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Research Alert: Tfii Upgraded To Hold On Freight Environment Momentum Despite Ltl Weakness: Tp Cad222

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-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

We upgrade TFI to Hold from Sell and increase our target price to CAD222 from CAD125. This is based on an EV/EBITDA multiple of 9.5x (from 7.0x) our 2027 EBITDA figure. While our conviction on the LTL business floundering continued to play out in Q1, the sentiment on the freight environment has turned overwhelmingly positive, outpacing the LTL story. Energy prices remain elevated, restricting supply and raising rates without yet degrading demand. Management guided to a Q2 EPS figure of $1.50 to $1.60, which suggests Y/Y growth in the double digits. We still view TFI as being operationally weaker than peers; however, a rising tide is significantly lifting all boats. We increased our 2026 EPS estimate to USD4.63 (up by USD0.57) and our 2027 EPS estimate to USD5.62 (up by USD0.64). We now expect mid-single-digit growth in revenue for FY 26 and low single-digit top-line growth in 2027.

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