South Bow (NYSE:SOBO) Sees Unusually-High Trading Volume – Should You Buy?

South Bow Corporation (NYSE:SOBO) shares saw unusually-strong trading volume on Monday. Approximately 3,149,468 shares changed hands during mid-day trading, an increase of 266% from the previous session’s volume of 859,598 shares. The stock last traded at $34.0590 and had previously closed at $33.99.

Analyst Ratings Changes

Several equities research analysts recently issued reports on SOBO shares. Wall Street Zen downgraded South Bow from a “hold” rating to a “sell” rating in a report on Saturday, September 19th. Scotiabank raised their target price on South Bow from $36.00 to $39.00 and gave the company a “sector perform” rating in a report on Tuesday, July 21st. National Bank Financial lifted their target price on South Bow from $31.00 to $35.00 and gave the company a “sector perform” rating in a research report on Monday, June 1st. Royal Bank Of Canada reiterated an “outperform” rating on shares of South Bow in a research note on Monday, August 10th. Finally, Weiss Ratings lowered shares of South Bow from a “buy (a-)” rating to a “buy (b+)” rating in a research note on Tuesday, September 8th. Four research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $33.00.

South Bow Stock Performance

The firm has a market capitalization of $7.09 billion, a price-to-earnings ratio of 15.37 and a beta of 0.14. The firm has a 50 day moving average price of $36.71 and a 200-day moving average price of $35.66. The company has a debt-to-equity ratio of 2.15, a current ratio of 1.52 and a quick ratio of 1.44.

South Bow (NYSE:SOBO) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $0.50 earnings per share for the quarter, topping the consensus estimate of $0.45 by $0.05. The company had revenue of $546.00 million for the quarter, compared to the consensus estimate of $496.87 million. South Bow had a return on equity of 15.84% and a net margin of 22.99%. As a group, sell-side analysts expect that South Bow Corporation will post 1.88 earnings per share for the current fiscal year.

South Bow Dividend Announcement

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

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. Parallel Advisors LLC grew its holdings in South Bow by 140.5% during the 1st quarter. Parallel Advisors LLC now owns 849 shares of the company’s stock worth $28,000 after acquiring an additional 496 shares in the last quarter. EverSource Wealth Advisors LLC raised its holdings in shares of South Bow by 78.2% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,893 shares of the company’s stock valued at $63,000 after purchasing an additional 831 shares in the last quarter. Kelleher Financial Advisors purchased a new stake in shares of South Bow during the 2nd quarter worth $68,000. Clearstead Advisors LLC grew its stake in shares of South Bow by 192.5% during the fourth quarter. Clearstead Advisors LLC now owns 2,150 shares of the company’s stock worth $59,000 after purchasing an additional 1,415 shares in the last quarter. Finally, Integrated Wealth Concepts LLC purchased a new position in South Bow in the second quarter valued at $81,000.

About South Bow

South Bow Corporation is a North American crude oil transportation and storage company headquartered in Calgary, Alberta. The company owns and operates infrastructure that moves crude oil from producing regions in Western Canada to refining and export markets in the United States.

South Bow’s principal asset is the Keystone Pipeline System, which connects oil supplies from the Western Canadian Sedimentary Basin with refineries and storage hubs in the U.S. Midwest and along the U.S. Gulf Coast.