Analysts Set Loblaw Companies Limited (TSE:L) Target Price at C$69.25

Shares of Loblaw Companies Limited (TSE:L) have earned a consensus rating of “Moderate Buy” from the seven research firms that are covering the stock, Marketbeat reports. Three investment analysts have rated the stock with a hold recommendation and four have given a buy recommendation to the company. The average 1-year price target among brokerages that have issued a report on the stock in the last year is C$69.25.

A number of equities analysts recently issued reports on L shares. Scotiabank downgraded shares of Loblaw Companies from an “outperform” rating to a “hold” rating and set a C$70.00 price target for the company. in a research note on Thursday, April 9th. Scotia cut their price objective on Loblaw Companies from C$70.00 to C$64.00 and set a “sector perform” rating on the stock in a research report on Thursday, May 7th. Finally, Canadian Imperial Bank of Commerce reduced their target price on Loblaw Companies from C$75.00 to C$69.00 in a report on Thursday, May 7th.

Insider Activity at Loblaw Companies

In related news, insider Melanie Singh sold 4,820 shares of the company’s stock in a transaction on Tuesday, June 9th. The stock was sold at an average price of C$66.72, for a total value of C$321,590.40. Also, Director Nicholas Henn sold 10,000 shares of the stock in a transaction on Thursday, June 11th. The stock was sold at an average price of C$67.00, for a total value of C$670,000.00. Insiders own 53.77% of the company’s stock.

Loblaw Companies Stock Performance

TSE:L opened at C$64.18 on Friday. The company has a market capitalization of C$74.70 billion, a price-to-earnings ratio of 27.90, a PEG ratio of 3.23 and a beta of 0.13. The business has a 50 day moving average of C$63.06 and a 200 day moving average of C$63.29. The company has a debt-to-equity ratio of 153.41, a current ratio of 1.09 and a quick ratio of 0.68. Loblaw Companies has a 1-year low of C$52.92 and a 1-year high of C$69.59.

Loblaw Companies (TSE:L) last released its earnings results on Wednesday, May 6th. The company reported C$0.52 earnings per share for the quarter. The company had revenue of C$14.48 billion during the quarter. Loblaw Companies had a return on equity of 24.88% and a net margin of 4.29%. On average, sell-side analysts predict that Loblaw Companies will post 9.1225541 earnings per share for the current fiscal year.

Loblaw Companies Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, July 1st. Stockholders of record on Wednesday, July 1st were paid a $0.1552 dividend. This represents a $0.62 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date was Monday, June 15th. This is a boost from Loblaw Companies’s previous quarterly dividend of $0.14. Loblaw Companies’s dividend payout ratio (DPR) is 24.53%.

About Loblaw Companies

Loblaw is one of Canada’s largest grocery, pharmacy, and general merchandise retailers, operating the most expansive store footprint in Ontario and maintaining sizable presences in provinces like Quebec and British Columbia. Key grocery banners include Loblaw, No Frills, and Maxi, while its pharmaceutical operations are the product of its 2014 acquisition of Shoppers Drug Mart. The firm carries a robust private-label assortment, with top sellers like President’s Choice and No Name. In addition to its retail operations, Loblaw oversees a financial-services business, which provides credit card services and guaranteed investment certificates, and also operates its PC Optimum loyalty program.