BMO Capital Markets Reiterates Market Perform Rating but Lowers PT for Shaw Communications

In a report released earlier today, BMO Capital Markets reiterated its Market Perform rating for Shaw Communications

, but lowered its price target to $20. BMO Capital went on to say “Shaw's Q2 results and revised guidance were weak. The company is buying market share to protect its core franchise. Core cable EBITDA was in decline for the quarter and will be for 2012. Free cash flow guidance was reduced 20% to $450mm. Subscriber results in the q were generally ahead of expectations as a result of significant promotional activity but are not sustainable. We expect conditions to remain challenging into 2013. We see very little opportunity for meaningful dividend growth in the near term.” Shaw Communications closed on Friday at $19.69.