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CTC.

Canadian Tire Corporation TSX:CTC.A Stock Report

Last Price

CA$166.06

Market Cap

CA$10.7b

7D

-1.7%

1Y

-19.9%

Updated

25 May, 2022

Data

Company Financials +
CTC.A fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance5/6
Financial Health3/6
Dividends5/6

CTC.A Stock Overview

Canadian Tire Corporation, Limited provides a range of retail goods and services in Canada.

Canadian Tire Corporation Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Canadian Tire Corporation
Historical stock prices
Current Share PriceCA$166.06
52 Week HighCA$209.15
52 Week LowCA$161.17
Beta1.35
1 Month Change-8.96%
3 Month Change-10.32%
1 Year Change-19.89%
3 Year Change20.92%
5 Year Change8.00%
Change since IPO574.36%

Recent News & Updates

May 20
Canadian Tire Corporation (TSE:CTC.A) Is Paying Out A Larger Dividend Than Last Year

Canadian Tire Corporation (TSE:CTC.A) Is Paying Out A Larger Dividend Than Last Year

Canadian Tire Corporation, Limited ( TSE:CTC.A ) has announced that it will be increasing its dividend on the 1st of...

May 05
Is Canadian Tire Corporation, Limited (TSE:CTC.A) Trading At A 42% Discount?

Is Canadian Tire Corporation, Limited (TSE:CTC.A) Trading At A 42% Discount?

Does the May share price for Canadian Tire Corporation, Limited ( TSE:CTC.A ) reflect what it's really worth? Today, we...

Shareholder Returns

CTC.ACA Multiline RetailCA Market
7D-1.7%-2.3%1.7%
1Y-19.9%-18.1%4.7%

Return vs Industry: CTC.A matched the Canadian Multiline Retail industry which returned -20.4% over the past year.

Return vs Market: CTC.A underperformed the Canadian Market which returned 5.2% over the past year.

Price Volatility

Is CTC.A's price volatile compared to industry and market?
CTC.A volatility
CTC.A Average Weekly Movement4.3%
Multiline Retail Industry Average Movement9.8%
Market Average Movement9.9%
10% most volatile stocks in CA Market17.0%
10% least volatile stocks in CA Market4.3%

Stable Share Price: CTC.A is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CTC.A's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
192223,664Greg Hickshttps://www.corp.canadiantire.ca

Canadian Tire Corporation, Limited provides a range of retail goods and services in Canada. It operates in three segments: Retail, CT REIT, and Financial Services. The Retail segment retails automotive maintenance products and accessories, parts, tires as well as automotive repair and roadside assistance; kitchen, home organization, decor and essentials, home electronics, pet, and cleaning and consumable products; tools, hardware, paint, electrical, plumbing, home environment, and smart home products; and outdoor recreation, exercise, footwear and apparel, hunting, fishing, camping, and sporting goods.

Canadian Tire Corporation Fundamentals Summary

How do Canadian Tire Corporation's earnings and revenue compare to its market cap?
CTC.A fundamental statistics
Market CapCA$10.68b
Earnings (TTM)CA$1.16b
Revenue (TTM)CA$16.81b

8.5x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CTC.A income statement (TTM)
RevenueCA$16.81b
Cost of RevenueCA$10.40b
Gross ProfitCA$5.60b
Other ExpensesCA$4.45b
EarningsCA$1.16b

Last Reported Earnings

Apr 02, 2022

Next Earnings Date

Aug 11, 2022

Earnings per share (EPS)19.44
Gross Margin33.34%
Net Profit Margin6.89%
Debt/Equity Ratio126.4%

How did CTC.A perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

26%

Payout Ratio

Does CTC.A pay a reliable dividends?

See CTC.A dividend history and benchmarks
When do you need to buy CTC.A by to receive an upcoming dividend?
Canadian Tire Corporation dividend dates
Ex Dividend DateJul 28 2022
Dividend Pay DateSep 01 2022
Days until Ex dividend63 days
Days until Dividend pay date98 days

Does CTC.A pay a reliable dividends?

See CTC.A dividend history and benchmarks

Valuation

Is Canadian Tire Corporation undervalued compared to its fair value and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: CTC.A (CA$166.06) is trading below our estimate of fair value (CA$335.68)

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


Price To Earnings Ratio

PE vs Industry: CTC.A is good value based on its Price-To-Earnings Ratio (8.5x) compared to the North American Multiline Retail industry average (10.1x).

PE vs Market: CTC.A is good value based on its Price-To-Earnings Ratio (8.5x) compared to the Canadian market (11.5x).


Price to Earnings Growth Ratio

PEG Ratio: CTC.A is poor value based on its PEG Ratio (6.6x)


Price to Book Ratio

PB vs Industry: CTC.A's Price-To-Book Ratio (1.9x) is in line with the XN Multiline Retail industry average.


Future Growth

How is Canadian Tire Corporation forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


1.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CTC.A's forecast earnings growth (1.3% per year) is below the savings rate (1.6%).

Earnings vs Market: CTC.A's earnings (1.3% per year) are forecast to grow slower than the Canadian market (7.5% per year).

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

Revenue vs Market: CTC.A's revenue (1.6% per year) is forecast to grow slower than the Canadian market (6.3% per year).

High Growth Revenue: CTC.A's revenue (1.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CTC.A's Return on Equity is forecast to be high in 3 years time (20.4%)


Past Performance

How has Canadian Tire Corporation performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


10.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CTC.A has high quality earnings.

Growing Profit Margin: CTC.A's current net profit margins (6.9%) are higher than last year (6%).


Past Earnings Growth Analysis

Earnings Trend: CTC.A's earnings have grown by 10% per year over the past 5 years.

Accelerating Growth: CTC.A's earnings growth over the past year (26.5%) exceeds its 5-year average (10% per year).

Earnings vs Industry: CTC.A earnings growth over the past year (26.5%) exceeded the Multiline Retail industry -2.8%.


Return on Equity

High ROE: CTC.A's Return on Equity (19.6%) is considered low.


Financial Health

How is Canadian Tire Corporation's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CTC.A's short term assets (CA$11.2B) exceed its short term liabilities (CA$6.2B).

Long Term Liabilities: CTC.A's short term assets (CA$11.2B) exceed its long term liabilities (CA$8.7B).


Debt to Equity History and Analysis

Debt Level: CTC.A's net debt to equity ratio (106.5%) is considered high.

Reducing Debt: CTC.A's debt to equity ratio has increased from 104.1% to 126.4% over the past 5 years.

Debt Coverage: CTC.A's debt is not well covered by operating cash flow (19%).

Interest Coverage: CTC.A's interest payments on its debt are well covered by EBIT (8.9x coverage).


Balance Sheet


Dividend

What is Canadian Tire Corporation current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.91%

Current Dividend Yield

Upcoming Dividend Payment

TodayMay 26 2022Ex Dividend DateJul 28 2022Dividend Pay DateSep 01 202235 days from Ex DividendBuy in the next 63 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: CTC.A's dividend (3.91%) is higher than the bottom 25% of dividend payers in the Canadian market (1.9%).

High Dividend: CTC.A's dividend (3.91%) is low compared to the top 25% of dividend payers in the Canadian market (4.92%).


Stability and Growth of Payments

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

Growing Dividend: CTC.A's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (25.9%), CTC.A's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (51.4%), CTC.A's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

5.3yrs

Average board tenure


CEO

Greg Hicks (50 yo)

2.17yrs

Tenure

CA$6,924,195

Compensation

Mr. Gregory Hubert Hicks, also known as Greg, serves as President, Chief Executive Officer and Executive Director at Canadian Tire Corporation, Limited since March 12, 2020. Mr. Hicks serves as Chair of th...


CEO Compensation Analysis

Compensation vs Market: Greg's total compensation ($USD5.40M) is about average for companies of similar size in the Canadian market ($USD4.71M).

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


Board Members

Experienced Board: CTC.A's board of directors are considered experienced (5.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: CTC.A insiders have bought more shares than they have sold 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

Canadian Tire Corporation, Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Canadian Tire Corporation, Limited
  • Ticker: CTC.A
  • Exchange: TSX
  • Founded: 1922
  • Industry: General Merchandise Stores
  • Sector: Retail
  • Implied Market Cap: CA$10.679b
  • Shares outstanding: 59.57m
  • Website: https://www.corp.canadiantire.ca

Number of Employees


Location

  • Canadian Tire Corporation, Limited
  • 2180 Yonge Street
  • PO Box 770
  • Toronto
  • Ontario
  • M4P 2V8
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/25 00:00
End of Day Share Price2022/05/25 00:00
Earnings2022/04/02
Annual Earnings2022/01/01


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.