The Globe and Mail reports in its Wednesday, Nov. 11, edition that H.C. Wainwright & Co. analyst Amit Dayal downgraded his rating for Ballard Power Systems to "neutral" from "buy." The Globe's David Leeder writes that Mr. Dayal did not specify a target price for the stock. Analysts on average target the shares at $30.67. Mr. Dayal says in a note: "We view the next few quarters as a period of operational consolidation where management continues to prepare for the execution ramp ahead. ... The company's opportunity set has diversified beyond trucks and buses to include marine, trains, and potentially passenger vehicles. Similarly, the company's recent agreement with Audi, expanding its ability to the FCgen proton exchange membrane (PEM) fuel cell stack in all applications (including trucks and cars), in our opinion, gives the company more control over commercializing the technology that has been developed over the last decade. In addition, the company's balance sheet with approximately $394-million in cash and no debt remains very strong. We believe this balance sheet may be leveraged for M&A, as early as within the next six to nine months, potentially providing a boost to revenues and portfolio expansion."
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