BMO Capital analyst Tim Casey maintained a Buy rating on Rogers Communication yesterday and set a price target of C$60.00.
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Tim Casey has given his Buy rating due to a combination of factors that indicate a positive outlook for Rogers Communications. The company’s Q3 financial performance exceeded expectations, with revenue and EBITDA slightly surpassing consensus estimates. Despite a challenging environment, Rogers demonstrated resilience in its wireless segment, with net additions in both postpaid and prepaid categories exceeding market expectations. Additionally, the company has shown improvements in organic cable revenue growth, supported by strategic initiatives such as price increases and the expansion of its product offerings.
Furthermore, Rogers is positioned to benefit from potential sports monetization within the next 18 months, which could unlock significant value in its media assets. The company has also adjusted its capital expenditure guidance to reflect regulatory efficiencies, which in turn has led to an increase in free cash flow expectations. These factors, combined with a more favorable competitive landscape in the wireless sector, underpin Tim Casey’s optimistic outlook and Buy rating for Rogers Communications.
According to TipRanks, Casey is a 4-star analyst with an average return of 7.5% and a 59.62% success rate. Casey covers the Communication Services sector, focusing on stocks such as BCE, Rogers Communication, and Cineplex.
In another report released yesterday, Canaccord Genuity also maintained a Buy rating on the stock with a C$55.00 price target.