BMO Sees Positivity In Latest Rogers Communications Financial Results

On October 21st at 11:28 PM, Rogers Communications (TSX: RCI)  announced a change of directors with the Control Trust Chair leading the change, saying “The Control Trust Chair is disappointed with recent events and commentary regarding the governance of RCI and has lost confidence in the Board of RCI as currently constituted.” The Control Trust currently owns 97.53% of the Class A shares, effectively bypassing the approval of at least 66.6% of the holders.

Surprisingly, only 15 analysts cover Rogers Communication with an average 12-month price target of C$71,93 or a 20% upside. Out of the 15 analysts, 3 have strong buy ratings, 9 have buys, 2 have holds and 1 analyst has a sell rating. The street high sits at C$80 from Scotia Bank while the lowest comes in at C$64.

BMO Capital Markets raised their 12-month price target to C$72 following the company financial results, the note looks to have come out before the drama talked about above. BMO Capital Markets says that they have raised the 12-month price target due to a governance resolution.

For the third quarter, revenues came in flat at $3.666 billion, slightly lower than the consensus $3.681 billion. EBITDA came in 2% lower to $1.6 billion while free cash flow came in at $507 million, down from the $868 million last year. BMO calls the operating metrics and wireless financials solid, with the company reporting 2.9 million unlimited customers, an increase of 200,000.

Below you can see BMO’s updated 2021 and 2022 estimates which include a “modest increase” in their CAPEX estimates for 2022 and 2023.


Information for this briefing was found via Sedar and Refinitiv. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Silver’s Finally Breaking the System | Keith Neumeyer – First Majestic

The Best News for Gold Was the Drop! – Peter Grandich

McEwen Copper: The Los Azules Feasibility Study

Recommended

Steadright To Conduct Multi-Phased Exploration At Historic Goundafa Polymetallic Mine

Goliath Resources Drills 10.72 g/t Gold Over 7.83 Metres At Surebet

Related News

Xebec Adsorption: Canaccord Gets Bullish On Company, Lifts Price Target

On April 12th, Xebec Adsorption (TSX: XBC) announced that it received a US$113.5 million order...

Saturday, April 16, 2022, 11:17:00 AM

Amazon: Analysts Call For $16.55 Billion In Q3 EBITDA

Amazon.com Inc (NASDAQ: AMZN) will be reporting its third quarter financial results on October 28th...

Wednesday, October 27, 2021, 03:36:00 PM

CloudMD: Canaccord Remains Bullish Following Virtual Conference

Recently, CloudMD Software & Services (TSXV: DOC)‘s CEO Essam Hamza participated in Canaccord Genuity’s Health...

Wednesday, November 25, 2020, 11:11:00 AM

Galaxy Digital: BMO Anticipates Contagion From FTX To Impact Firm

As crypto is facing its own Leman Brothers’ moment, with the third largest exchange stopping...

Sunday, November 13, 2022, 05:27:00 PM

K92 Mining Sees BMO Reiterate $11 Price Target

On November 15th, K92 Mining Inc. (TSX: KNT) reported its third quarter earnings. The company...

Saturday, November 20, 2021, 12:17:00 PM