South Bow (NYSE:SOBO) Upgraded to Strong-Buy at TD Securities

TD Securities upgraded shares of South Bow (NYSE:SOBO) from a hold rating to a strong-buy rating in a report published on Monday morning,Zacks reports.

Several other brokerages have also issued reports on SOBO. Weiss Ratings lowered South Bow from a “buy (a-)” rating to a “buy (b+)” rating in a research note on Tuesday, September 8th. Raymond James Financial reaffirmed an “outperform” rating on shares of South Bow in a research report on Wednesday, October 14th. Scotiabank lifted their price objective on shares of South Bow from $36.00 to $39.00 and gave the company a “sector perform” rating in a research note on Tuesday, July 21st. Wall Street Zen upgraded shares of South Bow from a “sell” rating to a “hold” rating in a research note on Saturday. Finally, Barclays boosted their target price on shares of South Bow from $33.00 to $34.00 and gave the company an “underweight” rating in a research report on Thursday, November 5th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, five have assigned a Hold rating and five have issued a Sell rating to the stock. According to MarketBeat.com, South Bow presently has a consensus rating of “Hold” and a consensus target price of $32.67.

South Bow Stock Up 3.7%

Shares of NYSE:SOBO opened at $32.24 on Monday. The company has a market capitalization of $6.73 billion, a price-to-earnings ratio of 14.46 and a beta of 0.17. The company has a debt-to-equity ratio of 2.15, a current ratio of 1.52 and a quick ratio of 1.44. The business’s 50-day moving average is $34.86 and its 200-day moving average is $34.55. South Bow has a 1 year low of $25.87 and a 1 year high of $39.02.

South Bow (NYSE:SOBO) last announced its earnings results on Wednesday, November 4th. The company reported $0.47 EPS for the quarter, beating the consensus estimate of $0.43 by $0.04. South Bow had a return on equity of 15.76% and a net margin of 22.81%. The company had revenue of $503.00 million for the quarter, compared to analyst estimates of $476.02 million. Equities research analysts predict that South Bow will post 1.83 earnings per share for the current year.

South Bow Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, January 15th. Investors of record on Thursday, December 31st will be given a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a yield of 6.2%. The ex-dividend date of this dividend is Thursday, December 31st. South Bow’s payout ratio is presently 89.69%.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in SOBO. Thornburg Investment Management Inc. boosted its holdings in South Bow by 2.4% in the second quarter. Thornburg Investment Management Inc. now owns 3,721,332 shares of the company’s stock worth $130,974,000 after acquiring an additional 88,457 shares in the last quarter. Cibc World Market Inc. bought a new stake in shares of South Bow during the second quarter valued at approximately $119,802,000. Dimensional Fund Advisors LP increased its holdings in shares of South Bow by 24.1% during the first quarter. Dimensional Fund Advisors LP now owns 2,914,614 shares of the company’s stock valued at $97,134,000 after acquiring an additional 565,787 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. bought a new stake in shares of South Bow during the second quarter valued at approximately $97,830,000. Finally, Bank of America Corp DE acquired a new position in shares of South Bow during the second quarter worth approximately $97,176,000.

About South Bow

South Bow is a North American energy infrastructure company focused on transporting and storing crude oil. Its pipeline network connects production areas in Western Canada with refineries and other markets in Canada and the United States.

The company’s assets include the Keystone Pipeline System, which carries crude from Alberta to destinations in the U.S. Midwest and Gulf Coast, along with other liquids pipeline infrastructure in Canada. South Bow was established as an independent company through the separation of TC Energy’s liquids pipelines business in October 2024.

South Bow is headquartered in Calgary, Alberta.