Evertz: Solid Q3 Beat, Expanding Software Mix and Defense Upside Support Buy Rating and Higher Target

BMO Capital analyst Thanos Moschopoulos maintained a Buy rating on Evertz Technologies yesterday and set a price target of C$17.50.

Thanos Moschopoulos has given his Buy rating due to a combination of factors, starting with Evertz’s Q3/26 performance coming in modestly ahead of expectations on both revenue and EBITDA, supported by continuing momentum in higher-margin software and services. He also highlights disciplined operating expenses and improving operating leverage, which contributed to solid profitability and support his increased target price.

In addition, Moschopoulos points to the company’s strong cash generation, attractive dividend yield, and an increasingly favorable revenue mix shifting toward software and cloud offerings. He further notes the emerging upside from potential defense-related contracts in Canada and the U.S., where Evertz’s capabilities and manufacturing footprint could open incremental growth opportunities over time, making the current valuation look compelling.

In another report released today, TipRanks – Anthropic also reiterated a Buy rating on the stock with a C$18.50 price target.