LOBLAW COMPANIES LTD (L.CA) Stock Fundamental Analysis

TSX:L • CA5394811015

67.26 CAD
-1.32 (-1.92%)
Last: Feb 20, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

Taking everything into account, L scores 4 out of 10 in our fundamental rating. L was compared to 15 industry peers in the Consumer Staples Distribution & Retail industry. While L belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. While showing a medium growth rate, L is valued expensive at the moment.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • In the past year L was profitable.
  • L had a positive operating cash flow in the past year.
  • L had positive earnings in each of the past 5 years.
  • Each year in the past 5 years L had a positive operating cash flow.
L.CA Yearly Net Income VS EBIT VS OCF VS FCFL.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 6.05%, L is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
  • L has a better Return On Equity (22.30%) than 66.67% of its industry peers.
  • L has a better Return On Invested Capital (10.91%) than 93.33% of its industry peers.
  • L had an Average Return On Invested Capital over the past 3 years of 9.41%. This is in line with the industry average of 8.83%.
  • The last Return On Invested Capital (10.91%) for L is above the 3 year average (9.41%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.05%
ROE 22.3%
ROIC 10.91%
ROA(3y)5.21%
ROA(5y)4.76%
ROE(3y)18.18%
ROE(5y)16.12%
ROIC(3y)9.41%
ROIC(5y)8.49%
L.CA Yearly ROA, ROE, ROICL.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15

1.3 Margins

  • L's Profit Margin of 3.92% is amongst the best of the industry. L outperforms 86.67% of its industry peers.
  • In the last couple of years the Profit Margin of L has grown nicely.
  • L has a Operating Margin (6.92%) which is comparable to the rest of the industry.
  • L's Operating Margin has improved in the last couple of years.
  • L has a worse Gross Margin (32.37%) than 60.00% of its industry peers.
  • In the last couple of years the Gross Margin of L has remained more or less at the same level.
Industry RankSector Rank
OM 6.92%
PM (TTM) 3.92%
GM 32.37%
OM growth 3Y5.29%
OM growth 5Y6.41%
PM growth 3Y0.27%
PM growth 5Y9.68%
GM growth 3Y0.9%
GM growth 5Y1.03%
L.CA Yearly Profit, Operating, Gross MarginsL.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), L is creating some value.
  • The number of shares outstanding for L has been reduced compared to 1 year ago.
  • Compared to 5 years ago, L has less shares outstanding
  • Compared to 1 year ago, L has a worse debt to assets ratio.
L.CA Yearly Shares OutstandingL.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B
L.CA Yearly Total Debt VS Total AssetsL.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.2 Solvency

  • L has an Altman-Z score of 3.77. This indicates that L is financially healthy and has little risk of bankruptcy at the moment.
  • With a decent Altman-Z score value of 3.77, L is doing good in the industry, outperforming 73.33% of the companies in the same industry.
  • The Debt to FCF ratio of L is 5.20, which is a neutral value as it means it would take L, 5.20 years of fcf income to pay off all of its debts.
  • With a decent Debt to FCF ratio value of 5.20, L is doing good in the industry, outperforming 73.33% of the companies in the same industry.
  • A Debt/Equity ratio of 1.52 is on the high side and indicates that L has dependencies on debt financing.
  • L's Debt to Equity ratio of 1.52 is in line compared to the rest of the industry. L outperforms 46.67% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.52
Debt/FCF 5.2
Altman-Z 3.77
ROIC/WACC1.53
WACC7.15%
L.CA Yearly LT Debt VS Equity VS FCFL.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.3 Liquidity

  • A Current Ratio of 1.24 indicates that L should not have too much problems paying its short term obligations.
  • The Current ratio of L (1.24) is worse than 66.67% of its industry peers.
  • L has a Quick Ratio of 1.24. This is a bad value and indicates that L is not financially healthy enough and could expect problems in meeting its short term obligations.
  • L's Quick ratio of 0.70 is on the low side compared to the rest of the industry. L is outperformed by 73.33% of its industry peers.
Industry RankSector Rank
Current Ratio 1.24
Quick Ratio 0.7
L.CA Yearly Current Assets VS Current LiabilitesL.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • L shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.39%, which is quite good.
  • Measured over the past years, L shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.72% on average per year.
  • L shows a small growth in Revenue. In the last year, the Revenue has grown by 4.21%.
  • L shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.90% yearly.
EPS 1Y (TTM)10.39%
EPS 3Y15.31%
EPS 5Y15.72%
EPS Q2Q%10.4%
Revenue 1Y (TTM)4.21%
Revenue growth 3Y4.69%
Revenue growth 5Y4.9%
Sales Q2Q%4.62%

3.2 Future

  • Based on estimates for the next years, L will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.03% on average per year.
  • The Revenue is expected to grow by 3.17% on average over the next years.
EPS Next Y14.97%
EPS Next 2Y11.35%
EPS Next 3Y10.63%
EPS Next 5Y8.03%
Revenue Next Year6.38%
Revenue Next 2Y4.31%
Revenue Next 3Y4.13%
Revenue Next 5Y3.17%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
L.CA Yearly Revenue VS EstimatesL.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B 80B
L.CA Yearly EPS VS EstimatesL.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 1 2 3

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Find the best growth stocksShow best growing peers

1

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 29.12, which means the current valuation is very expensive for L.
  • 73.33% of the companies in the same industry are cheaper than L, based on the Price/Earnings ratio.
  • L's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.99.
  • L is valuated quite expensively with a Price/Forward Earnings ratio of 25.32.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of L indicates a slightly more expensive valuation: L is more expensive than 73.33% of the companies listed in the same industry.
  • When comparing the Price/Forward Earnings ratio of L to the average of the S&P500 Index (28.06), we can say L is valued inline with the index average.
Industry RankSector Rank
PE 29.12
Fwd PE 25.32
L.CA Price Earnings VS Forward Price EarningsL.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, L is valued expensively inside the industry as 86.67% of the companies are valued cheaper.
  • 60.00% of the companies in the same industry are cheaper than L, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 21.44
EV/EBITDA 13.4
L.CA Per share dataL.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40 50

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates L does not grow enough to justify the current Price/Earnings ratio.
  • The decent profitability rating of L may justify a higher PE ratio.
PEG (NY)1.94
PEG (5Y)1.85
EPS Next 2Y11.35%
EPS Next 3Y10.63%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • L has a yearly dividend return of 0.83%, which is pretty low.
  • L's Dividend Yield is slightly below the industry average, which is at 2.53.
  • With a Dividend Yield of 0.83, L pays less dividend than the S&P500 average, which is at 1.81.
Industry RankSector Rank
Dividend Yield 0.83%

5.2 History

  • The dividend of L decreases each year by -14.66%.
  • L has been paying a dividend for at least 10 years, so it has a reliable track record.
  • L has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-14.66%
Div Incr Years13
Div Non Decr Years34
L.CA Yearly Dividends per shareL.CA Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.1 0.2 0.3 0.4 0.5

5.3 Sustainability

  • 26.12% of the earnings are spent on dividend by L. This is a low number and sustainable payout ratio.
DP26.12%
EPS Next 2Y11.35%
EPS Next 3Y10.63%
L.CA Yearly Income VS Free CF VS DividendL.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B
L.CA Dividend Payout.L.CA Dividend Payout, showing the Payout Ratio.L.CA Dividend Payout.PayoutRetained Earnings

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LOBLAW COMPANIES LTD

TSX:L (2/20/2026, 7:00:00 PM)

67.26

-1.32 (-1.92%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)11-12
Earnings (Next)02-25
Inst Owners19.5%
Inst Owner ChangeN/A
Ins Owners0.19%
Ins Owner ChangeN/A
Market Cap79.04B
Revenue(TTM)63.15B
Net Income(TTM)2.47B
Analysts80
Price Target68.03 (1.14%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.83%
Yearly Dividend0.38
Dividend Growth(5Y)-14.66%
DP26.12%
Div Incr Years13
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.31%
Min EPS beat(2)-0.52%
Max EPS beat(2)1.15%
EPS beat(4)1
Avg EPS beat(4)-0.78%
Min EPS beat(4)-2.57%
Max EPS beat(4)1.15%
EPS beat(8)3
Avg EPS beat(8)-0.24%
EPS beat(12)4
Avg EPS beat(12)-0.31%
EPS beat(16)8
Avg EPS beat(16)0.67%
Revenue beat(2)0
Avg Revenue beat(2)-1.87%
Min Revenue beat(2)-2.01%
Max Revenue beat(2)-1.73%
Revenue beat(4)0
Avg Revenue beat(4)-1.81%
Min Revenue beat(4)-2.01%
Max Revenue beat(4)-1.5%
Revenue beat(8)0
Avg Revenue beat(8)-2.02%
Revenue beat(12)0
Avg Revenue beat(12)-1.91%
Revenue beat(16)1
Avg Revenue beat(16)-1.78%
PT rev (1m)1.68%
PT rev (3m)8.24%
EPS NQ rev (1m)0.38%
EPS NQ rev (3m)2.09%
EPS NY rev (1m)0%
EPS NY rev (3m)0.7%
Revenue NQ rev (1m)0.33%
Revenue NQ rev (3m)0.64%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.1%
Valuation
Industry RankSector Rank
PE 29.12
Fwd PE 25.32
P/S 1.25
P/FCF 21.44
P/OCF 13.98
P/B 7.13
P/tB 62.09
EV/EBITDA 13.4
EPS(TTM)2.31
EY3.43%
EPS(NY)2.66
Fwd EY3.95%
FCF(TTM)3.14
FCFY4.66%
OCF(TTM)4.81
OCFY7.15%
SpS53.74
BVpS9.44
TBVpS1.08
PEG (NY)1.94
PEG (5Y)1.85
Graham Number22.15
Profitability
Industry RankSector Rank
ROA 6.05%
ROE 22.3%
ROCE 15.02%
ROIC 10.91%
ROICexc 11.74%
ROICexgc 18.14%
OM 6.92%
PM (TTM) 3.92%
GM 32.37%
FCFM 5.84%
ROA(3y)5.21%
ROA(5y)4.76%
ROE(3y)18.18%
ROE(5y)16.12%
ROIC(3y)9.41%
ROIC(5y)8.49%
ROICexc(3y)10.1%
ROICexc(5y)9.15%
ROICexgc(3y)16.28%
ROICexgc(5y)15.02%
ROCE(3y)12.97%
ROCE(5y)11.67%
ROICexgc growth 3Y4.06%
ROICexgc growth 5Y8.17%
ROICexc growth 3Y7.07%
ROICexc growth 5Y10.67%
OM growth 3Y5.29%
OM growth 5Y6.41%
PM growth 3Y0.27%
PM growth 5Y9.68%
GM growth 3Y0.9%
GM growth 5Y1.03%
F-Score5
Asset Turnover1.54
Health
Industry RankSector Rank
Debt/Equity 1.52
Debt/FCF 5.2
Debt/EBITDA 2.35
Cap/Depr 70.06%
Cap/Sales 3.12%
Interest Coverage 4.9
Cash Conversion 78.72%
Profit Quality 149.05%
Current Ratio 1.24
Quick Ratio 0.7
Altman-Z 3.77
F-Score5
WACC7.15%
ROIC/WACC1.53
Cap/Depr(3y)67.23%
Cap/Depr(5y)58.13%
Cap/Sales(3y)3.29%
Cap/Sales(5y)2.86%
Profit Quality(3y)168.5%
Profit Quality(5y)213.82%
High Growth Momentum
Growth
EPS 1Y (TTM)10.39%
EPS 3Y15.31%
EPS 5Y15.72%
EPS Q2Q%10.4%
EPS Next Y14.97%
EPS Next 2Y11.35%
EPS Next 3Y10.63%
EPS Next 5Y8.03%
Revenue 1Y (TTM)4.21%
Revenue growth 3Y4.69%
Revenue growth 5Y4.9%
Sales Q2Q%4.62%
Revenue Next Year6.38%
Revenue Next 2Y4.31%
Revenue Next 3Y4.13%
Revenue Next 5Y3.17%
EBIT growth 1Y9.52%
EBIT growth 3Y10.23%
EBIT growth 5Y11.63%
EBIT Next Year68.77%
EBIT Next 3Y22.87%
EBIT Next 5Y8.06%
FCF growth 1Y11.26%
FCF growth 3Y-0.39%
FCF growth 5Y5.42%
OCF growth 1Y4.76%
OCF growth 3Y6.32%
OCF growth 5Y7.94%

LOBLAW COMPANIES LTD / L.CA FAQ

What is the fundamental rating for L stock?

ChartMill assigns a fundamental rating of 4 / 10 to L.CA.


Can you provide the valuation status for LOBLAW COMPANIES LTD?

ChartMill assigns a valuation rating of 1 / 10 to LOBLAW COMPANIES LTD (L.CA). This can be considered as Overvalued.


Can you provide the profitability details for LOBLAW COMPANIES LTD?

LOBLAW COMPANIES LTD (L.CA) has a profitability rating of 7 / 10.


Can you provide the expected EPS growth for L stock?

The Earnings per Share (EPS) of LOBLAW COMPANIES LTD (L.CA) is expected to grow by 14.97% in the next year.


How sustainable is the dividend of LOBLAW COMPANIES LTD (L.CA) stock?

The dividend rating of LOBLAW COMPANIES LTD (L.CA) is 4 / 10 and the dividend payout ratio is 26.12%.