ATS (TSE:ATS) Downgraded to “Hold” Rating by TD Securities

TD Securities lowered shares of ATS (TSE:ATS) from a strong-buy rating to a hold rating in a research report released on Monday morning,Zacks.com reports.

A number of other equities research analysts also recently commented on ATS. Scotiabank increased their price objective on ATS from C$48.00 to C$51.00 and gave the company a “sector outperform” rating in a research report on Tuesday, April 28th. TD cut ATS from a “buy” rating to a “hold” rating and decreased their target price for the stock from C$49.00 to C$33.00 in a report on Monday. Stifel Nicolaus cut their target price on ATS from C$52.00 to C$44.00 and set a “buy” rating on the stock in a research report on Friday. Desjardins reduced their target price on ATS from C$52.00 to C$46.00 and set a “buy” rating for the company in a report on Friday. Finally, Royal Bank Of Canada decreased their price target on ATS from C$50.00 to C$41.00 in a research report on Monday. Six equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, ATS presently has a consensus rating of “Moderate Buy” and an average target price of C$42.25.

ATS Price Performance

TSE ATS opened at C$27.51 on Monday. The company’s 50 day simple moving average is C$38.24 and its 200 day simple moving average is C$41.12. ATS has a 12 month low of C$27.36 and a 12 month high of C$49.48. The company has a market capitalization of C$2.67 billion, a P/E ratio of 57.31 and a beta of 1.20.

ATS (TSE:ATS) last issued its earnings results on Thursday, August 6th. The company reported C$0.35 earnings per share for the quarter. The firm had revenue of C$698.30 million during the quarter. ATS had a net margin of 1.61% and a return on equity of 2.66%.

Insiders Place Their Bets

In other ATS news, insider Miroslav Kafedzhiev purchased 4,737 shares of the stock in a transaction dated Tuesday, July 7th. The shares were acquired at an average price of C$39.12 per share, for a total transaction of C$185,311.44. Following the completion of the acquisition, the insider owned 4,737 shares of the company’s stock, valued at C$185,311.44. This represents a ∞ increase in their position. Also, insider Anne Cybulski purchased 289 shares of the company’s stock in a transaction that occurred on Tuesday, July 7th. The shares were acquired at an average cost of C$289.00 per share, for a total transaction of C$83,521.00. Following the completion of the transaction, the insider directly owned 876 shares of the company’s stock, valued at C$253,164. This trade represents a 49.23% increase in their position. Insiders have acquired a total of 7,311 shares of company stock valued at $358,222 over the last quarter. 0.97% of the stock is owned by insiders.

Key Stories Impacting ATS

Here are the key news stories impacting ATS this week:

• Positive Sentiment: Despite the reductions, several analysts still see potential upside: TD Securities set a C$33.00 target, while RBC, National Bank Financial, Desjardins and Stifel maintained targets ranging from C$41.00 to C$46.00. BayStreet analyst ratings
• Neutral Sentiment: Raymond James, National Bank Financial, Desjardins and Stifel each lowered their price targets to C$33.00, C$42.00, C$46.00 and C$44.00, respectively. The targets imply considerable upside from current levels, but the coordinated reductions indicate more cautious expectations. Raymond James cuts ATS price target National Bank Financial cuts ATS price target Desjardins cuts ATS price target Stifel cuts ATS price target
• Negative Sentiment: TD Securities downgraded ATS from “strong buy” to “hold,” following its earlier cut from “buy” to “hold,” and reduced its target from C$49.00 to C$33.00. The downgrade removes a key bullish endorsement and is the clearest catalyst for weakness in the shares. Zacks analyst rating update
• Negative Sentiment: RBC lowered its ATS price target from C$50.00 to C$41.00, reinforcing the broader analyst reassessment of the company’s prospects. BayStreet analyst ratings

ATS Company Profile

ATS Corp formerly, ATS Automation Tooling Systems Inc is a Canada-based company that provides automation systems. The company designs and builds customized automated manufacturing and testing systems for customers, and provides pre- and post-automation services. The company’s products comprise conveyor systems, automated electrified monorails, tray handlers, laser systems, and other hardware and software products. The company also provides pre-automation solutions, including strategic direction and planning services, as well as aftermarket support.