Loblaw Companies (TSE:L) Hits New 12-Month High – Should You Buy?

Loblaw Companies Limited (TSE:L) shares reached a new 52-week high on Wednesday. The company traded as high as C$71.07 and last traded at C$70.80, with a volume of 331,325 shares traded. The stock had previously closed at C$69.32.

Analyst Ratings Changes

L has been the topic of several recent research reports. TD Securities raised shares of Loblaw Companies to a “strong-buy” rating in a research report on Wednesday, July 29th. Scotia boosted their price objective on Loblaw Companies from C$64.00 to C$67.00 and gave the stock a “sector perform” rating in a report on Friday, July 31st. BMO Capital Markets increased 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. Canadian Imperial Bank of Commerce set a C$81.00 price objective on Loblaw Companies and gave the stock an “outperformer” rating in a research note on Thursday, October 22nd. Finally, Desjardins raised their target price on Loblaw Companies from C$70.00 to C$72.00 and gave the company a “buy” rating in a report on Friday, July 31st. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Loblaw Companies has an average rating of “Moderate Buy” and a consensus price target of C$73.00.

Loblaw Companies Stock Performance

The company’s 50 day moving average price is C$64.48 and its 200-day moving average price is C$63.72. The stock has a market cap of C$80.26 billion, a P/E ratio of 29.43, a price-to-earnings-growth ratio of 3.23 and a beta of -0.02. The company has a debt-to-equity ratio of 151.15, a quick ratio of 0.68 and a current ratio of 1.06.

Loblaw Companies Announces Dividend

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

Insiders Place Their Bets

In other Loblaw Companies news, insider Mark William Henry Wilson sold 24,496 shares of Loblaw Companies stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of C$62.68, for a total transaction of C$1,535,409.28. Also, insider David Markwell sold 56,240 shares of the business’s stock in a transaction that occurred on 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. In the last ninety days, insiders sold 324,121 shares of company stock valued at $20,118,530. Corporate insiders own 53.77% of the company’s stock.

Loblaw Companies Company Profile

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.