The Globe and Mail reports in its Thursday, Nov. 6, edition that TD Cowen analyst Derek Lessard continues to rate Boyd Group "buy." The Globe's David Leeder writes in the Eye On Equities column that Mr. Lessard gave his share target a $10 boost to $290. Analysts on average target the shares at $269.45. Mr. Lessard describes Boyd Group's $1.3-billion acquisition of Joe Hudson's Collision Center as "historic," highlighting its "stronger competitive positioning and long-term financial growth." JHCC is the sixth-largest collision platform in North America with 258 locations in 18 states. Mr. Lessard says he is "positive" about the deal, viewing it as a strong strategic move that enhances Boyd's geographic reach. Mr. Lessard says in a note: "BYD has successfully built a 1,000+ collision repair organization through a combination of smaller MSO/SSO acquisitions and green/brownfield builds, making the JHCC acquisition a logical 'next step.' The combined company increases its location count by 25 per cent, solidifying its third place share, and is only 100 locations behind its nearest competitor. ... The transaction also boosts its revenue share of the $50-billion (U.S.) addressable collision market by 140 basis points."
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