South Bow (NYSE:SOBO) Upgraded at Wall Street Zen

Wall Street Zen upgraded shares of South Bow (NYSE:SOBO) from a sell rating to a hold rating in a report issued on Saturday morning,Wall Street Zen reports.

SOBO has been the topic of a number of other research reports. Barclays raised their price objective on South Bow from $34.00 to $35.00 and gave the company an “equal weight” rating in a research report on Friday, August 7th. Weiss Ratings lowered shares of South Bow from a “buy (a-)” rating to a “buy (b+)” rating in a research report on Tuesday, September 8th. Royal Bank Of Canada restated an “outperform” rating on shares of South Bow in a report on Monday, August 10th. BMO Capital Markets reaffirmed a “market perform” rating on shares of South Bow in a research report on Monday, July 6th. Finally, Scotiabank boosted their price objective on shares of South Bow from $36.00 to $39.00 and gave the stock a “sector perform” rating in a research note on Tuesday, July 21st. Four research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, South Bow presently has a consensus rating of “Hold” and an average target price of $33.00.

South Bow Stock Performance

Shares of SOBO stock opened at $33.88 on Friday. The firm has a market cap of $7.07 billion, a price-to-earnings ratio of 15.33 and a beta of 0.22. South Bow has a 52-week low of $25.01 and a 52-week high of $39.02. The company has a quick ratio of 1.44, a current ratio of 1.52 and a debt-to-equity ratio of 2.15. The company’s 50 day moving average is $36.19 and its 200 day moving average is $35.67.

South Bow (NYSE:SOBO) last announced its earnings results on Wednesday, August 5th. The company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.05. South Bow had a return on equity of 15.84% and a net margin of 22.99%.The business had revenue of $546.00 million for the quarter, compared to analysts’ expectations of $496.87 million. On average, sell-side analysts anticipate that South Bow will post 1.88 EPS for the current fiscal year.

South Bow Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 15th. Stockholders of record on Tuesday, September 29th will be issued a dividend of $0.50 per share. The ex-dividend date is Tuesday, September 29th. This represents a $2.00 annualized dividend and a dividend yield of 5.9%. South Bow’s dividend payout ratio is 90.50%.

Hedge Funds Weigh In On South Bow

Hedge funds and other institutional investors have recently modified their holdings of the stock. Capital International Investors grew its position in South Bow by 0.6% during the 4th quarter. Capital International Investors now owns 15,483,085 shares of the company’s stock worth $425,840,000 after purchasing an additional 94,772 shares during the last quarter. Clearbridge Investments LLC grew its holdings in shares of South Bow by 3.0% during the fourth quarter. Clearbridge Investments LLC now owns 7,262,965 shares of the company’s stock valued at $199,514,000 after buying an additional 209,864 shares during the last quarter. Thornburg Investment Management Inc. grew its holdings in shares of South Bow by 2.4% during the second quarter. Thornburg Investment Management Inc. now owns 3,721,332 shares of the company’s stock valued at $130,974,000 after buying an additional 88,457 shares during the last quarter. Cibc World Market Inc. acquired a new position in shares of South Bow in the 2nd quarter valued at $119,802,000. Finally, Connor Clark & Lunn Investment Management Ltd. acquired a new position in shares of South Bow in the 2nd quarter valued at $97,830,000.

About South Bow

South Bow Corp. (NYSE: SOBO) is a midstream energy company focused on the transportation and handling of crude oil. The company owns and operates liquids pipeline infrastructure that connects Western Canadian production with refining and export markets in the United States.

Its principal asset is the Keystone Pipeline System, which transports crude oil from Canada to destinations in the U.S. Midwest and along the U.S. Gulf Coast. South Bow also operates related gathering, transportation and storage assets that support producers, refiners and other customers across the North American energy network.

South Bow was established as an independent publicly traded company through the separation of TC Energy’s liquids pipelines business, which was completed in 2024.