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Parkland Fuel Corp (PKI-T)
TSE:PKI
38.57
0.75
(1.98%) 1d
Financials
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Markets sink on Middle East tensions and strong U.S. dataBitcoin surges as stocks fadeTSX climbs, Wall Street mixedThis summary was created by AI, based on 10 opinions in the last 12 months.
Parkland Fuel Corp (PKI-T) is a well-managed company that has secured low cost funding for expanding its EV charging infrastructure. The company's cash reserves are growing, allowing for the retirement of previous debt. Analysts recommend a trailing up the stop to $41 with a potential upside of 19%. The company's acquisition of financing for EV charging network expansion in western Canada is seen as a positive sign for future growth. However, some experts caution about high debt levels and the need for the company to focus on paying down debt and raising margins.
$38.540
No
Refining operation has been an overhang. Somewhat cyclical. Better opportunities elsewhere in the energy space to generate income. See her Top Picks.
Our PAST TOP PICK with PKI has triggered its stop at $41. To remain disciplined, we recommend covering the position at this time. This will result in a net investment loss of 7%, when combined with our previous recommendations.
It has provided a 5 to 7% return per year over the long term. It is on the retail side of energy but has some commodity exposure. It has debt and needs to get the level down. Pays a 3 1/2% dividend.
He has 2 types of portfolios. One is best ideas, and the other one is more balanced with Canadian dividend payers that have good balance sheets and potential for growth. Canadian dividend aristocrat, raising dividend each year for over a decade.
M&A got ahead of itself. Capital allocation was lacking. Activism. Refinery closed. Not as good as ATD, so he'd recommend that one. Valuation is arguably very cheap, could be some short-term events, generates lots of cashflow, balance sheet now in great shape. Not great, but decent at a very attractive valuation.
We reiterate PKI, one of the largest independent fuel retailers in North America, as a TOP PICK. We note the company is prudently using some cash reserves to retire debt, but it still maintains a dividend payout ratio under 55% of cashflow. We continue to recommend a stop at $41, looking to achieve $54 -- upside potential of 24%. Yield 3.1%
(Analysts’ price target is $54.25)PKI is up roughly 5% today as it rejected its largest shareholder, Simpson Oil's, request for a review of strategic alternatives. We continue to like PKI here and while the added executive and shareholder disagreements are not great for the stock, its fundamentals have shown significant improvements.
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We reiterate PKI as a TOP PICK. It trades at 18x earnings, 2.5x book and supports a 15% ROE -- healthy for a retailer. It has secured low cost government funding to expand its EV charging infrastructure in BC. We like that cash reserves are growing, which is allowing them to continue to retire previous debt. We recommend trailing up the stop (from $38) to $41, looking to achieve $53 -- upside potential of 19%. Yield 3.0%
(Analysts’ price target is $52.31)PKI has acquired attractive financing from the Canadian Infrastructure Bank to expand its EV charging network in western Canada. It trades at 17x earnings, 2.4x book and supports a 15% ROE and we like that cash reserves are growing with good cash flow from operations. Its dividend is supported by a payout ratio under 55% of cash flow. We recommend a stop-loss at $38, looking to achieve $52 -- upside potential of 16%. Yield 3.0%
(Analysts’ price target is $51.77)Well-run. The refinery enjoys good margins. Gas stations work in underserved areas. Likes them.
Distributor of variety of fuel products. Growth by acquisition company. Does not see upside on shares at current price. Well managed company overall. Recent activist investors not good for long term shareholders.
The question was whether it can replicate Couche-Tard's business. The answer was maybe but it would take a long time. He owns Couche-Tard which is very well run and has made good acquisitions.
Fuel wholesaler with refinery operations.
Does not own shares.
Refinery operation volatile with high liabilities.
Would not recommend buying.
High debt levels.
Would prefer defensive pipeline companies in energy sector.
Acquisition spree, and debt got out of control. Renewed focus on paying down debt. Serial dividend grower. Attractive valuation, but it's a show-me story. If you believe Canada's population is growing and needs to get around, should do well. Great international division. He has a small position, great business, he's not selling.
EPS of $0.64 beat estimates of $0.2553 and revenues of $8.16B missed expectations of $8.22B. Sales grew by 7% for the year, driven by large advancements in its International segment. Net profit margins expanded slightly from the previous quarter, and it generated $201M in free cash flows, which were mostly used for repaying debt and paying dividends. Management is confident that it can achieve $2B in Adjusted EBITDA by 2025 without additional acquisitions and while reducing leverage. These were good results and the market is reacting well so far.
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Parkland Fuel Corp(PKI-T) Rating
Ranking : 4 out of 5
Bullish - Buy Signals / Votes : 3
Neutral - Hold Signals / Votes : 2
Bearish - Sell Signals / Votes : 2
Total Signals / Votes : 7
Parkland Fuel Corp(PKI-T) Frequently Asked Questions
What is Parkland Fuel Corp stock symbol?
Parkland Fuel Corp is a Canadian stock, trading under the symbol PKI-T on the Toronto Stock Exchange (PKI-CT). It is usually referred to as TSX:PKI or PKI-T
Is Parkland Fuel Corp a buy or a sell?
In the last year, 7 stock analysts published opinions about PKI-T. 3 analysts recommended to BUY the stock. 2 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Parkland Fuel Corp.
Is Parkland Fuel Corp a good investment or a top pick?
Parkland Fuel Corp was recommended as a Top Pick by on . Read the latest stock experts ratings for Parkland Fuel Corp.
Why is Parkland Fuel Corp stock dropping?
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.
Is Parkland Fuel Corp worth watching?
7 stock analysts on Stockchase covered Parkland Fuel Corp In the last year. It is a trending stock that is worth watching.
What is Parkland Fuel Corp stock price?
On 2024-07-26, Parkland Fuel Corp (PKI-T) stock closed at a price of $38.57.
Smaller than ATD, but they have refining capacity to make it interesting, so they can send fuel to their locations. He has preferred PKI over ATD, but got out after the company replaced some executives with talk of M&A. He's watching it.