🔥 Premium AI-powered Stock Picks from InvestingPro Now up to 50% OffCLAIM SALE

Ballard Power shares target cut by BMO Capital

EditorAhmed Abdulazez Abdulkadir
Published 2024/05/08, 17:30
BLDP
-

On Wednesday, BMO Capital Markets adjusted its outlook on Ballard Power Systems (NASDAQ:BLDP), a prominent fuel cell manufacturer. The firm's analyst decreased the price target for the company's shares to $2.85 from the previous target of $3.00. Despite the change, the analyst maintained an Underperform rating on the stock.

Ballard Power reported a reversal in its backlog contraction, with an expansion of $50 million in backlog and $64.7 million in bookings. Additionally, the company's 12-month order book grew by $13 million, reaching a total of $79.7 million. This growth in orders was anticipated, according to the firm.

The first quarter is traditionally a weaker period for Ballard Power, and this year was no exception. The company's total revenues came in at $14.5 million, falling short of both the firm's and the consensus estimates, which were at $15.2 million and $17.6 million, respectively. Ballard's gross margin also did not meet the expectations set by the firm and consensus estimates.

However, there was a silver lining as the company's EBITDA performance was better than what BMO Capital Markets had forecasted. Despite this, the firm decided to lower the price target on Ballard Power Systems. The decision reflects a cautious stance as the firm awaits further developments in the mobility market, which is still in its early stages of growth.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.