Desjardins sets EQB Inc stock with a buy rating, C$130 target

Published 11/02/2025, 13:40
Desjardins sets EQB Inc stock with a buy rating, C$130 target

Tuesday, Desjardins initiated coverage on EQB Inc (EQB:CN) (OTC: EQGPF), assigning the company’s stock a Buy rating along with a price target of C$130.00. The research firm’s analysis highlighted EQB’s strong performance when compared to Canada’s Big 6 banks, particularly noting its adjusted Return on Equity (ROE), which has paralleled the Big 6 banks’ average over the past decade.

The firm anticipates EQB’s adjusted ROE will surpass that of the Big 6 banks in the future, despite EQB retaining more capital. This positive outlook is based on the company’s historical performance and expectations for continued financial strength.

Desjardins’ analyst Doug Young pointed out EQB’s favorable comparison to the Big 6 banks in several aspects. However, he also expressed concerns regarding the company’s lack of business diversification and its credit profile. These factors are seen as potential risks that could affect the company’s performance.

Despite these concerns, Desjardins’ Buy rating indicates a confidence in EQB’s ability to perform well in the market. The C$130 price target suggests a significant upside from the current trading price, reflecting the analyst’s belief in the company’s value proposition and potential for growth.

EQB Inc has not yet responded publicly to Desjardins’ coverage initiation or the comments made by the analyst. The market’s reaction to this new coverage will unfold as investors and other stakeholders consider Desjardins’ insights and expectations for EQB’s financial trajectory.

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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