CTC:CA:TSX-Canadian Tire Corporation Limited (CAD)

EQUITY | Specialty Retail | Toronto Stock Exchange

Last Closing

CAD 229

Change

-12.93 (-5.34)%

Market Cap

CAD 0.65B

Volume

1.86K

Analyst Target

CAD 4.00
Analyst Rating

Verdict

ducovest Verdict

Verdict

About

Canadian Tire Corp Ltd is engaged in the retail business. Its business is conducted through a number of banners, including Canadian Tire, Canadian Tire Gas, Mark's, PartSource, and various FGL Sports banners.

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2024-04-18 )

Largest Industry Peers for Specialty Retail

Symbol Name Price(Change) Market Cap
ATD:CA Alimentation Couchen Tard Inc ..

-1.38 (-1.78%)

CAD 74.71B
CTC-A:CA Canadian Tire Corporation Limi..

-0.82 (-0.61%)

CAD 7.90B
PET:CA Pet Valu Holdings Ltd

-0.64 (-2.03%)

CAD 2.22B
LNF:CA Leon's Furniture Limited

-0.04 (-0.18%)

CAD 1.44B
ZZZ:CA Sleep Country Canada Hldg Inc

-0.69 (-2.46%)

CAD 0.92B
GBT:CA BMTC Group Inc

+0.59 (+4.28%)

CAD 0.45B
KITS:CA Kits Eyecare Ltd

-0.07 (-1.23%)

CAD 0.20B
IDG:CA Indigo Books & Music Inc.

+0.01 (+0.40%)

CAD 0.07B

ETFs Containing CTC:CA

N/A

Market Performance

  Market Performance vs. Industry/Classification (Specialty Retail) Market Performance vs. Exchange (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -18.21% 11% F 4% F
Dividend Return N/A N/A N/A N/A N/A
Total Return -18.21% 11% F 4% F
Trailing 12 Months  
Capital Gain -29.54% 11% F 9% A-
Dividend Return 1.06% 50% F 18% F
Total Return -28.48% 11% F 9% A-
Trailing 5 Years  
Capital Gain 1.33% 57% F 45% F
Dividend Return 8.19% 40% F 42% F
Total Return 9.52% 57% F 42% F
Average Annual (5 Year Horizon)  
Capital Gain 10.26% 56% F 77% C+
Dividend Return 11.82% 44% F 76% C+
Total Return 1.56% 57% F 47% F
Risk Return Profile  
Volatility (Standard Deviation) 24.29% 78% C+ 39% F
Risk Adjusted Return 48.66% 89% A- 75% C
Market Capitalization 0.65B 78% C+ 88% B+

Key Financial Ratios

  Ratio vs. Industry/Classification (Specialty Retail) Ratio vs. Market (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 21.50 13% 9%
Price/Book Ratio 2.31 67% 29%
Price / Cash Flow Ratio 5.51 78% 50%
Price/Free Cash Flow Ratio 10.71 56% 27%
Management Effectiveness  
Return on Equity 5.03% 33% 47%
Return on Invested Capital 10.96% 44% 73%
Return on Assets 3.74% 44% 65%
Debt to Equity Ratio 79.38% 29% 41%

Annual Financials (CAD)

Quarterly Financials (CAD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Superior risk adjusted returns

This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.

Underpriced on cashflow basis

The stock is trading low compared to its peers on a price to cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

What to not like:
Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Poor return on assets

The company management has delivered below median return on assets in the most recent 4 quarters compared to its peers.

Poor capital utilization

The company management has delivered below median return on invested capital in the most recent 4 quarters compared to its peers.

Poor return on equity

The company management has delivered below median return on equity in the most recent 4 quarters compared to its peers.

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector