Just Energy (JE) Receives a Buy from B.Riley FBR

By Carrie Williams

According to The Fly, in a latest note to investors, a research analyst has provided a rating update for the Utilities sector company, Just Energy (JEResearch Report). Analyst Carter Driscoll from B.Riley FBR rated Just Energy (JEResearch Report) a Buy today.

Driscoll observed:

“Encouraging F2Q19 shows progress. Just Energy (JE—Buy, C$6 PT) reported solid F2Q19 results, handily beating on base EBITDA with C$37.3M versus our C$22.4M estimate (see next page for Y/Y reconciliation of base EBITDA), driven by a big jump in gross margin per RCE. We remain optimistic about new management’s plan to drive consistent profitability, leading to our FY19E base EBITDA of C$200M, a ~15% increase Y/Y . We believe JE is taking the right steps to reignite customer growth at higher, sustainable margins and we expect a big F2H19 as management reinforced its full-year base EBITDA guidance of C$200-C$220M. We believe recent price increases have not led to a material increase in attrition, suggesting the recent increases will remain sticky.”

According to TipRanks.com, Driscoll ‘s ranking currently consits of no stars on a 0-5 ranking scale, with an average return of -7.7% and a 36.0% success rate. Driscoll covers the Industrial Goods sector, focusing on stocks such as Ballard Power Systems, Amer Superconductor, and Canadian Solar Inc.

The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Just Energy with a C$4.75 average price target, implying a -4.8% downside from current levels. In a report released today, H.C. Wainwright also maintained a Buy rating on the stock.


The company has a one-year high of C$6.42 and a one-year low of C$3.66. Currently, Just Energy has an average volume of 423.7K.

Just Energy Group, Inc. engages in the provision of electricity and natural gas commodities, energy efficient solutions, and renewable energy options. It operates through the Consumer Energy, and Commercial Energy segments. The Consumer Energy segment includes cash and cash equivalents, as well as the long-term debt.

The company’s shares closed on Friday at C$4.99.