BMO maintains Outperform on goeasy stock, sees buying opportunity

Published 09/05/2025, 15:16
BMO maintains Outperform on goeasy stock, sees buying opportunity

On Friday, shares of goeasy Ltd (GSY:CN) (OTC:EHMEF) experienced a decline following a quarterly earnings miss attributed primarily to an increase in credit allowance. Despite this setback, BMO Capital Markets has reiterated its Outperform rating and Cdn$200.00 price target for the company’s stock.

BMO Capital Markets has expressed confidence in goeasy Ltd’s credit performance, which has shown improvement in the recent quarter. The firm’s analysts have highlighted the positive effects of goeasy’s strategic adjustments to its credit underwriting processes and the resilience of its borrower base. These factors, according to BMO, suggest that the current dip in the stock’s price presents a buying opportunity for investors.

The financial institution’s analysts have pointed out that goeasy’s net charge-offs and impaired loans metrics have both improved, indicating a stronger credit performance. This improvement is seen as a result of the company’s proactive measures to enhance its credit underwriting standards.

Despite the earnings miss, BMO Capital Markets sees limited downside risk for goeasy Ltd’s stock, estimating it at around Cdn$130.00. The firm’s stance is based on the belief that the company’s stock offers a favorable risk-reward balance for shareholders.

In summary, BMO Capital Markets is encouraging investors to view the current pullback in goeasy Ltd’s stock price as an opportunity to purchase shares. The firm maintains its positive outlook on the company, underpinned by improved credit metrics and the potential for stock price appreciation.

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

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