Historically a great Canadian retail business. However, business not performing as well due to eCommerce etc. Unsure on future of business. Better names for retail companies like Aritzia.
Another iconic national brand, Canadian Tire is the dark horse on this list. It's no secret that retail has struggled this year as higher wages, costlier shipping and theft (aka “shrinkage”) have battered the sector. Canadian Tire has sunk 30% off its 52-week highs and recently made a new low of $131.46. At the same time, the stock's PE has fallen below 10x compared to its five-year median of 11.5x.
Online shopping taking major toll on business. Not as many visitors in the past. Business not competing well with Amazon. Rewards program not very good. Not a good time to invest in business.
Great Canadian company. Very cheap valuation on the stock price. ~4% dividend yield is strong. Beat guidance last quarter. Economic headwinds could weigh on the company.
Latest corporate earnings surprisingly good. Very strong brand across Canada. Well managed company. Current valuation is trading at a fair price. Will continue to watch outlook for business.
Great brick and mortar company with history of success.
Recent recession worries have been tough on company.
8x P/E multiple a good valuation to buy at.
Excellent management team and balance sheet.
It is well run but is competing against online shopping. It gives exposure to only the Canadian shopper and you should consider multinational companies with consumers better off than Canadian consumers who carry a lot of debt, the most in the world.
Company is a success story in the Canadian retail industry.
Well managed company.
As discretionary spending decreases, will be a risk.
Costs of inventory will also be a risk (rising inflation).
Secure dividend and strong financials.
Would wait to buy on weakness.
Allan Tong’s Discover PicksCanadian Tire boasts a wide range of household goods at decent prices, but consumers will have much more choice in buying that patio set or baseball glove. True, last summer’s partial reopenings didn’t dent the stock price, but the Tire’s website still sucks. Price to cash flow is inline with its peers at 6.5x, though CTC stock’s PE of 13.4x is slightly higher than the industry’s 12.8x. Its profit margin of 5.8% is just below the industry’s 6%. Overall, not bad. Read Battle of the Stocks: 2021 Consumer Staples Stocks for our full analysis.
It has been a big beneficiary of the pandemic as they were one of the few that were able to still operate. At-home and camping leisure benefitted them. It's good for long term growth but he would not put new money in today.