Rogers Communications (RCI) Upgraded to “Buy” at Zacks Investment Research

Rogers Communications (NYSE:RCI) (TSE:RCI.B) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Friday. The firm currently has a $59.00 price target on the Wireless communications provider’s stock. Zacks Investment Research‘s price objective points to a potential upside of 10.59% from the company’s current price.

According to Zacks, “Rogers Communications’ is benefiting from solid subscriber gain in the wireless segment and increasing Internet user count. Management stated that postpaid churn rate in the wireless segment declined to lowest level since 2009. The Ignite Gigabit service has also gained rapid traction driving Internet user installed base. Moreover, an improved cost structure drove profitability. Based on the strong results, management raised adjusted EBITDA and free cash flow full-year guidance. Notably, shares have outperformed the industry on a year-to-date basis. Rogers Communications continues to expand LTE coverage that will expand user base eventually driving revenues. Moreover, integration of Ignite TV with streaming services like Netflix, YouTube and Amazon’s Prime is expected to drive growth in the near future.”

Several other equities analysts have also issued reports on the stock. Edward Jones lowered shares of Rogers Communications from a “buy” rating to a “hold” rating in a report on Thursday. Desjardins lowered shares of Rogers Communications from a “buy” rating to a “hold” rating in a report on Monday, October 22nd. Five investment analysts have rated the stock with a hold rating and one has issued a buy rating to the company’s stock. The stock presently has an average rating of “Hold” and a consensus target price of $56.00.

Shares of RCI stock opened at $53.35 on Friday. The company has a market cap of $27.26 billion, a P/E ratio of 19.69, a price-to-earnings-growth ratio of 3.27 and a beta of 0.72. The company has a debt-to-equity ratio of 1.73, a quick ratio of 0.65 and a current ratio of 0.72. Rogers Communications has a 52-week low of $43.11 and a 52-week high of $53.92.

Rogers Communications (NYSE:RCI) (TSE:RCI.B) last issued its quarterly earnings data on Friday, October 19th. The Wireless communications provider reported $0.93 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.88 by $0.05. The company had revenue of $2.88 billion for the quarter, compared to analyst estimates of $2.91 billion. Rogers Communications had a net margin of 13.34% and a return on equity of 29.37%. Sell-side analysts anticipate that Rogers Communications will post 3.23 earnings per share for the current fiscal year.

Institutional investors and hedge funds have recently made changes to their positions in the business. Cidel Asset Management Inc. boosted its stake in Rogers Communications by 1.4% in the third quarter. Cidel Asset Management Inc. now owns 1,217,803 shares of the Wireless communications provider’s stock valued at $62,586,000 after acquiring an additional 17,199 shares in the last quarter. Northern Trust Corp boosted its stake in Rogers Communications by 7.8% in the second quarter. Northern Trust Corp now owns 440,048 shares of the Wireless communications provider’s stock valued at $20,885,000 after acquiring an additional 31,950 shares in the last quarter. Campbell & CO Investment Adviser LLC acquired a new stake in Rogers Communications in the third quarter valued at approximately $201,000. Millennium Management LLC boosted its stake in Rogers Communications by 13.0% in the second quarter. Millennium Management LLC now owns 236,188 shares of the Wireless communications provider’s stock valued at $11,209,000 after acquiring an additional 27,200 shares in the last quarter. Finally, Cozad Asset Management Inc. acquired a new stake in Rogers Communications in the second quarter valued at approximately $267,000. Institutional investors own 46.10% of the company’s stock.

Rogers Communications Company Profile

Rogers Communications Inc operates as a communications and media company in Canada. The company's Wireless segment offers wireless telecommunications services to consumers and businesses under the Rogers, Fido, and chatr brands; and wireless devices, services, and applications. This segment distributes its products through independent dealer networks, company-owned retail stores, retail chains and convenience stores, e-commerce sites, call centers and outbound telemarketing, and other distribution channels.

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