Loblaw Companies Limited (TSE:L) Given Average Rating of “Moderate Buy” by Analysts

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

Several research analysts have commented on the stock. BMO Capital Markets upped their price objective on shares of Loblaw Companies from C$70.00 to C$73.00 and gave the stock an “outperform” rating in a report on Friday, July 31st. Scotia increased their price target on shares of Loblaw Companies from C$64.00 to C$67.00 and gave the stock a “sector perform” rating in a research note on Friday, July 31st. Desjardins increased their price target on shares of Loblaw Companies from C$70.00 to C$72.00 and gave the stock a “buy” rating in a research note on Friday, July 31st. National Bank Financial lifted their price objective on Loblaw Companies from C$67.00 to C$70.00 and gave the company an “outperform” rating in a research report on Friday, July 31st. Finally, Canadian Imperial Bank of Commerce cut their price objective on Loblaw Companies from C$75.00 to C$69.00 in a research 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 Trading Down 0.4%

L opened at C$61.86 on Thursday. Loblaw Companies has a one year low of C$52.92 and a one year high of C$69.59. The company has a debt-to-equity ratio of 151.15, a current ratio of 1.06 and a quick ratio of 0.68. The business has a 50 day simple moving average of C$64.49 and a two-hundred day simple moving average of C$63.65. The firm has a market capitalization of C$72.00 billion, a price-to-earnings ratio of 26.21, a PEG ratio of 3.23 and a beta of 0.14.

Loblaw Companies (TSE:L) last issued its quarterly earnings data on Thursday, July 30th. The company reported C$0.66 earnings per share for the quarter. Loblaw Companies had a return on equity of 25.25% and a net margin of 4.32%.The firm had revenue of C$15.05 billion for the quarter. Analysts predict that Loblaw Companies will post 9.1225541 EPS for the current year.

Loblaw Companies Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, July 1st. Investors of record on Wednesday, July 1st were given a dividend of $0.1552 per share. This is a boost from Loblaw Companies’s previous quarterly dividend of $0.14. This represents a $0.62 annualized dividend and a dividend yield of 1.0%. The ex-dividend date was Monday, June 15th. Loblaw Companies’s dividend payout ratio is presently 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.