Stella-Jones (TSE:SJ) Hits New 1-Year Low – Here’s What Happened

Stella-Jones Inc. (TSE:SJ) shares hit a new 52-week low during trading on Wednesday. The stock traded as low as C$62.66 and last traded at C$62.85, with a volume of 48,629 shares. The stock had previously closed at C$66.96.

More Stella-Jones News

Here are the key news stories impacting Stella-Jones this week:

• Positive Sentiment: Stella-Jones outlined up to $100 million in cost savings over three years and is targeting full production at its Candiac facility by the end of Q1 2027. If achieved, these initiatives could improve efficiency and support future profitability. Article: Stella-Jones outlines cost savings and Candiac target
• Positive Sentiment: A recent valuation article argues that Stella-Jones shares look undervalued based on cash flow, which could attract investors focused on the company’s longer-term value. Article: Stella Jones stock looks below fair value on cash flow
• Neutral Sentiment: Third-quarter sales rose, but adjusted earnings fell. The company also announced a normal course issuer bid, which could provide support through share repurchases; the overall impact depends on the earnings details and any buyback activity. Article: Stella-Jones Q3 results and issuer bid
• Negative Sentiment: Several firms reduced their price targets, including Raymond James (C$83 to C$80), Desjardins (C$99 to C$77), Scotiabank (C$79 to C$76), TD (C$93 to C$81), RBC (C$76 to C$70) and National Bank Financial (C$92 to C$80). The cuts signal more cautious expectations, although the firms retained ratings ranging from buy/outperform to sector perform, and their revised targets remained above the cited C$65.01 share price. Analyst ratings and price targets

Wall Street Analysts Forecast Growth

SJ has been the subject of several research reports. Royal Bank Of Canada decreased their price target on shares of Stella-Jones from C$76.00 to C$70.00 and set a “sector perform” rating for the company in a report on Thursday. Canadian Imperial Bank of Commerce dropped their price objective on shares of Stella-Jones from C$87.00 to C$82.00 in a research note on Thursday, July 9th. Scotiabank cut their target price on shares of Stella-Jones from C$79.00 to C$76.00 and set a “sector outperform” rating on the stock in a report on Thursday. Desjardins cut their target price on shares of Stella-Jones from C$99.00 to C$77.00 and set a “buy” rating on the stock in a report on Thursday. Finally, National Bank Financial decreased their target price on Stella-Jones from C$92.00 to C$80.00 and set a “sector perform” rating for the company in a research note on Thursday. Five investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, Stella-Jones has a consensus rating of “Moderate Buy” and an average target price of C$81.62.

Stella-Jones Price Performance

The company has a market capitalization of C$3.49 billion, a price-to-earnings ratio of 13.56, a price-to-earnings-growth ratio of 2.40 and a beta of 0.06. The company has a debt-to-equity ratio of 75.40, a current ratio of 5.25 and a quick ratio of 1.20. The business has a fifty day moving average price of C$67.19 and a 200 day moving average price of C$79.97.

Stella-Jones (TSE:SJ) last posted its quarterly earnings data on Wednesday, November 4th. The company reported C$1.39 earnings per share for the quarter. The business had revenue of C$979.00 million during the quarter. Stella-Jones had a net margin of 7.36% and a return on equity of 12.35%. On average, research analysts expect that Stella-Jones Inc. will post 6.45 earnings per share for the current fiscal year.

Stella-Jones Company Profile

Stella-Jones Inc (TSX: SJ) is a leading North American manufacturer of products focused on supporting infrastructure essential to the electrical distribution and transmission network, and the operation and maintenance of railway transportation systems. It supplies the continent’s major electrical utility companies with treated wood poles and crossarms, steel lattice towers and steel transmission poles, as well as North America’s Class 1, short line and commercial railroad operators with treated wood railway ties.