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Choppy session before tariffsMarkets climb to a positive closeMost Anticipated Earnings: GSP-X, ESK-X and more Canadian Companies Reporting Earnings this Week (Mar 31-Apr 01)This summary was created by AI, based on 20 opinions in the last 12 months.
Experts have mixed feelings about Superior Plus Corp (SPB-T), noting both potential and challenges. While its strategy to expand in Canadian and US propane distribution is viewed positively, concerns over a high payout ratio and significant debt persist. The recent dividend cut could be beneficial, potentially freeing up capital for growth initiatives. However, management turnover and high valuation relative to expected earnings growth raise red flags. Analysts are keeping a close watch on upcoming quarterly reports, with opinions divided on whether the current price represents a good buying opportunity. Some see SPB as a higher-risk investment with potential for long-term growth if it can stabilize its balance sheet and market position.
The shareholder base has probably rotated by now away from yield investors. The problem is that it has high debt and a high valuation, yet growth is not that great. Weather is also a factor and competition has increased somewhat. Yes, EPS is expected to show good growth in 2025, but even with a good bounce EPS will be lower than it was in 2013. We think management did the right thing with the dividend, but we still think buyers can wait here.
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It is hard to like a stock that has cut it dividend by 75%. Weather (milder winters) is an issue for companies involved in the heating business. Its revenue base is not growing as fast as before. The stock has done nothing for a long time. It's interesting that15% is owned by Brookfield. Propane is a very necessary product.
SPB has been very disappointing. It has a shareholder yield of 16% (11% dividend yield, 4.4% debt paydown, and a 0.5% buyback yield). Analyst estimates have largely been trending lower, but forward earnings growth is expected to be strong, but some of this is reflected in its forward earnings multiple of 17X. It is a cyclical business, and we will be watching the earnings release next week very closely to further assess at that time our full review of the company going forward.
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We think it is OK at current prices for higher-risk income. At $7.00 we would be much more interested, assuming no fundamental changes.
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Stock's struggling. Not one he follows, so doesn't have any insight as to why. Consistently downward trend of lower highs and lower lows, and that trend's still pretty intact. The trend is your friend (or enemy) until it ends. Broke down again yesterday.
For recovery, you want to see it break that trend and go through $8.60.
Superior Plus Corp is a Canadian stock, trading under the symbol SPB-T on the Toronto Stock Exchange (SPB-CT). It is usually referred to as TSX:SPB or SPB-T
In the last year, 13 stock analysts published opinions about SPB-T. 4 analysts recommended to BUY the stock. 5 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Superior Plus Corp.
Superior Plus Corp was recommended as a Top Pick by on . Read the latest stock experts ratings for Superior Plus Corp.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
13 stock analysts on Stockchase covered Superior Plus Corp In the last year. It is a trending stock that is worth watching.
On 2025-04-01, Superior Plus Corp (SPB-T) stock closed at a price of $6.58.
Strategy was to get bigger in Canada and US propane distribution, and he liked that. Didn't like the payout ratio of 80-90%. Certarus acquisition wise. Balance sheet couldn't support all its big plans. Dividend cut a positive, and should free up capital.
Widespread team turnover since the acquisition, so it'll take him some time to get familiar with new management. Some reasons to be optimistic.