Loblaw Companies (TSE:L) Sets New 52-Week High After Analyst Upgrade

Loblaw Companies Limited (TSE:L) hit a new 52-week high during trading on Monday after Royal Bank Of Canada raised their price target on the stock from C$68.00 to C$72.00. Royal Bank Of Canada currently has an outperform rating on the stock. Loblaw Companies traded as high as C$63.44 and last traded at C$63.22, with a volume of 79077 shares trading hands. The stock had previously closed at C$62.96.

A number of other equities analysts have also recently issued reports on the stock. TD Securities increased their price objective on shares of Loblaw Companies from C$63.00 to C$65.00 in a research note on Thursday, November 13th. BMO Capital Markets upped their target price on shares of Loblaw Companies from C$57.50 to C$63.00 in a research note on Thursday, November 13th. Desjardins raised shares of Loblaw Companies from a “hold” rating to a “buy” rating and increased their price target for the stock from C$62.00 to C$67.00 in a research report on Thursday, December 4th. CIBC raised their price target on shares of Loblaw Companies from C$58.50 to C$67.00 in a research note on Thursday, November 13th. Finally, National Bankshares upped their price objective on Loblaw Companies from C$60.00 to C$61.00 and gave the company an “outperform” rating in a research note on Wednesday, October 22nd. Six equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of C$89.13.

Insider Buying and Selling at Loblaw Companies

In other news, insider Kieran Barry Columb sold 40,800 shares of Loblaw Companies stock in a transaction that occurred on Friday, November 14th. The shares were sold at an average price of C$59.50, for a total value of C$2,427,600.00. Following the completion of the transaction, the insider owned 163,696 shares in the company, valued at approximately C$9,739,912. The trade was a 19.95% decrease in their ownership of the stock. Insiders have sold a total of 102,044 shares of company stock worth $6,092,002 over the last three months. Company insiders own 53.77% of the company’s stock.

Loblaw Companies Stock Up 0.4%

The firm has a 50 day moving average price of C$61.92 and a 200-day moving average price of C$91.33. The firm has a market cap of C$74.67 billion, a price-to-earnings ratio of 30.88, a price-to-earnings-growth ratio of 3.23 and a beta of 0.26. The company has a debt-to-equity ratio of 166.11, a current ratio of 1.29 and a quick ratio of 0.68.

Loblaw Companies Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 30th. Investors of record on Tuesday, December 30th were paid a dividend of $0.1411 per share. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend was Monday, December 15th. Loblaw Companies’s payout ratio is 26.31%.

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.