South Bow Corp. (SOBO:CA)
South Bow Corp. received a target price increase from Jefferies & Company, raising the target to C$45.00 from C$39.00, reflecting growing confidence in the company’s capacity to deliver sustained growth across multiple fronts. Jefferies highlighted South Bow’s established operating footprint and scalable asset base as key advantages, positioning the company to pursue material organic growth through expansions, optimization projects, and improved utilization of existing infrastructure.
The firm also emphasized South Bow’s strong access to capital and balance sheet flexibility, which it believes will enable the company to pursue accretive merger and acquisition opportunities without compromising financial discipline. In Jefferies’ view, this financial capacity provides South Bow with a strategic edge in consolidating fragmented markets or acquiring complementary assets that enhance earnings and cash flow visibility.
The increased valuation reflects expectations that South Bow can compound value through a combination of internally funded growth initiatives and disciplined M&A, supporting a more attractive long-term earnings trajectory and justifying a higher valuation multiple.
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