Research
TMX Group Price Target Raised By $2 at RBC
RBC Capital Markets raised its price target on TMX Group Ltd. (X.TO) to $71 from $69 on Monday.Analyst Bart Dziarski maintained an Outperform rating on shares of the Canadian financial services company.On June 11, TMX announced that it was acquiring RIFI Indices for US$490 Million."We believe TMX's acquisition of RAFI Indices from Research Affiliates represents an accretive deployment of capital (we estimate ~3%) and is strategically sound with recurring revenue, revenue outside Canada, and revenue from Global Insights all increasing," Dziarski said in a note to clients."We assume Q4/26 close and increase our 2027 estimates to reflect the transaction (which is entirely debt financed)," the analyst said."Valuation remains attractive with TMX trading at 18x 2027E P/E, a 2x discount to global peers and below its 5-year average."(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)
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