Analysts and investors alike were pleased with what they heard at an investor day last week from Tim Hortons. Shares rose 2.5% on Friday and were up again in morning trading on Monday.<\/p>\n
\u201cIt is clear that management is in growth and renewal mode, not a \u2018harvest\u2019 mode,\u201d analyst Keith Howlett of Desjardins Securities wrote in a note to clients. He raised his target price on the shares to $36 from $35. \u201cThe key message from the investor day is that management\u2019s commitment to drive profitable growth is undiminished by past success.\u201d<\/p>\n
Analyst Irene Nattel of RBC Capital Markets maintained her Outperform rating on the shares with a price target of $38, says the company has had a consistent track record of returning cash to shareholders. Including estimates from a recently raised dividend and a share repurchase program for this year, <\/p>\n
\u201cTim Hortons will have returned over $1-billion to shareholders since the 2006 IPO,\u201d by the end of 2010, she wrote in a note to clients. <\/a><\/p>\n