Power Corporation of Canada (POW.TO) was downgraded to Hold from Buy at TD Securities on Thursday.
Analyst Graham Ryding raised his price target on shares of the Montreal-based management and holding company to $84 from $74 following its quarterly results.
"Earnings growth from core operating companies is evident," Ryding said in a note to clients. "The alternative asset manager continues to scale."
"Capital returns are healthy (dividend increases and buybacks)," the analyst said.
"We have increased our target price (rolling forward estimates and higher multiple)," Ryding said.
"These positives appear priced-in (P/E is 3.1x higher than the L5Y average). The total return potential suggests a Hold rating at this time."