Loblaw Companies (TSE:L) Sets New 52-Week High – Here’s Why

Loblaw Companies Limited (TSE:L) hit a new 52-week high during mid-day trading on Friday. The stock traded as high as C$69.67 and last traded at C$69.31, with a volume of 74,276 shares changing hands. The stock had previously closed at C$69.00.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the company. TD set a C$75.00 price target on Loblaw Companies and gave the company a “buy” rating in a report on Thursday, September 10th. National Bank Financial set a C$70.00 price objective on shares of Loblaw Companies and gave the company an “outperform” rating in a research report on Thursday, September 10th. BMO Capital Markets increased their target price 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. TD Securities raised Loblaw Companies to a “strong-buy” rating in a report on Wednesday, July 29th. Finally, Scotia raised their price target on shares of Loblaw Companies from C$64.00 to C$67.00 and gave the company a “sector perform” rating in a research note on Friday, July 31st. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of C$71.44.

Loblaw Companies Stock Performance

The company has a 50-day moving average of C$62.27 and a 200 day moving average of C$62.98. 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 market capitalization of C$79.93 billion, a PE ratio of 29.31, a PEG ratio of 3.23 and a beta of 0.02.

Loblaw Companies (TSE:L) last issued its 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%. Equities research analysts predict that Loblaw Companies Limited will post 9.12 EPS for the current year.

Loblaw Companies Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Thursday, October 1st were given a dividend of $0.1552 per share. The ex-dividend date of this dividend was Tuesday, September 15th. This represents a $0.62 dividend on an annualized basis and a yield of 0.9%. Loblaw Companies’s dividend payout ratio (DPR) is currently 24.51%.

Insider Transactions at Loblaw Companies

In other Loblaw Companies news, insider Per Bank sold 39,762 shares of the firm’s stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of C$62.01, for a total transaction of C$2,465,641.62. Following the completion of the transaction, the insider owned 203,623 shares of the company’s stock, valued at approximately C$12,626,662.23. This trade represents a 16.34% decrease in their ownership of the stock. Also, insider David Markwell sold 56,240 shares of the company’s stock in a transaction dated Wednesday, September 16th. The stock was sold at an average price of C$62.07, for a total value of C$3,490,816.80. Over the last 90 days, insiders have sold 324,121 shares of company stock valued at $20,118,530. 53.77% of the stock is currently owned by company insiders.

About Loblaw Companies

Loblaw is Canada’s food and pharmacy leader, and the nation’s largest retailer. Loblaw provides Canadians with grocery, pharmacy, health and beauty, apparel, general merchandise, financial services and wireless mobile products and services. With more than 2,800 corporate franchised and Associate-owned locations, Loblaw, its franchisees and Associate-owners employ more than 220,000 full- and part-time employees, making it one of Canada’s largest private sector employers. Loblaw’s purpose – Live Life Well® – puts first the needs and well-being of Canadians who make one billion transactions annually in the company’s stores.