The Globe and Mail reports in its Tuesday, Nov. 25, edition that National Bank analyst Maxim Sytchev has elevated his recommendation for RB Global to "outperform" from "sector perform." The Globe's David Leeder writes that Mr. Sytchev's share target climbed $13 to $124 (all figures U.S.). Analysts on average target the shares at $123.30. Mr. Sytchev says in a note: "Despite Copart beating slightly on the bottom line for FQ1/26, revenues were soft as volumes were weighed down by industry-wide factors including more uninsured drivers, less comprehensive insurance coverage and far lower CAT activity. These are legitimate factors, but hardly justify the diverging unit growth rate vs. RB Global. Market share shifts and loss rates among insurers naturally ebb and flow over time, but these are more subtle and long-term in nature and we do not think they are a (sufficient) explanatory factor.
As such, we believe RB Global's market share has now definitely inflected (after bottoming out at about half that of Copart in North America), helped by recent wins with Suncorp in Australia and Direct Line in the U.K., which are still ramping up to full run-rates, attributed to strong execution and a focus on service improvements."
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