Tricon Residential Rating Downgraded to Market Perform by BMO Capital Markets

Investment analysts at BMO Capital Markets have adjusted their stance on shares of Tricon Residential, previously rated as an 'outperform,' down to a 'market perform' classification. This change in rating was publicized in a recent report, indicating a more neutral outlook on the real estate investment company's stock.

Analysts' Evaluations and Price Target Adjustments

Tricon Residential has experienced a variety of opinions from equity analysts. CIBC has cut their price target from $11.50 to $10.00, though they continue to suggest an 'outperform' rating for the stock. Conversely, National Bank Financial maintains a 'sector perform under weight' stance, and Scotiabank reduced their price objective from $10.25 to $10.00 while still supporting an 'outperform' rating. Royal Bank of Canada has decreased their price target to $9.00 and adjusted their rating to 'market perform.' Raymond James stands out with a higher price target increase from $9.00 to $10.50 and a 'strong-buy' recommendation. The aggregate sentiment from MarketBeat.com data gives Tricon Residential a 'Hold' consensus rating with an average price target estimate of $10.45.

Stock Performance and Financial Highlights

The company's stock opened at $11.04 on the report's release date, showing stability above its fifty-day and two-hundred-day simple moving averages of $8.63 and $8.26, respectively. Tricon's financial ratios, including a current ratio and a quick ratio both at 0.25, accompanied by a debt-equity ratio of 1.30, reflect its capital structure and liquidity position. The firm reached a 1-year low of $6.53, a high of $11.15, and boasts a market value of around $3.02 billion with a P/E ratio of 20.44 and a beta of 1.44.

In their latest quarterly report, Tricon Residential declared earnings of $0.18 per share, surpassing the $0.14 consensus estimate among analysts. With a net margin of 42.50% and a 5.52% return on equity, the company generated $124.98 million in revenue, although it fell short of the anticipated $135.09 million. Predictions for the fiscal year suggest earnings of $0.56 per share for Tricon Residential.

Dividend Announcements and Institutional Investment

Tricon recently distributed a quarterly dividend on January 15th, with stockholders recorded as of December 31st receiving a $0.058 dividend per share. This amounts to an annual dividend of $0.23, which translates to a yield of 2.10%, with the ex-dividend date being December 28th. The payout ratio currently stands at 42.59%.

Big investors have made several adjustments to their Tricon Residential holdings. Advisors Asset Management increased their ownership by nearly 26.9%, and institutions like Great West Life Assurance Co., Sei Investments Co., and LPL Financial LLC have also adjusted their investments, reflecting a broad interest from the institutional community, which holds 55.83% of the company's shares.

About Tricon Residential

Tricon Residential Inc operates a sizable portfolio of over 37,000 single-family rental homes across the U.S. Sun Belt and various multi-family apartment units in Canada. The company focuses on enhancing the lives of its employees, residents, and the communities it serves, emphasizing its cultural and business ethos.

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