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Pembina Pipeline Rating Upgraded at National Bank of Canada

BY MT Newswires | ECONOMIC | 06/26/25 11:01 AM EDT

11:01 AM EDT, 06/26/2025 (MT Newswires) -- Pembina Pipeline's (PBA) stock rating was upgraded to Outperform from Sector Perform while its C$56 price target remained unchanged "as energy security tailwinds strengthen", National Bank of Canada said in a Wednesday note.

National said overall with the stock down over 5% year to date and trading at less than 11x 2026 EV/EBITDA estimates, combined with near 15% unrisked valuation upside, it is upgrading the rating.

The bank noted Pembina's sector-leading near $7.50 per share (about 15%) unrisked valuation upside related to unutilized processing capacity and expansion opportunities. This positions the company to capture incremental NGL volumes down its Peace Pipeline system, the bank saisd.

"Overall, as energy security and market diversification remain firmly perched atop the political priority list, we recommend investors gain exposure to the energy superpower tailwinds across the Canadian natural gas & NGL infrastructure landscape," the bank said.

Pembina's share price gained 2.5% at last look Thursday to $51.62 on the TSX.

Price: 51.48, Change: +1.11, Percent Change: +2.20

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

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