The S&P/TSX Composite is consolidating gains as investors weigh new U.S. tariffs and a wave of mergers and acquisitions across North American markets.
Tenaz Energy Corp. led advancers with a 174% one-year return, closing at C$64.28 on volume of 100,000 shares. The energy producer reported a 392% surge in annual revenue last year, though its share price rose just 1.9% on the day of the results. Analysts at Canaccord Genuity maintain a Strong Buy rating with a C$79.40 target, implying 23.6% upside. Highlander Silver Corp. followed with an 113% gain to C$7.95, trading 438,000 shares. Despite the rally, the miner remains unprofitable with a negative P/E ratio of -76.8x, though Jefferies assigns a Strong Buy rating and a C$12.55 target, representing 57.4% potential upside.
IGM Financial Inc. advanced 82.6% over 12 months to C$87.73, supported by strong asset management performance. Power Corporation of Canada gained 64.2% to C$92.48, while Great-West Lifeco Inc. rose 68.4% to C$89.91. AltaGas Ltd climbed 32.5% to C$52.82, with a C$60.18 target from Desjardins suggesting 14.7% upside. Nutrien Ltd, up 29.6% to C$102.45, was downgraded by RBC Capital after a 14% rally, leaving its risk/reward profile balanced.
On the downside, Stantec Inc. fell 31.1% to C$104.40, though BMO Capital Markets sees a C$140.36 target and 16.1% upside. Canada Goose Holdings Inc. dropped 38% to C$11.44, with Wells Fargo cutting the stock to Underweight despite a C$14.03 target and 22.8% upside potential. Thomson Reuters Corp. slid 39.3% to C$147.58, pressured by competitive AI pressures following Google’s Gemini launch, despite its own C$40 million legal AI investment.
M&A activity provided support for several names. Enbridge Inc. rose after announcing a C$2.7 billion joint venture with KKR and Apollo Global Management, alongside a C$600 million acquisition to expand pipeline infrastructure. The deal underscores growing private capital participation in energy midstream assets.
Analyst targets reflect divergent outlooks. Highlander Silver’s high-risk profile contrasts with Stantec’s infrastructure rebound thesis, while Nutrien’s downgrade signals valuation concerns after a sharp rally. Energy names like Tenaz and AltaGas benefit from both operational momentum and sector tailwinds, though sentiment remains split on sustainability.
