Bombardier, the Industrials sector company, was revisited by a Wall Street analyst yesterday. Analyst Fadi Chamoun from BMO Capital maintained a Buy rating on the stock and has a C$225.00 price target.
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Fadi Chamoun has given his Buy rating due to a combination of factors that highlight Bombardier’s strong market position and potential for further growth. The company has shown a significant appreciation in its stock value since the initiation of its transformation plan in 2021, yet its valuation still appears to have room for expansion. This is supported by robust demand fundamentals, effective capital management, including debt reduction, and an anticipated increase in free cash flow conversion in the coming years.
Moreover, Bombardier is experiencing strong demand momentum across its business segments, particularly in business aviation and defense markets. Positive industry feedback and projections, such as those from the NBAA-2025 conference and Honeywell’s industry update, suggest continued growth in aircraft deliveries and flight activities. Additionally, the company’s financial framework, characterized by a strong backlog and improving free cash flow, supports the potential for further valuation improvements. Chamoun also notes that easing supply chain challenges could further enhance production rates, contributing to earnings growth.
In another report released on October 9, RBC Capital also maintained a Buy rating on the stock with a C$230.00 price target.
Based on the recent corporate insider activity of 46 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of BDRBF in relation to earlier this year.