Altagas Ltd. (ALA:CA) (ATGFF)
JPMorgan raises its 12 month target price forecast on Altagas to C$41 from C$39, expecting solid first-quarter results on the back of the company’s continued focus on meaningful deleveraging over the past several years. The upgrade reflects the growing optimism about the company’s near-term financial performance. The investment bank anticipates robust first-quarter results, underpinned by Altagas’ disciplined execution of its long-term deleveraging strategy.
Over the past several years, Altagas has actively worked to reduce its debt load, streamline operations, and focus on its core infrastructure and utilities businesses. This financial prudence has improved the company’s balance sheet strength, enhanced its credit metrics, and positioned it to capitalize on growth opportunities while weathering macroeconomic uncertainties.
JPMorgan noted that this strategic deleveraging not only reduces financial risk but also supports sustainable dividend payouts and future capital investments. As a result, the firm sees upside potential in Altagas’ stock as investor confidence builds ahead of the Q1 earnings release.
The price target increase signals that JPMorgan expects strong operating performance in both the utilities and midstream segments, likely aided by favorable commodity pricing, volume growth, and cost management efforts.
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