Stifel Canada on Thursday reiterated its buy rating on the shares of Stantec (STN.TO) and its C$173.00 price target following fourth-quarter results from the construction and engineering company.
"Positive 4Q25 results and 2026E guidance, but AI commentary on the conference call will be a key driver of the stock ... Stantec delivered 4Q25 EBITDA that was 4.3% above FactSet consensus and 4.6% above our estimate. Meanwhile, its midpoint 2026E EBITDA guidance of $1,279 mm is 1.7% higher than consensus and EPS guidance of $6.17 exceeds consensus of $6.00 by 2.8%. Guidance for 2026E EBITDA margins of 17.6-18.2% were the positive highlight that led to the modestly higher guide, and it is worth noting that the high end of the guide exceeds its 3-year strategic plan goal of 17-18%. The company will host a conference call at 9 AM EST tomorrow, and we anticipate a broad overview of AI related considerations by management, and that will ultimately decide the stock's direction for the day," analyst Ian Gillies 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: 125.89, Change: +2.40, Percent Change: +1.94
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