co-located AI data center contracts where CPX is also well-positioned to capitalize, especially given the recent completion of the Genesee repowering project," analyst Ben Pham wrote.
(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)
Price: 64.16, Change: +0.84, Percent Change: +1.33
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