Scotia Issues Pessimistic Forecast for Linamar (TSE:LNR) Stock Price

Linamar (TSE:LNR) had its target price lowered by analysts at Scotia from C$111.00 to C$103.00 in a research report issued on Thursday, BayStreet reports. The brokerage currently has a “sector perform” rating on the stock. Scotia‘s price target points to a potential upside of 19.36% from the company’s previous close.

LNR has been the topic of a number of other reports. TD decreased their target price on Linamar from C$123.00 to C$120.00 and set a “buy” rating on the stock in a research note on Thursday, October 8th. Scotiabank boosted their price objective on Linamar from C$102.00 to C$114.00 and gave the stock a “sector perform” rating in a report on Thursday, August 13th. Canadian Imperial Bank of Commerce upped their price objective on shares of Linamar from C$115.00 to C$120.00 in a research report on Thursday, August 13th. Finally, BMO Capital Markets downgraded shares of Linamar from an “outperform” rating to a “hold” rating and set a C$105.00 target price on the stock. in a research note on Friday, September 18th. One investment analyst has rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of C$108.86.

Linamar Price Performance

TSE:LNR traded down C$1.32 during trading hours on Thursday, hitting C$86.29. The stock had a trading volume of 154,742 shares, compared to its average volume of 139,783. The company has a 50 day simple moving average of C$94.61 and a two-hundred day simple moving average of C$94.99. The firm has a market capitalization of C$5.09 billion, a price-to-earnings ratio of 7.53, a P/E/G ratio of 1.12 and a beta of 1.53. The company has a debt-to-equity ratio of 30.14, a current ratio of 1.88 and a quick ratio of 0.75. Linamar has a one year low of C$73.27 and a one year high of C$110.58.

Linamar (TSE:LNR) last issued its quarterly earnings data on Wednesday, November 4th. The company reported C$2.59 earnings per share (EPS) for the quarter. The company had revenue of C$3.08 billion for the quarter. Linamar had a return on equity of 10.39% and a net margin of 5.69%. Research analysts forecast that Linamar will post 11.43 earnings per share for the current fiscal year.

Insider Transactions at Linamar

In other news, Director Mark Stoddart sold 18,932 shares of the company’s stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of C$105.58, for a total value of C$1,998,840.56. Following the completion of the transaction, the director directly owned 455,914 shares in the company, valued at approximately C$48,135,400.12. This represents a 3.99% decrease in their position. 33.49% of the stock is currently owned by company insiders.

Linamar News Summary

Here are the key news stories impacting Linamar this week:

• Positive Sentiment: Linamar reported higher third-quarter earnings and sales, with EPS of C$2.59 and revenue of C$3.08 billion. Linamar Reports Higher Earnings, Sales for Third Quarter
• Positive Sentiment: The company announced a buyback of 3,723,719 shares—6.38% of its issued share capital—which could support per-share value by reducing the share count. Linamar Announces an Equity Buyback
• Positive Sentiment: Linamar declared a quarterly dividend of $0.32 per share, equivalent to a $1.28 annualized payout and a reported 1.5% yield.
• Negative Sentiment: TD Securities (also identified as TD Cowen in coverage) lowered its rating to “hold” from “buy” or “strong-buy” and cut its price target to C$106 from C$120. The downgrade may temper investor expectations despite the target’s stated upside. TD Cowen Downgrades Linamar to Hold
• Negative Sentiment: Scotia reduced its price target to C$103 from C$111 and maintained a “sector perform” rating, signaling a more cautious outlook. Scotia stock recommendations

About Linamar

Linamar Corp is a diversified global manufacturing company of highly engineered products. The Company’s Industrial segment operates the Skyjack and MacDon brands, It manufactures products for the Aerial Work Platform and Agricultural industries, respectively. The Mobility segment features vertically integrated operations to combine expertise in light metal casting, forging, machining and assembly of components and systems for electric and traditional vehicle applications. In addition, McLaren Engineering and eLIN Product Solutions Group provide design, development, and testing services for the Mobility segment.