EFN: Where's Waymo? EFN finds partner to enable autonomous vehicle (AV) deployment

Research evidence excerpt

EFN: Where's Waymo? EFN finds partner to enable autonomous vehicle (AV) deployment

EQUITY RESEARCH QUICK TAKE

RBC Dominion Securities Inc.

Bart Dziarski, CPA, CA, CBV, CFA (Analyst)

Irene Jiang (Associate)

Noah Lesaux (Associate)

June 15, 2026

Element Fleet Management Corp.

Where's Waymo? EFN finds partner to enable autonomous vehicle (AV) deployment

TSX: EFN | CAD 26.57 | Outperform | Price Target CAD 40.00

Sentiment: Positive

Our view: We view the announcement positively as it i) incrementally improves service revenue growth outlook, which has been

a source of recent investor concern; ii) further differentiates Element’s mobility platform; and iii) expands EFN's exposure to

emerging fleet opportunities beyond its core fleet management business. The announcement highlights EFN's positioning as a

beneficiary of an emerging technology theme (i.e. autonomous vehicles). EFN is down ~26% YTD and is currently trading at 12x

2027E P/E which we view as being in oversold territory, providing investors with an attractive entry point at current levels.

Partnership positions Element at the forefront of autonomous mobility. Element announced partnership with Waymo to

support the deployment and operation of autonomous vehicle fleets, beginning in San Diego with expansion into additional

markets over time. Through Element Mobility, the company will provide end-to-end fleet management services, including vehicle

lifecycle management, charging infrastructure, energy management, maintenance coordination, and operational optimization.

The partnership represents EFN's first foray into autonomous vehicles.

Highlights growing relevance of element Mobility beyond traditional fleet management. The partnership aligns with EFN’s