Canadian Imperial Bank of Commerce Downgrades AutoCanada (TSE:ACQ) to Hold

AutoCanada (TSE:ACQ) was downgraded by investment analysts at Canadian Imperial Bank of Commerce from an “outperform” rating to a “hold” rating in a research note issued on Friday, MarketBeat.com reports. They currently have a C$20.00 target price on the stock, down from their previous target price of C$34.00. Canadian Imperial Bank of Commerce’s price objective suggests a potential upside of 16.62% from the company’s current price.

A number of other brokerages have also recently issued reports on ACQ. Acumen Capital boosted their target price on shares of AutoCanada from C$35.50 to C$39.25 and gave the company a “speculative buy” rating in a report on Tuesday, January 27th. ATB Cormark Capital Markets cut their price target on AutoCanada from C$25.00 to C$22.00 and set a “sector perform” rating for the company in a report on Thursday. National Bank Financial cut AutoCanada from an “outperform” rating to a “hold” rating and reduced their price target for the company from C$29.00 to C$24.00 in a research report on Thursday. Royal Bank Of Canada dropped their price objective on AutoCanada from C$28.00 to C$18.00 in a report on Thursday. Finally, Canaccord Genuity Group downgraded AutoCanada from a “buy” rating to a “hold” rating and cut their target price for the stock from C$42.00 to C$22.00 in a research note on Thursday. Two investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of C$24.18.

AutoCanada Stock Performance

Shares of ACQ stock opened at C$17.15 on Friday. The business’s 50-day moving average price is C$25.46 and its 200-day moving average price is C$26.04. AutoCanada has a 12 month low of C$14.00 and a 12 month high of C$35.48. The company has a current ratio of 1.07, a quick ratio of 0.25 and a debt-to-equity ratio of 409.72. The firm has a market capitalization of C$396.15 million, a price-to-earnings ratio of -42.88, a PEG ratio of 0.30 and a beta of 1.76.

AutoCanada (TSE:ACQ) last announced its quarterly earnings results on Wednesday, March 18th. The company reported C($0.06) EPS for the quarter. The business had revenue of C$1.12 billion for the quarter. AutoCanada had a net margin of 0.33% and a return on equity of 3.40%. Equities research analysts forecast that AutoCanada will post 2.4311927 EPS for the current year.

AutoCanada News Roundup

Here are the key news stories impacting AutoCanada this week:

• Negative Sentiment: Q4 results missed expectations — AutoCanada reported C($0.06) EPS on C$1.12B revenue, posted a negative net margin (-0.18%) and negative ROE (-1.67%). Management commentary and the slide deck flagged market headwinds and an internal overhaul. Earnings Transcript
• Negative Sentiment: MarketWatch coverage highlights the share weakness tied to “market headwinds” and the company’s internal overhaul weighing on Q4 results — a narrative that likely pressured sentiment. MarketWatch Article
• Negative Sentiment: BMO Capital Markets cut its price target to C$24 (from C$36) — a sizable trim that signals reduced confidence in the recovery timeline. BayStreet.CA
• Negative Sentiment: Canadian Imperial Bank of Commerce downgraded ACQ from “outperform” to “neutral” and cut its target to C$20 (from C$34), lowering buy-side momentum. BayStreet.CA
• Negative Sentiment: ATB Cormark lowered its target to C$22 (from C$25) and set a “sector perform” rating, reflecting more cautious near-term expectations. BayStreet.CA
• Negative Sentiment: RBC trimmed its target to C$18 (from C$28), signaling limited upside and greater risk perception after Q4. BayStreet.CA
• Negative Sentiment: National Bank Financial downgraded ACQ to “hold” and cut its target to C$24 (from C$29), joining peers in reducing enthusiasm. BayStreet.CA
• Negative Sentiment: Canaccord Genuity moved ACQ from “buy” to “hold” and slashed its target to C$22 (from C$42), a steep reduction that removes a prior bullish driver. BayStreet.CA

About AutoCanada

AutoCanada Inc operates car dealerships in Canada. The company offers new and used vehicles, spare parts, maintenance services, and customer financing. AutoCanada retails brands such as Chrysler, Dodge, Jeep, Ram, Cadillac, Chevrolet, Buick, GMC, Audi, Volkswagen, BMW, Mini, Infiniti, Nissan, Hyundai, Kia, Fiat, Mitsubishi, and Subaru. The majority of revenue is generated in the new-vehicles sales segment.