RBC Raises Worth Purpose On Evertz Utilized Sciences

RBC Dominion Securities analyst Paul Treiber raised his worth aim on Evertz Utilized sciences (Evertz Utilized sciences Stock Quote, Chart, Info, Analysts, Financials TSX:ET) to $15.00 from $13.00 whereas sustaining a “Sector Perform” rating, as shares proceed to re-rate on rising defence market traction.

Evertz shares have rallied 30% since reporting quarterly outcomes on Dec. 10, which Treiber attributed to investor enthusiasm throughout the agency’s rising publicity to defence prospects.

The standard Avenue aim is $14.00

“Evertz’s valuation is re-rating upwards,” Treiber talked about in a March 3 phrase that was highlighted by the Globe and Mail. “Evertz is shopping for and promoting at 18 events NTM P/E, which is 8% above mates (excluding outlier Haivision) and 32% above Evertz’s 10-year historic frequent (14 events). We think about Evertz’s valuation re-rating shows rising investor visibility to the company’s rising defence enterprise.”

On Jan. 15, Evertz launched on the 2026 RBC Capital Markets Canadian Aerospace & Defence Symposium. Treiber talked about the company is benefiting from elevated demand for real-time video and high-bandwidth information administration inside defence companies, which could current a long-term pure progress tailwind and help offset softer spending from standard broadcast prospects.

Ahead of third-quarter outcomes anticipated March 4, Treiber forecasts revenue of $142.0-million, up 4% year-over-year and above the $139.0-million consensus estimate. He expects Adjusted EBITDA of $28.0-million, down 6% year-over-year and in line with consensus, and adjusted EPS of $0.23, barely beneath Avenue estimates.

“Our model requires Q3 gross margin of 59.0%, which is on the upper end of the company’s targeted 56–60% gross margin range,” Treiber talked about, noting a rising combination of higher-margin software program program and firms revenue. Nonetheless, he cautioned that elevated worldwide mix and discounting would possibly pressure margins modestly if developments persist.

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