Maple Leaf Foods (TSE:MFI) Stock Gets Downgrade from Scotiabank

Maple Leaf Foods (TSE:MFI) was downgraded by research analysts at Scotiabank from a “sector outperform” rating to a “hold” rating in a research note issued on Thursday, Marketbeat Ratings reports. They currently have a C$33.00 price target on the stock, up from their previous price target of C$30.00. Scotiabank‘s price objective would suggest a potential upside of 22.68% from the company’s current price.

Several other research analysts have also recently issued reports on MFI. Desjardins lowered their price objective on Maple Leaf Foods from C$36.00 to C$33.00 and set a “buy” rating for the company in a research report on Thursday. Ventum Capital lowered their price target on Maple Leaf Foods from C$37.00 to C$35.00 and set a “buy” rating for the company in a report on Wednesday, October 21st. Canaccord Genuity Group dropped their price target on shares of Maple Leaf Foods from C$39.00 to C$37.00 and set a “buy” rating on the stock in a research note on Thursday, August 13th. National Bank Financial dropped their price target on shares of Maple Leaf Foods from C$34.00 to C$29.00 and set an “outperform” rating on the stock in a research note on Wednesday, October 14th. Finally, Canadian Imperial Bank of Commerce set a C$36.00 price objective on shares of Maple Leaf Foods and gave the stock an “outperformer” rating in a report on Monday, July 27th. One analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Buy” and an average price target of C$34.45.

Maple Leaf Foods Stock Down 0.9%

Shares of MFI stock traded down C$0.24 on Thursday, reaching C$26.90. 381,725 shares of the stock were exchanged, compared to its average volume of 276,707. The company has a market capitalization of C$3.34 billion, a price-to-earnings ratio of 6.61, a PEG ratio of 18.07 and a beta of 0.39. The business’s 50 day moving average price is C$26.03 and its 200 day moving average price is C$28.08. The company has a current ratio of 1.41, a quick ratio of 0.54 and a debt-to-equity ratio of 6.45. Maple Leaf Foods has a twelve month low of C$23.35 and a twelve month high of C$31.87.

Maple Leaf Foods (TSE:MFI) last posted its quarterly earnings results on Wednesday, November 4th. The company reported C$0.36 earnings per share for the quarter. The company had revenue of C$1.03 billion for the quarter. Maple Leaf Foods had a return on equity of 37.16% and a net margin of 12.48%. As a group, sell-side analysts expect that Maple Leaf Foods will post 1.43 earnings per share for the current fiscal year.

Insider Transactions at Maple Leaf Foods

In other news, Director Andrew Gordon Macdonald purchased 10,000 shares of the company’s stock in a transaction that occurred on Friday, September 4th. The shares were purchased at an average price of C$26.78 per share, for a total transaction of C$267,800.00. Following the purchase, the director directly owned 72,200 shares of the company’s stock, valued at C$1,933,516. This represents a 16.08% increase in their position. 39.87% of the stock is owned by corporate insiders.

Key Headlines Impacting Maple Leaf Foods

Here are the key news stories impacting Maple Leaf Foods this week:

• Neutral Sentiment: TD and Stifel cut their price targets to C$35 from C$36, while keeping “buy” ratings; Desjardins lowered its target to C$33 from C$36 and also retained “buy.” RBC trimmed its target to C$33 from C$34 but maintained “outperform.” The new targets imply about 23%–30% upside, tempering the negative signal from the reductions. TD analyst rating
• Negative Sentiment: Scotiabank downgraded Maple Leaf from “sector outperform” to “hold,” despite raising its target to C$33 from C$30. The rating cut signals less conviction in near-term performance. Scotiabank analyst rating
• Negative Sentiment: Reports of rising fuel surcharges and higher feed costs point to cost pressure in poultry. Higher poultry prices may help pass those costs on, but the extent of the offset is unclear. Report on fuel surcharges and feed costs

Maple Leaf Foods Company Profile

Maple Leaf Foods (TSX: MFI) is a purpose-driven, protein-focused, brand-led consumer packaged goods company headquartered in Mississauga, Ontario. It proudly produces responsibly made, delicious food under powerhouse brands that include Maple Leaf, Maple Leaf Prime, Maple Leaf Natural Selections, Maple Leaf Mighty Protein, Musafir, Schneiders, Mina Halal, Greenfield Natural Meat Co, LightLife, Field Roast, and Yves Veggie Cuisine. Committed to Raising the Good in Food and bringing customers protein with purpose, Maple Leaf Foods delivers shared value for all its stakeholders by leading the way in safety and sustainability, building loved brands, operating with excellence, developing extraordinary talent, and broadening its impact through innovation and geographic reach.