RCI - Rogers Communications stock rises; Canaccord upgrades to Buy

Rogers Communications (NYSE:RCI) stock rose 4% Tuesday after Canaccord Genuity upgraded it to Buy from Hold but trimmed its price target to C$69 from C$71. This followed Shaw Communications' (SJR) sale of Freedom Mobile to Quebecor (OTCPK:QBCRF) at an enterprise value of C$2.85B.  Canaccord analyst Aravinda Galappatthige said the deal is net positive for RCI as it will likely take its acquisition of SJR to the finish line. "However, it came at a higher cost considering the lower-than-expected valuation for Freedom and the asset ultimately went to the least desirable buyer from RCI (and incumbent) perspective," he said. He also noted the absence of any network sharing deal as part of the QBCRF transaction. Galappatthige cut RCI's PT to reflect the tougher macro and lower market valuations. Canaccord's Buy rating on RCI is in-line with average sell-side rating of Buy. But SA Quant's rating on RCI is Hold as it scored poorly in profitability, growth and valuation. Canaccord also upgraded

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Rogers Communications stock rises; Canaccord upgrades to Buy