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Ratings downgrades for GLG Life Tech, Romarco

A selection of the GLG Life Tech retail products in the Vancouver offices

Jeff Vinnick

Desjardins Capital Markets analyst Pooya Hemami downgraded GLG Life Tech Corporation to "hold" from "buy."

"We have lowered our earnings multiples as the company's results have come in measurably below our expectation in recent periods," Mr. Hemami said. The stevia producer's Chinese joint venture had initial sales below its own expectations. It expects that the repackaging of its teas will negatively affect sales in July, Mr. Hemami added.

Downside: Mr. Hemami cut his price target by $4.40 to $8.60.

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After a recent visit to Romarco Minerals Inc.'s Haile mine, CIBC World Markets analyst Brian Quast downgraded the company to "sector underperformer."

Mr. Quast has "become more conservative" on timelines because of permit delays. He also cited concern about lack of progress on underground mine planning. "We believe that the likelihood of positive news from the drill bit for the remainder of the year is relatively low," Mr. Quast said.

Downside: Mr. Quast also cut his price target by 55 cents to $1.95.

Bell Aliant Inc. financial results were ahead of expectations, said Scotia Capital analyst Jeff Fan. Subscriber numbers were "light", which reflects growing competition, Mr. Fan said. The company accelerated its FibreOp deployment. "We believe BA will have to expand its coverage beyond 600,000 homes in 2012/2013," he said.

Upside: Mr. Fan increased his price target by $1 to $26 and maintained his "sector perform" rating.

Raymond James analyst Frederic Bastien decreased his price target for FirstService Corp. due to a weaker-than-expected second-quarter profit. Slower growth from its Colliers subsidiary and an adjustment to reduce previously recognized revenues affected adjusted earnings per share, which were 54 cents compared with Mr. Bastien's estimate of 65 cents.

Downside: Mr. Bastien trimmed his price target by $1 to $38 and maintained his "neutral view" of the company.

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Intersil Corporation's strong second-quarter industrial sales, specifically in security, surveillance and automotive products, are likely to encourage investors, said Canaccord Genuity analyst Bobby Burleson. PC and consumer product sales were low, but this is an industry-wide seasonal trend, Mr. Burleson said.

Upside: Mr. Burleson maintained his "buy" rating and decreased his price target to $15 (U.S.).

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