TD Securities Keeps Their Buy Rating on Keyera Corp.

By Carrie Williams

Keyera Corp. (TSX: KEY), the Materials sector company, has received a rating update from a Wall Street analyst yesterday. The company received a Buy rating from TD Securities’ analyst Linda Ezergailis, with a C$46 price target.

Ezergailis noted:

“We estimate that the first phase of the project will be conservatively $0.10 accretive to AFFO/share in 2019. If the second phase of the project is built out, we estimate that the total project would be conservatively $0.14 accretive to AFFO/Share. From a share value perspective, we estimate that the first phase could be worth ballpark two dollars a share.”

According to, Ezergailis is ranked #3689 out of 4567 analysts.

Currently, the analyst consensus on Keyera Corp. is Moderate Buy and the average price target is C$44.90, representing an 8.0% upside.

In a report issued on May 29, RBC Capital also reiterated a Buy rating on the stock with a C$46 price target.

Based on Keyera Corp.’s latest earnings report for the quarter ending March 31, the company posted quarterly revenue of C$818 million and quarterly net profit of C$96.34 million. In comparison, last year the company earned revenue of C$582 million and had a net profit of C$70.13 million.

Keyera Corp. engages in the provision of energy midstream business. It involves in the exploration, and production of oil and gas and services including refining, distribution, as well as retail and marketing of finished products. It operates through the Gathering and Processing; and Liquid Business units. The gathering and processing business unit refers to raw gas gathering pipelines and processing plants, which collect and process raw natural gas, remove waste products and separate the economic components before the sales gas is injected into pipeline systems for transportation to end-use markets. The liquid business unit is consists of NGL infrastructure and marketing segments which are operation of network of facilities for the processing, storage and transportation of the by-products of natural gas processing, including NGLs, and the marketing of a range of products associated with its two infrastructure business lines, primarily propane, butane, condensate and iso-octane, and also engages in crude oil midstream activities accordingly. The company was founded in 1998 and is headquartered in Calgary, Canada.

The company’s shares closed last Thursday at $41.56.