Pet Valu Holdings Ltd.

TSX:PET Stock Report

Market Cap: CA$1.9b

Pet Valu Holdings Valuation

Is PET undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PET when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PET (CA$26.83) is trading below our estimate of fair value (CA$54.61)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PET?

Key metric: As PET is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for PET. This is calculated by dividing PET's market cap by their current earnings.
What is PET's PE Ratio?
PE Ratio22x
EarningsCA$87.28m
Market CapCA$1.89b

Price to Earnings Ratio vs Peers

How does PET's PE Ratio compare to its peers?

The above table shows the PE ratio for PET vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.6x
LNF Leon's Furniture
14x5.9%CA$1.9b
ATZ Aritzia
48.8x59.7%CA$5.0b
DIV Diversified Royalty
15.6x3.6%CA$494.5m
GBT BMTC Group
16.2xn/aCA$437.3m
PET Pet Valu Holdings
22x18.1%CA$1.9b

Price-To-Earnings vs Peers: PET is good value based on its Price-To-Earnings Ratio (22x) compared to the peer average (23.6x).

Price to Earnings Ratio vs Industry

How does PET's PE Ratio compare vs other companies in the North American Specialty Retail Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PET 22.0xIndustry Avg. 16.4xNo. of Companies11PE01224364860+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PET is expensive based on its Price-To-Earnings Ratio (22x) compared to the North American Specialty Retail industry average (16.4x).

Price to Earnings Ratio vs Fair Ratio

What is PET's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PET PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio22x
Fair PE Ratio20.6x

Price-To-Earnings vs Fair Ratio: PET is expensive based on its Price-To-Earnings Ratio (22x) compared to the estimated Fair Price-To-Earnings Ratio (20.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PET forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCA$26.83
CA$31.82
+18.6%
11.8%CA$41.00CA$27.00n/a11
Nov ’25CA$25.15
CA$33.00
+31.2%
11.3%CA$40.00CA$27.50n/a11
Oct ’25CA$25.49
CA$32.67
+28.2%
11.5%CA$40.00CA$27.50n/a12
Sep ’25CA$24.38
CA$32.67
+34.0%
11.5%CA$40.00CA$27.50n/a12
Aug ’25CA$27.00
CA$37.13
+37.5%
8.6%CA$42.50CA$32.00n/a12
Jul ’25CA$26.31
CA$37.29
+41.7%
8.2%CA$42.50CA$32.00n/a12
Jun ’25CA$26.88
CA$37.29
+38.7%
8.2%CA$42.50CA$32.00n/a12
May ’25CA$31.11
CA$36.88
+18.5%
9.2%CA$42.50CA$33.00n/a12
Apr ’25CA$31.39
CA$36.88
+17.5%
9.2%CA$42.50CA$33.00n/a12
Mar ’25CA$30.00
CA$37.29
+24.3%
11.6%CA$47.00CA$31.00n/a12
Feb ’25CA$31.02
CA$36.22
+16.8%
12.1%CA$47.00CA$31.00n/a9
Jan ’25CA$28.78
CA$36.33
+26.2%
11.9%CA$47.00CA$31.00n/a9
Dec ’24CA$26.98
CA$36.33
+34.7%
11.9%CA$47.00CA$31.00n/a9
Nov ’24CA$24.99
CA$39.11
+56.5%
11.1%CA$47.00CA$35.00CA$25.159
Oct ’24CA$24.39
CA$40.00
+64.0%
10.5%CA$47.00CA$35.00CA$25.499
Sep ’24CA$25.68
CA$40.00
+55.8%
10.5%CA$47.00CA$35.00CA$24.389
Aug ’24CA$30.55
CA$43.89
+43.7%
7.5%CA$50.00CA$39.00CA$27.009
Jul ’24CA$30.40
CA$43.89
+44.4%
7.5%CA$50.00CA$39.00CA$26.319
Jun ’24CA$30.70
CA$45.00
+46.6%
6.3%CA$50.00CA$41.00CA$26.887
May ’24CA$36.49
CA$46.14
+26.5%
5.1%CA$50.00CA$42.00CA$31.117
Apr ’24CA$37.64
CA$46.43
+23.3%
4.1%CA$50.00CA$44.00CA$31.397
Mar ’24CA$42.00
CA$46.33
+10.3%
4.9%CA$50.00CA$43.00CA$30.006
Feb ’24CA$40.01
CA$45.17
+12.9%
3.5%CA$48.00CA$43.00CA$31.026
Jan ’24CA$39.13
CA$44.67
+14.1%
4.4%CA$48.00CA$42.00CA$28.786
Dec ’23CA$39.75
CA$44.67
+12.4%
4.4%CA$48.00CA$42.00CA$26.986
Nov ’23CA$36.90
CA$43.33
+17.4%
5.9%CA$48.00CA$40.00CA$24.996

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Aritzia

CA$5.0b

Designs, develops, and sells apparels and accessories for women in the United States and Canada.

ATZ

CA$44.64

7D

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1Y

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Reitmans (Canada)

US$95.1m

Primarily engages in the retail sale of women’s specialty apparel in Canada under the Reitmans, Penningtons, and RW&CO brand names.

RET.A

US$2.60

7D

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1Y

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Reitmans (Canada)

US$95.1m

Primarily engages in the retail sale of women’s specialty apparel in Canada under the Reitmans, Penningtons, and RW&CO brand names.

RET

US$2.73

7D

-1.8%

1Y

-9.0%