Canaccord Genuity Remains a Hold on Alaris Royalty

By Carrie Williams

Yesterday, an analyst has provided a rating update for the Financial sector company, Alaris Royalty (TSX: AD). The company received a Hold rating from Canaccord Genuity’s analyst Scott Chan CFA, with a C$22.50 price target.

According to TipRanks.com, CFA is a 3-star analyst with an average return of 2.8% and a 53.7% success rate. CFA covers the Financial sector, focusing on stocks such as Canadian Bank of Commerce, Goldman Sachs Group Inc, and Bank Of Nova Scotia.

Alaris Royalty has an analyst consensus of Moderate Buy, with a price target consensus of C$23.50.

Based on Alaris Royalty’s latest earnings report for the quarter ending June 30, the company posted quarterly revenue of C$22.65 million and quarterly net profit of C$10.66 million. In comparison, last year the company earned revenue of C$24.74 million and had a net profit of C$7.04 million.

Alaris Royalty Corp. is a Canadian investment company, which provides alternative financing to profitable and well-managed private businesses. It offers long-term equity capital to companies to which traditional debt or private equity is not available or attractive, including privately-held companies whose owners want to retain long-term control of their business. The firm also offers an alternative to raise capital through leverage, private equity or public offerings for private companies. It provides capital to private companies in a way that maximizes valuations and tax efficiency; and allows existing management to maintain control and common equity ownership. Alaris Royalty is designed for entrepreneurs who wish to raise capital for a partial exit, generational transfer, recapitalization, management buyout, as well as growth and who want to maintain control of their companies while not attracting the added risk that comes with high leverage levels. The company was founded by King Stephen Walter, Clayton H. Riddell and Stephen Reid in 2004 and is headquartered in Calgary, Canada.

The company’s shares closed on Thursday at C$20.80.