Carrier Connect Data is a buy, this analyst says

Beacon Securities analyst Gabriel Leung maintained a “Buy” rating and $3.00 target on Carrier Connect Data (Carrier Connect Data Solutions Stock Quote, Chart, News, Analysts, Financials TSXV:CCDS) in a May 20 third-quarter fiscal 2026 preview, while making slight upward estimate revisions to reflect the closing of the Morewave Communications acquisition.

Leung said his target is based on 8.5x EV/full-utilization sales, below peers at about 10.5x, and is equivalent to 9x fiscal 2028 estimated sales plus acquisitions using current pro forma cash.

Carrier Connect is expected to report Q3 fiscal 2026 results next week. Leung is forecasting revenue of $791,000 and EBITDA of negative $101,000. The quarter should include a full contribution from PureColo, which closed Dec. 4, and a partial contribution from Carbon60, which closed March 2, but no contribution yet from Morewave, which closed May 8.

Leung said investors should watch for updates on utilization across Carrier Connect’s data centres, including Perth, Australia, which is about 20% utilized, and PureColo’s two sites, which are about 40% utilized.

“Beyond the FQ3 metrics, we will see if the company offers any additional data points around its M&A pipeline, which we understand is full and includes several compelling targets across North America at potentially accretive valuations,” Leung said.

Leung said Carrier Connect has a growing data-centre portfolio, a healthy balance sheet, a strong M&A pipeline and demand tailwinds from enterprise cloud and AI compute.

The analyst expects Carrier Connect to generate Adjusted EBITDA of $0.2-million on revenue of $5.5-million in fiscal 2027, improving to $0.6-million on revenue of $6.8-million in fiscal 2028.

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