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Alimentation Couche-Tard

Market Cap

CA$45.2b

Last Updated

2021/05/09 23:09 UTC

Data Sources

Company Financials +

Executive Summary

Alimentation Couche-Tard Inc. operates and licenses convenience stores. More Details


Snowflake Analysis

Outstanding track record, good value and pays a dividend.


Similar Companies

Share Price & News

How has Alimentation Couche-Tard's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ATD.B is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ATD.B's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.5%

ATD.B

1.9%

CA Consumer Retailing

2.3%

CA Market


1 Year Return

3.4%

ATD.B

6.7%

CA Consumer Retailing

36.9%

CA Market

Return vs Industry: ATD.B underperformed the Canadian Consumer Retailing industry which returned 6.7% over the past year.

Return vs Market: ATD.B underperformed the Canadian Market which returned 36.9% over the past year.


Shareholder returns

ATD.BIndustryMarket
7 Day0.5%1.9%2.3%
30 Day1.2%0.08%2.1%
90 Day5.7%9.0%7.5%
1 Year4.1%3.4%8.2%6.7%41.4%36.9%
3 Year59.4%56.2%45.3%32.0%30.2%17.7%
5 Year58.8%53.9%44.7%27.9%60.3%36.3%

Long-Term Price Volatility Vs. Market

How volatile is Alimentation Couche-Tard's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Alimentation Couche-Tard undervalued compared to its fair value and its price relative to the market?

35.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ATD.B (CA$41.86) is trading below our estimate of fair value (CA$65.07)

Significantly Below Fair Value: ATD.B is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ATD.B is good value based on its PE Ratio (14.1x) compared to the CA Consumer Retailing industry average (17.4x).

PE vs Market: ATD.B is good value based on its PE Ratio (14.1x) compared to the Canadian market (15.9x).


Price to Earnings Growth Ratio

PEG Ratio: ATD.B is poor value based on its PEG Ratio (3.7x)


Price to Book Ratio

PB vs Industry: ATD.B is overvalued based on its PB Ratio (3.1x) compared to the CA Consumer Retailing industry average (2.4x).


Future Growth

How is Alimentation Couche-Tard forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

3.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATD.B's forecast earnings growth (3.8% per year) is above the savings rate (1.5%).

Earnings vs Market: ATD.B's earnings (3.8% per year) are forecast to grow slower than the Canadian market (16.5% per year).

High Growth Earnings: ATD.B's earnings are forecast to grow, but not significantly.

Revenue vs Market: ATD.B's revenue (7.6% per year) is forecast to grow faster than the Canadian market (6.8% per year).

High Growth Revenue: ATD.B's revenue (7.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ATD.B's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Alimentation Couche-Tard performed over the past 5 years?

19.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ATD.B has high quality earnings.

Growing Profit Margin: ATD.B's current net profit margins (6.3%) are higher than last year (3.6%).


Past Earnings Growth Analysis

Earnings Trend: ATD.B's earnings have grown by 19.2% per year over the past 5 years.

Accelerating Growth: ATD.B's earnings growth over the past year (31.3%) exceeds its 5-year average (19.2% per year).

Earnings vs Industry: ATD.B earnings growth over the past year (31.3%) exceeded the Consumer Retailing industry 22.1%.


Return on Equity

High ROE: ATD.B's Return on Equity (22.4%) is considered high.


Financial Health

How is Alimentation Couche-Tard's financial position?


Financial Position Analysis

Short Term Liabilities: ATD.B's short term assets ($6.2B) exceed its short term liabilities ($4.2B).

Long Term Liabilities: ATD.B's short term assets ($6.2B) do not cover its long term liabilities ($11.2B).


Debt to Equity History and Analysis

Debt Level: ATD.B's debt to equity ratio (52.9%) is considered high.

Reducing Debt: ATD.B's debt to equity ratio has reduced from 65.6% to 52.9% over the past 5 years.

Debt Coverage: ATD.B's debt is well covered by operating cash flow (61.2%).

Interest Coverage: ATD.B's interest payments on its debt are well covered by EBIT (12.7x coverage).


Balance Sheet


Dividend

What is Alimentation Couche-Tard current dividend yield, its reliability and sustainability?

0.80%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ATD.B's dividend (0.8%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.51%).

High Dividend: ATD.B's dividend (0.8%) is low compared to the top 25% of dividend payers in the Canadian market (4.54%).


Stability and Growth of Payments

Stable Dividend: ATD.B's dividends per share have been stable in the past 10 years.

Growing Dividend: ATD.B's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9.5%), ATD.B's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ATD.B's dividends in 3 years are forecast to be thoroughly covered by earnings (12.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.0yrs

Average management tenure


CEO

Brian Hannasch (53 yo)

6.67yrs

Tenure

US$9,281,614

Compensation

Mr. Brian P. Hannasch has been the Chief Executive Officer and President of Alimentation Couche-Tard Inc. since September 24, 2014. Mr. Hannasch served as the Chief Operating Officer of Alimentation Couche...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD9.28M) is above average for companies of similar size in the Canadian market ($USD6.57M).

Compensation vs Earnings: Brian's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: ATD.B's management team is seasoned and experienced (6 years average tenure).


Board Members

Experienced Board: ATD.B's board of directors are considered experienced (6.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ATD.B insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Alimentation Couche-Tard Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Alimentation Couche-Tard Inc.
  • Ticker: ATD.B
  • Exchange: TSX
  • Founded: 1980
  • Industry: Food Retail
  • Sector: Consumer Retailing
  • Market Cap: CA$45.190b
  • Shares outstanding: 1.08b
  • Website: https://corpo.couche-tard.com

Number of Employees


Location

  • Alimentation Couche-Tard Inc.
  • 4204 Industriel Boulevard
  • Laval
  • Quebec
  • H7L 0E3
  • Canada

Listings


Biography

Alimentation Couche-Tard Inc. operates and licenses convenience stores. Its convenience stores sell tobacco products, grocery items, candies and snacks, beer, wine, beverages, and fresh food offerings; roa...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/09 23:09
End of Day Share Price2021/05/07 00:00
Earnings2021/01/31
Annual Earnings2020/04/26


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.