RBC Capital Markets lowers target price on Chesnara.

Analysts at RBC Capital Markets slightly lowered their target price on pensions and investment firm Chesnara from 370p to 360p on Wednesday, but raised its operating capital generation forecasts following the firm's FY25 earnings.

Chesnara
15 April 2026 14:31:49

Source: Sharecast

RBC Capital Markets hiked its FY26/27 OCG forecasts by 9% and 8%, respectively, reflecting Chesnara's new guidance that strengthens dividend coverage to roughly 1.8x, up from around 1.3x.

The Canadian bank said focus can now shift to growth, where balance sheet flexibility and an "extended operating footprint" had positioned Chesnara well to continue sourcing and executing value-accretive M&A, despite recent broader market volatility.

"Trading on a 12m fwd yield of 8.1%, with a sustainable dividend and potential to scale rapidly through further deals, we reiterate our 'outperform' rating," said RBC.

"Our PT decreases to 360p (from 370p), as higher cash gen and 1-yr valuation roll forward are offset by +30bps increase to our discount rate."

Reporting by Iain Gilbert at Sharecast.com

N/A

ISIN: N/A

Exchange: N/A

Sell:

N/A

Buy:

N/A

Change:

Date:

Prices delayed by at least 15 minutes

Compare our accounts

If you're looking to grow your money over the longer term (5+ years), we have a range of investment choices to help.

View our accounts

Halifax is not responsible for the content and accuracy of the Markets News articles. We may not share the views of the author. Understand the risks, please remember the value of your investment can go down as well as up and you may not get back the full amount you invest. We don't provide advice so if you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified Financial Advisor. Past performance is not a guide to future performance.