BMO cuts Bombardier price target amid macro uncertainty

​BMO Capital Markets lowered its 12-month price target for Bombardier Inc. on the premise that “high financial leverage and heightened macro uncertainty have weighed on [its] valuation.”

In a note to clients on Sunday, Analyst Fadi Chamoun reduced his price target for the jet maker to $63 from $71. He maintained his outperform rating (the equivalent to a buy).

The stock closed 17.27 per cent lower on Monday to $19.12.

However, Chamoun is still optimistic about Bombardier in the medium-to-long-term, saying once its debt load is lowered, it will improve the company’s risk profile.