Brokerages Set Loblaw Companies Limited (TSE:L) Price Target at C$71.00

Shares of Loblaw Companies Limited (TSE:L) have been given an average rating of “Moderate Buy” by the seven analysts that are presently covering the stock, MarketBeat reports. Two equities research analysts have rated the stock with a hold rating, four have given a buy rating and one has given a strong buy rating to the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is C$71.00.

Several equities research analysts recently commented on the company. Canadian Imperial Bank of Commerce dropped their target price on Loblaw Companies from C$75.00 to C$69.00 in a report on Thursday, May 7th. Desjardins increased their price target on Loblaw Companies from C$70.00 to C$72.00 and gave the company a “buy” rating in a research note on Friday, July 31st. BMO Capital Markets boosted their price objective on Loblaw Companies from C$70.00 to C$73.00 and gave the stock an “outperform” rating in a research note on Friday, July 31st. National Bank Financial upped their price objective on Loblaw Companies from C$67.00 to C$70.00 and gave the company an “outperform” rating in a report on Friday, July 31st. Finally, Scotia upped their price objective on Loblaw Companies from C$64.00 to C$67.00 and gave the company a “sector perform” rating in a report on Friday, July 31st.

Insider Transactions at Loblaw Companies

In related news, insider Melanie Singh sold 4,820 shares of the business’s stock in a transaction that occurred on Tuesday, June 9th. The shares were 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 that occurred on Thursday, June 11th. The shares were sold at an average price of C$67.00, for a total transaction of C$670,000.00. 53.77% of the stock is currently owned by corporate insiders.

Loblaw Companies Stock Performance

Shares of L opened at C$61.97 on Thursday. The firm has a market capitalization of C$72.13 billion, a PE ratio of 26.26, a P/E/G ratio of 3.23 and a beta of 0.14. The company has a quick ratio of 0.68, a current ratio of 1.06 and a debt-to-equity ratio of 151.15. The firm has a 50-day moving average price of C$64.50 and a 200 day moving average price of C$63.66. Loblaw Companies has a 52-week low of C$52.92 and a 52-week high of C$69.59.

Loblaw Companies (TSE:L) last released its quarterly earnings results on Thursday, July 30th. The company reported C$0.66 EPS for the quarter. The company had revenue of C$15.05 billion for the quarter. Loblaw Companies had a net margin of 4.32% and a return on equity of 25.25%. On average, sell-side analysts anticipate that Loblaw Companies will post 9.1225541 earnings per share for the current fiscal year.

Loblaw Companies Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, July 1st. Shareholders of record on Wednesday, July 1st were issued a $0.1552 dividend. This represents a $0.62 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date of this dividend was Monday, June 15th. This is a positive change from Loblaw Companies’s previous quarterly dividend of $0.14. Loblaw Companies’s dividend payout ratio is currently 24.51%.

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.