Squarepoint Ops LLC significantly reduced its holdings in GFL Environmental Inc., selling 311,595 shares in the second quarter of 2023, which represents a decrease of 95%. Following this sale, Squarepoint owned just 16,414 shares, valued at approximately $828,000 at the end of the quarter, according to Holdings Channel.
Other institutional investors have also been active in the market for GFL Environmental shares. Notably, Norges Bank acquired a new position in the company worth $171,945,000 in the same quarter. CIBC Asset Management Inc. increased its holdings by 30.1%, now owning 4,015,118 shares valued at $202,625,000 after purchasing an additional 927,798 shares. Additionally, Ghisallo Capital Management LLC and the Canada Pension Plan Investment Board made significant investments earlier in the year, with the latter boosting its stake by 101.7% to own 1,089,215 shares worth $52,621,000.
The trend of institutional investment indicates strong interest in GFL Environmental, with hedge funds and other institutional investors collectively owning 64.70% of the company’s stock.
Analysts Adjust Price Targets for GFL Environmental
GFL Environmental has attracted attention from several financial analysts who have issued updated price targets. On October 6th, 2023, Raymond James Financial set a target price of $57.00 and classified the company as “outperform.” Following that, UBS Group increased its target from $58.00 to $60.00, maintaining a “buy” rating. The Goldman Sachs Group initiated coverage on GFL, setting a “neutral” rating and a price objective of $50.00.
The consensus among analysts indicates a positive outlook, with two giving a Strong Buy rating, twelve assigning a Buy rating, and two issuing a Hold rating. According to MarketBeat, GFL Environmental currently holds an average rating of “Buy” with a consensus price target of $57.08.
GFL Environmental’s Recent Stock Performance and Financial Results
On November 5th, 2023, GFL Environmental reported its earnings, revealing an earnings per share (EPS) of $0.17 for the quarter—slightly below the consensus estimate of $0.19. The company reported revenue of $1.22 billion, lower than the anticipated $1.69 billion, resulting in a 9.0% year-over-year revenue increase. GFL’s net margin stood at 50.99%, with a return on equity of 3.06%.
As of the latest trading session, GFL Environmental shares opened at $43.08, with a market capitalization of $15.47 billion. The stock has a P/E ratio of 6.75 and a beta of 0.89. Over the past year, GFL’s shares reached a low of $41.29 and a high of $52.00.
In addition to financial updates, GFL Environmental recently announced a quarterly dividend of $0.0154 per share, paid on October 31st, 2023. The dividend represents an annualized yield of 0.1% and indicates a payout ratio of 0.94%.
GFL Environmental Inc. is recognized as a leading provider of environmental services across North America. Founded in 2007 by Patrick Dovigi, the company offers a range of services including waste collection, recycling, and environmental consulting, aimed at supporting clients in achieving sustainability goals. Through strategic acquisitions and organic growth, GFL continues to expand its market presence in the environmental services sector.
