Zacks Investment Research upgraded shares of Tc Pipelines (NYSE:TRP) (TSE:TRP) from a hold rating to a buy rating in a research note published on Monday morning. Zacks Investment Research currently has $45.00 target price on the pipeline company’s stock.
According to Zacks, “Following TransCanada Corporation's stronger-than-expected third-quarter earnings, the company's rating is upgraded to a 'Buy’. Over the past few quarters, TransCanada's operational and financial results have been meeting or exceeding expectations on the back of strength in its expansion projects in U.S. gas pipelines and liquids segments. TRP is a predominantly natural gas pipeline operator with operations spanning Canada, the United States and Mexico. A quality stock with industry leading wide moat assets, it has a secured portfolio of C$36 billion in growth projects. This should support the company’s stated dividend growth commitment of 8-10% annually out to 2021. Underpinned by long-term contracts, TransCanada’s low-risk, recession-proof business model offers investors rock-solid revenue and cash flow stability. Consequently, TRP is viewed as a preferred midstream play to own now.”
TRP has been the topic of a number of other reports. Goldman Sachs Group started coverage on Tc Pipelines in a research note on Monday, October 8th. They set a neutral rating and a $38.00 price objective on the stock. UBS Group started coverage on Tc Pipelines in a research note on Thursday, October 4th. They issued a neutral rating on the stock. CIBC reissued a buy rating on shares of Tc Pipelines in a research note on Monday, November 12th. Morgan Stanley set a $28.00 target price on Tc Pipelines and gave the stock a sell rating in a research note on Friday, September 14th. Finally, GMP Securities reissued an average rating and issued a $66.00 target price on shares of Tc Pipelines in a research note on Monday. Two investment analysts have rated the stock with a sell rating, four have given a hold rating and eight have issued a buy rating to the company. The stock has a consensus rating of Hold and a consensus target price of $50.67.
Tc Pipelines (NYSE:TRP) (TSE:TRP) last announced its quarterly earnings data on Thursday, November 1st. The pipeline company reported $1.00 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.59 by $0.41. Tc Pipelines had a return on equity of 13.43% and a net margin of 25.58%. The firm had revenue of $3.16 billion for the quarter. During the same period last year, the business posted $0.70 earnings per share. The firm’s quarterly revenue was down 1.2% compared to the same quarter last year. As a group, analysts anticipate that Tc Pipelines will post 2.82 EPS for the current year.
The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 31st. Investors of record on Monday, December 31st will be paid a $0.524 dividend. The ex-dividend date is Friday, December 28th. This represents a $2.10 annualized dividend and a dividend yield of 5.14%. Tc Pipelines’s payout ratio is presently 89.50%.
Hedge funds and other institutional investors have recently bought and sold shares of the stock. Clal Insurance Enterprises Holdings Ltd grew its stake in shares of Tc Pipelines by 328.6% in the second quarter. Clal Insurance Enterprises Holdings Ltd now owns 6,000 shares of the pipeline company’s stock worth $259,000 after purchasing an additional 4,600 shares during the last quarter. Icon Wealth Partners LLC grew its stake in shares of Tc Pipelines by 42.5% in the second quarter. Icon Wealth Partners LLC now owns 6,865 shares of the pipeline company’s stock worth $297,000 after purchasing an additional 2,047 shares during the last quarter. Archford Capital Strategies LLC bought a new stake in shares of Tc Pipelines in the second quarter worth about $307,000. FDx Advisors Inc. lifted its holdings in Tc Pipelines by 36.1% in the second quarter. FDx Advisors Inc. now owns 9,338 shares of the pipeline company’s stock worth $403,000 after buying an additional 2,475 shares during the period. Finally, SG Americas Securities LLC lifted its holdings in Tc Pipelines by 88.3% in the second quarter. SG Americas Securities LLC now owns 16,979 shares of the pipeline company’s stock worth $733,000 after buying an additional 7,961 shares during the period. 60.46% of the stock is currently owned by institutional investors.
Tc Pipelines Company Profile
TransCanada Corporation operates as an energy infrastructure company in North America. It operates through Canadian Natural Gas Pipelines, U.S. Natural Gas Pipelines, Mexico Natural Gas Pipelines, Liquids Pipelines, and Energy segments. The company transports natural gas to local distribution companies, power generation and individual facilities, interconnecting pipelines, and other businesses.
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