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Aecon Reports Record Backlog Amidst First Quarter Losses

Story Highlights
  • Aecon Group Inc. has a record backlog of $9.7 billion, signaling strong future revenue.
  • Despite a Q1 operating loss, Aecon secured major contracts, strengthening its market position.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.

Aecon Group Inc. ( (TSE:ARE) ) has issued an update.

Aecon Group Inc. reported a record backlog of $9.7 billion for the first quarter of 2025, indicating strong future revenue prospects despite an operating loss of $40.7 million. The company secured significant new contracts, including a major project with Ontario Power Generation and a substantial share in the Scarborough Subway Extension, which bolsters its market position and underscores its commitment to sustainable growth.

Spark’s Take on TSE:ARE Stock

According to Spark, TipRanks’ AI Analyst, TSE:ARE is a Neutral.

Aecon Group Inc. is currently facing financial challenges with declining revenues and profitability, impacting its financial performance score. However, the company shows potential for recovery with a strong backlog and strategic growth initiatives, reflected in the earnings call and corporate events scores. The technical analysis indicates weak momentum, and valuation is hampered by negative earnings, though the dividend yield provides some support. Overall, the stock score suggests cautious optimism for future improvement.

To see Spark’s full report on TSE:ARE stock, click here.

More about Aecon Group Inc.

Aecon Group Inc. is a leading construction and infrastructure development company in Canada, focusing on delivering integrated solutions across the construction, infrastructure, and industrial sectors. The company is known for its involvement in large-scale projects and strategic acquisitions, aiming to enhance shareholder value through disciplined capital allocation.

YTD Price Performance: -36.61%

Average Trading Volume: 513,187

Technical Sentiment Signal: Hold

Current Market Cap: C$1.07B

Learn more about ARE stock on TipRanks’ Stock Analysis page.

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