TSE:L

Loblaw Companies Ltd (L.TO)

66.20
+1.43 (2.21%)
as of Jun 24, 2026, 8:00:00 pm Market Open.
323 watching
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Investor Insights
star iconJun 24, 2026, 12:00 am

This summary was created by AI, based on 15 opinions in the last 12 months.

Loblaw Companies Ltd. (L-T) is viewed as a defensive investment, largely regarded as the leading grocery and pharmacy retailer in Canada. Analysts appreciate its strong market presence, especially with its No Frills stores and robust private label offerings that provide better margins. The acquisition of Shoppers Drug Mart has been cited as a significant driver of profitability and growth. While there are concerns regarding high valuations and competition from giants like Walmart and Costco, most experts recognize Loblaw's strong earnings growth, technical performance, and free cash flow generation. Despite some hesitation on its current price, the general sentiment among analysts leans towards its potential as a reliable stock in uncertain market conditions.

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Consensus
Positive
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Valuation
Overvalued
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PAST TOP PICK
(Top Pick Jul 3/09, Up 6.72%) Moved into George Weston.
COMMENT
His model price is $39.15, a 9.6% positive differential. Thinks it holds here for a while but doesn't expect any great gains. Likes the sector and his #1 pick would be Metro (MRU.A-T).
HOLD
(Market Call Minute.) Has had management turnover and growth has slowed.
TOP PICK
Started a turnaround strategy plan in 2007 to improve and reinvest in its infrastructure as well as refurbishing store space. Margins have been on decline for 5 years but have improved in the last year. 2.5% yield.
COMMENT
(Market Call Minute.) Prefers Empire (EMP.A-T).
HOLD
Would like to own this but the next 12 months are going to be difficult for the whole sector. Partly because you are not seeing food inflation. Has been good at cost containment but going into a competitive environment is likely to pressure margins.
WEAK BUY
At this valuation it is starting to look a little interesting. Trading at about 13X next year's earnings. Has made some strides in refurbishing some of the stores and getting merchandising back into focus.
PAST TOP PICK
(A Top Pick Nov 25/08. Up 10.32%.)
BUY
(Market Call Minute) Likes Empire a little bit better.
DON'T BUY
About 3 years in a 5-year restructuring. Working at paying down debt and getting costs into line. Not a part of the market that people really care about right now.
BUY
2 things have hurt supermarkets recently. Grocery prices have been deflating that is hurting their margins. Also a consumer non-durable and interest is elsewhere. Great turnaround story.
PAST TOP PICK
(A Top Pick Nov 26/08. Down .03% not including dividends.) Got stopped out of his position.
PAST TOP PICK
(A Top Pick Dec 4/08. Down 7.4%.) Had looked like it had an upside potential and was above its 200-day moving average. It then turned around giving lots of negative signals and he got stopped out at around $34-$35. Still in the negative pattern.
DON'T BUY
Don’t like it and haven’t for a long time. They came out and had great concept and now competitors have copied. It’s difficult for them. They are never going to see the multiples they saw before. Prefers Weston.
DON'T BUY
Dividend is well covered. Stock price has been trending down.
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