-- CIBC Capital Markets reiterated its outperformer rating on the shares of Capital Power (CPX.TO) while trimming its price target to C$80.00 from C$82.00 after the company reported first-quarter results on Wednesday .
CIBC believes the weakness in the share price following Capital Power's results is not justified and likely reflects investor impatience on the company delivering catalysts.
"However, we come away from Q1 results with continued confidence in CPX's medium-term growth outlook," CIBC said. "We believe that as more clarity on policies in Alberta and PJM come, the ability to drive upside from current assets (and future investments) will materialize."
More definitive progress on data centers and the phase 2 process in Alberta, along with progress on U.S. growth, could serve as catalysts that could push the share price higher, CIBC said.
The share price weakness represents as a buying opportunity, CIBC said.
Price: $65.62, Change: $+3.25, Percent Change: +5.20%