Enerflex Ltd. (EFX.TO, EFXT) was downgraded to Strong Buy from Outperform at Raymond James.

Analyst Michael Barth maintained a target price of $26 on shares of the Calgary-based supplier of products and services to the global power generation and gas production industry.

"We upgraded EFX... in early December and simultaneously added it to our Analysts' Best Picks for 2026 list on the view that secular tailwinds in the core business, emerging opportunities in the power vertical, and other optionality was being under-appreciated by investors," Barth said in a note to clients.

"The stock has since returned +30% in <2 months, outperforming the rest of our OFS coverage by ~21%, XEG by ~24%, and the SPTSX by ~31%," the analyst said.

"While we still see a reasonable valuation and multiple potential near-term catalysts, the stock is no longer in 'pound the table' territory," Barth said.

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