RBC Capital Markets raised its price target on AutoCanada Inc. (ACQ.TO) to $23 from $18 on Tuesday.
Analyst Sabahat Khan maintained a Sector Perform rating on shares of the Canadian multi-location automobile dealership group following its quarterly results.
"ACQ reported Q1 Adj. EBITDA/EPS above consensus, while top-line and GPU trends remain soft (SSS was -4.3% YoY on weaker new/used vehicle volumes)," Khan said in a note to clients.
"2026 outlook calls for GPUs to remain weak through H1/26 (Used car GPU expected to normalize in H2/26 and ~9-12 months for new car and parts and service recovery)," the analyst said.
"Overall, we remain on the sidelines in search of better visibility and an inflection in underlying results."