South Bow (NYSE:SOBO) Stock Moved Up to “Hold” by Wall Street Zen

Wall Street Zen upgraded shares of South Bow (NYSE:SOBO) from a sell rating to a hold rating in a report issued on Saturday,Wall Street Zen reports.

SOBO has been the topic of a number of other research reports. Barclays lifted their price target on South Bow from $33.00 to $34.00 and gave the stock an “underweight” rating in a research note on Thursday. Royal Bank Of Canada restated an “outperform” rating on shares of South Bow in a report on Monday, August 10th. Raymond James Financial restated an “outperform” rating on shares of South Bow in a report on Wednesday, October 14th. Canadian Imperial Bank of Commerce reduced their price objective on South Bow from $36.00 to $35.00 and set a “neutral” rating for the company in a research report on Thursday, October 22nd. Finally, TD Securities reissued a “hold” rating on shares of South Bow in a research report on Thursday, July 16th. Four investment analysts have rated the stock with a Buy rating, six have given a Hold rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $32.67.

South Bow Price Performance

Shares of NYSE:SOBO opened at $31.07 on Friday. The company has a market capitalization of $6.48 billion, a PE ratio of 13.93 and a beta of 0.17. The company has a debt-to-equity ratio of 1.81, a quick ratio of 1.44 and a current ratio of 0.99. The stock has a fifty day moving average of $34.96 and a 200-day moving average of $34.53. South Bow has a one year low of $25.43 and a one year high of $39.02.

South Bow (NYSE:SOBO) last announced its earnings results on Wednesday, November 4th. The company reported $0.47 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.43 by $0.04. South Bow had a return on equity of 15.78% and a net margin of 22.81%. The company had revenue of $503.00 million for the quarter, compared to analyst estimates of $476.02 million. As a group, equities analysts anticipate that South Bow will post 1.83 EPS for the current fiscal year.

South Bow Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, January 15th. Stockholders of record on Thursday, December 31st will be paid a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 6.4%. The ex-dividend date is Thursday, December 31st. South Bow’s dividend payout ratio is 89.69%.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Thornburg Investment Management Inc. lifted its holdings in South Bow by 2.4% in the 2nd quarter. Thornburg Investment Management Inc. now owns 3,721,332 shares of the company’s stock worth $130,974,000 after purchasing an additional 88,457 shares during the last quarter. Cibc World Market Inc. acquired a new position in South Bow during the second quarter valued at approximately $119,802,000. Dimensional Fund Advisors LP grew its holdings in South Bow by 24.1% during the first quarter. Dimensional Fund Advisors LP now owns 2,914,614 shares of the company’s stock valued at $97,134,000 after purchasing an additional 565,787 shares during the last quarter. Connor Clark & Lunn Investment Management Ltd. bought a new position in shares of South Bow in the second quarter valued at approximately $97,830,000. Finally, Bank of America Corp DE bought a new position in shares of South Bow in the second quarter valued at approximately $97,176,000.

Key South Bow News

Here are the key news stories impacting South Bow this week:

• Positive Sentiment: South Bow earned $0.47 per share, above the $0.43 consensus, and revenue of $503 million exceeded estimates of $476 million. Net income also increased year over year. South Bow Posts Higher Q3 Net Income YoY
• Positive Sentiment: The company raised its full-year cash-flow guidance, a sign of improved expectations for cash generation. South Bow Beats Q3 2026 Estimates and Raises Full-Year Cash Flow Guidance
• Positive Sentiment: South Bow declared a quarterly dividend of $0.50 per share, equivalent to $2.00 annualized. The payout may appeal to income-focused investors. South Bow Reports Third-quarter 2026 Results, Provides 2027 Outlook, and Declares Dividend
• Neutral Sentiment: CIBC and Scotiabank maintained Hold ratings, signaling neither a strong bullish nor bearish change in their views. CIBC Keeps Their Hold Rating on South Bow Corp Scotiabank Sticks to Their Hold Rating for South Bow Corp
• Negative Sentiment: Barclays raised its price target from $33 to $34 but retained an Underweight rating. That cautious stance, alongside the two Hold ratings, could temper the positive reaction to the earnings beat.

South Bow Company Profile

South Bow Corp. (NYSE: SOBO) is a liquids-focused energy infrastructure company headquartered in Calgary, Alberta. The company owns and operates crude oil transportation and storage assets that connect Canadian production regions with refineries, storage hubs and export markets in the United States.

South Bow’s primary asset is the Keystone Pipeline System, which transports crude oil from Western Canada to destinations in the U.S. Midwest and along the U.S. Gulf Coast. The company also operates the Marketlink system, which moves crude from Cushing, Oklahoma, to the Gulf Coast, as well as Canadian pipeline assets serving oil sands and other production areas.

South Bow began operating as an independent publicly traded company in October 2024 following its separation from TC Energy.