Update shared on09 Oct 2025
Fair value Increased 1.21%Alimentation Couche-Tard’s analyst price target has been increased slightly from $84.32 to $85.35, as analysts cite steady growth expectations following recent updates to revenue outlook and strategic initiatives.
Analyst Commentary
Recent analyst reports on Alimentation Couche-Tard reflect a generally positive outlook, with a number of firms raising their price targets and highlighting areas of ongoing growth and strategic development. However, some areas of caution persist as coverage resumes and as the company navigates corporate actions and market dynamics.
Bullish Takeaways- Bullish analysts believe Alimentation Couche-Tard has a long runway for both revenue and profit growth, supported by its expanded international footprint and strategic initiatives.
- Several analysts point to the company’s focus on foodservice expansion and an enhanced global loyalty program as key sources of incremental growth that could drive shareholder value higher over time.
- Recent reactivation of the share repurchase program is seen as a sign of confidence by management and is expected to help underpin future returns for investors.
- Multiple upward adjustments to price targets in recent weeks show optimism around execution capabilities and the ability to capitalize on strategic opportunities, even as major acquisitions do not proceed.
- Some analysts have taken a more neutral stance, reflecting cautiousness regarding the withdrawn acquisition of Seven & i Holdings, which limits potential near-term transformational growth.
- Valuation concerns have arisen, with some price target increases being only incremental and at least one notable firm revising its target slightly downward. This suggests the stock price may already reflect much of the anticipated growth.
- Consensus sees strong fundamentals, but competitive pressures and sensitivities in integrating new growth segments like foodservice may introduce execution risk going forward.
What's in the News
- The Board of Directors authorized a new share buyback plan on July 21, 2025. (Key Developments)
- Alimentation Couche-Tard announced a normal course issuer bid to repurchase up to 77,115,921 common shares, or 8.13% of its issued share capital. All repurchased shares will be cancelled. The plan is valid until July 22, 2026. (Key Developments)
- As of April 30, 2025, the company has completed the repurchase of 8,695,652 shares for a total of $518.9 million under a buyback announced on April 29, 2024. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has risen slightly, increasing from CA$84.32 to CA$85.35.
- Discount Rate has increased marginally, moving from 6.36% to 6.40%.
- Revenue Growth projections remain virtually unchanged and are holding steady at approximately 2.05%.
- Net Profit Margin forecasts are unchanged and remain near 4.02%.
- Future P/E has fallen significantly, decreasing from 30.30x to 21.91x, reflecting improved earnings expectations relative to share price.
Disclaimer
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