Stella-Jones Inc. has reported its second-quarter earnings, falling short of analyst expectations and revealing mixed performance across its product segments.
On August 6, 2026, Stella-Jones Inc. (TSX: SJ) announced its second-quarter financial results for the period ending June 30, 2026. The company reported an earnings per share (EPS) of CAD 1.59, which was 13.1% below the consensus estimate of CAD 1.83. Despite an increase in total sales, operational challenges and rising costs have pressured margins, leading to a disappointing earnings report.
Recent earnings trend
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Stella-Jones Inc.
SJ.TO
SJ.TO
Stella-Jones Inc.
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Market cap
$4.18B
P/E
13.9x
Div. yield
0.83%
Div. / share
$0.62
52W high
$100.51
52W low
$69.64
1W change
-0.88%
Beta
0.30
Analyst Price Targets
Based on analyst covering SJ
Wall Street analysts forecast SJ stock price to rise 17.3% over the next 12 months.
Consensus
BullishBased on avg. target vs last close (formal rating unavailable for Canadian listings)
Avg. Target
C$89.89
+17.3% Upside
Current Price
C$76.66
Last close
Analyst ratings and price targets are updated periodically. Not financial advice.
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Wealth Awesome Price Forecast
WA ModelStatistical 90-day price range based on SJ's historical volatility
30-Day Vol
29.3%
Annualized
90-Day Vol
29.9%
Annualized
Trend (90d)
+13.5%
Annualized drift
90d Mean
C$80.44
Expected price
| Horizon | Expected | 68% Range (1σ) |
|---|---|---|
| 30 trading days | C$77.90 | C$70.40 – C$86.20 |
| 60 trading days | C$79.16 | C$68.60 – C$91.35 |
| 90 trading days | C$80.44 | C$67.50 – C$95.86 |
Methodology: Range is calculated using 30-day realized volatility via geometric Brownian motion (log-normal model). 68% band = ±1σ, 95% band = ±2σ. This is a statistical model, not a prediction. Past volatility does not guarantee future results. Not financial advice.
Analyst coverage: 5 analyst(s) cover this name; upcoming EPS consensus is available.
Beat estimates in 1 of the last 4 comparable quarter(s).
| Fiscal period | Report date | Actual EPS | Estimate | Surprise |
|---|---|---|---|---|
| 2026-09-30 | 2026-11-04 | — | 1.7400 | — |
| 2026-06-30 | 2026-08-06 | 1.5900 | 1.8300 | -13.1% |
| 2026-03-31 | 2026-05-06 | 1.1200 | 1.1800 | -5.1% |
| 2025-12-31 | 2026-02-26 | 0.9100 | 1.0200 | -10.8% |
| 2025-09-30 | 2025-11-05 | 1.5900 | 1.5600 | +1.9% |
| 2025-06-30 | 2025-08-07 | 1.9100 | 1.7800 | +7.3% |
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Investor takeaway: Investors should closely monitor Stella-Jones' ability to navigate cost pressures and improve margins in the second half of the year, especially as the company anticipates a recovery in pricing mechanisms and operational efficiencies.
EPS Misses by CAD 0.24
Stella-Jones reported an EPS of CAD 1.59 against an estimate of CAD 1.83, marking a significant miss of 13.1%.
Bull case
The utility products segment showed strong performance with increased sales and contributions from recent acquisitions. This suggests a solid foundation for future growth. Management is focusing on operational efficiency and network optimization, which could lead to positive results in the latter half of 2026.
Bear case
The adjusted EBITDA margin dropped from 18.3% to 16.0%, indicating significant cost pressures that could hurt profitability. Additionally, the company is facing challenges with lower pricing in residential lumber and railway ties, reflecting a tough market environment.
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