2023-11-03 14:35:00
Bombardier delivered 31 aircraft in the third quarter, six more than the 25 last year in the same quarter. (Photo: 123RF)
What to do with the securities of Bombardier, Cogeco and TVA? Here are some analyst recommendations likely to move prices soon. Note: the author may have a completely different opinion than that expressed by the analysts.
Bombardier (BBD, $48.57): results beyond expectations
The third quarter results revealed by Bombardier turned out to be beyond expectations, in particular because of the business jet market which remains healthy, indicates National Bank Financial Markets.
Revenues were $1.856 billion, an increase of 28%, while the National Bank forecast $1.611 billion. The market consensus was $1.753 billion. Earnings before interest, taxes and depreciation (EBITDA) was $285 million (margin of 15.4%), also ahead of the forecast of the National Bank ($242 million) and the market ($266 million). Earnings per share turned out to be $0.73 (compared to $0.48 expected by the financial institution).
Bombardier delivered 31 aircraft in the third quarter, six more than the 25 last year in the same quarter.
The order backlog fell somewhat, from $14.9 billion to $14.7 billion, but neither analyst Cameron Doerksen nor Bombardier CEO Éric Martel are concerned. Éric Martel also underlined, in a teleconference, that the order book-billing ratio is at 1.1, while the company says it wants to maintain a ratio of 1.0, which should not cause a problem from now on. the end of 2024.
“The market is very active,” explains Éric Martel. Fleet operators are doing very well, and we are putting a lot of effort into the defense sector. It’s a long-term job, but we anticipate starting to generate orders in 2024.”
The National Bank analyst believes that the third quarter results demonstrate that the business jet market is generally healthy and that Bombardier’s order book should support ongoing improvements in both revenue and flow. Treasury.
National Bank maintains its forecast of outperformance of Bombardier shares compared to its sector of activity as well as its target price of $93.
TO FOLLOW: Cogeco (CCA, $55.16): network expansion puts cash flow under pressure
1699026243
#watch #Bombardier #Cogeco #TVA
