Introduction
Market Performance
During the session, commercial services, communications, and energy stocks emerged as strong performers, counteracting losses primarily in tech services and health tech. The S&P/TSX Composite Index inched up by 0.24% to 20254.73, while the blue-chip S&P/TSX 60 saw a 0.38% rise to 1213.88.
Nuvei Falls After Revenue Targets Cut
Leading the decline in the tech sector, Nuvei shares dropped by nearly 38% to 24.99 Canadian dollars ($18.62). This decrease was attributed to the company lowering its revenue targets for the year due to the termination of a relationship with a large customer and a slower pace of attracting new business.
Other Market Movers
Several other companies experienced notable movement in the market:
- ATS shares witnessed a 2.3% increase, reaching C$57.28, following better-than-expected profit and revenue reports in the first quarter of fiscal 2024.
- Quarterhill shares rose by 6.9% to C$1.55 after reporting better-than-expected revenue growth in the second quarter, along with improved adjusted earnings.
- CAE shares climbed by 6.7% to C$31.61 after beating expectations for profit and revenue growth in the first fiscal quarter of 2024.
Conclusion
Despite the decline in Canada’s merchandise exports, stocks in Toronto managed to rise during midday trading. While the tech sector faced challenges, other sectors contributed to the overall market growth. It remains to be seen how the market will continue to evolve in the coming days.
