RBC Raises Rogers Communications Price Target to $56

RBC Capital Markets raised its price target on Rogers Communications to $56 from $55.

Rogers Communications Inc. (RCI) reported its second-quarter earnings on July 1, 2025, with the company's stock rising in premarket trading following the announcement. The company's adjusted net income for the quarter ended June 30, 2025, was $620 million, slightly below the same period last year but beating analyst expectations of $1.10 per share. Revenue climbed 2% to $5.22 billion, surpassing forecasts [1].

The company's acquisition of a majority stake in Maple Leaf Sports & Entertainment (MLSE) has been a significant driver of its growth strategy. This deal, finalized in the second quarter, is expected to unlock new revenue streams, particularly through exclusive content and media rights. Rogers Communications has raised its 2025 service revenue growth target to 3–5%, reflecting its confidence in the deal [1].

RBC Capital Markets has responded to these developments by raising its price target on Rogers Communications to $56 from $55. The firm's analysts cited the company's strong earnings performance and the potential for growth from the Maple Leaf acquisition as the key reasons for the upward revision [2].

The broader market has shown a positive response to Rogers' push into sports and entertainment. The company's stock has risen 15% this quarter and 5.1% year-to-date, reflecting investor optimism about the potential for new revenue streams [2]. As wireless and cable markets mature, telecom giants like Rogers are seeking new growth opportunities, and the acquisition of major entertainment assets signals a shift towards bundled content and unique media experiences.

References:

[1] https://finimize.com/content/rogers-communications-raises-outlook-after-maple-leaf-deal
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TK18H:0-rogers-communications-inc-reports-results-for-the-quarter-ended-june-30-earnings-summary/