Royal Bank of Canada Downgrades Stella-Jones (TSE:SJ) to Sector Perform

Stella-Jones (TSE:SJ) was downgraded by research analysts at Royal Bank of Canada from an “outperform” rating to a “sector perform” rating in a note issued to investors on Monday, MarketBeat Ratings reports. They presently have a C$94.00 price objective on the stock. Royal Bank of Canada’s price target suggests a potential upside of 5.40% from the company’s previous close.

A number of other equities analysts also recently weighed in on SJ. CIBC boosted their price target on Stella-Jones from C$85.00 to C$86.00 in a research report on Thursday, April 11th. Scotiabank boosted their price target on Stella-Jones from C$86.00 to C$88.00 in a research report on Thursday, May 9th. Finally, TD Securities boosted their price target on Stella-Jones from C$94.00 to C$98.00 in a research report on Friday, May 10th. Three research analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of C$89.57.

Stella-Jones Stock Performance

SJ opened at C$89.18 on Monday. The business’s 50-day moving average price is C$84.12 and its two-hundred day moving average price is C$80.55. Stella-Jones has a 1 year low of C$61.85 and a 1 year high of C$89.99. The company has a market capitalization of C$5.05 billion, a price-to-earnings ratio of 14.99, a P/E/G ratio of 2.40 and a beta of 0.68. The company has a debt-to-equity ratio of 100.69, a current ratio of 6.38 and a quick ratio of 1.20.

Stella-Jones (TSE:SJ) last released its earnings results on Wednesday, May 8th. The company reported C$1.36 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of C$1.09 by C$0.27. The business had revenue of C$775.00 million for the quarter, compared to the consensus estimate of C$781.85 million. Stella-Jones had a return on equity of 20.77% and a net margin of 10.14%. Equities analysts expect that Stella-Jones will post 5.7120805 EPS for the current fiscal year.

Insider Activity at Stella-Jones

In other Stella-Jones news, Director James Augustus Manzi sold 5,000 shares of the company’s stock in a transaction on Tuesday, June 18th. The shares were sold at an average price of C$61.93, for a total transaction of C$309,661.50. 0.14% of the stock is currently owned by company insiders.

About Stella-Jones

Stella-Jones Inc produces and sells pressure-treated wood products in Canada and the United States. It operates through two segments, Pressure-Treated Wood; and Logs and Lumber. The company offers railway ties and timbers for short line and commercial railroad operators; and wood utility poles for electrical utilities and telecommunication companies.