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CIBC Increases Rockpoint's Price Target to C$34.00 from C$33.00 Following Fiscal Q4 Results

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CIBC Capital Markets on Thursday maintained its outperformer rating on the shares of Rockpoint Gas Storage (RGSI.TO) while raising its price target to C$34.00 from C$33.00 following the company's fiscal fourth-quarter results.

RGSI posted solid results for its fiscal fourth quarter, with the company delivering a modest beat. The company booked an adjusted gross margin of $128.7 million in the period, broadly in line with consensus and modestly above CIBC's estimate.

The company's adjusted EBITDA of $109.2 million exceeded the consensus forecast by 3%.

Alongside the modest beat, CIBC noted RGSI's favorable business mix, with stronger-than-expected contributions from short-term storage revenues relative to optimization activity.

"With a constructive FY2027 take-or-pay contracting outlook, the company continues to execute on increasing contributions from its fee-for-service segments," CIBC said.

Price: $29.78, Change: $-0.12, Percent Change: -0.40%

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