TSE:L

Loblaw Companies Ltd (L.TO)

63.24
+0.44 (0.70%)
as of Jun 4, 2026, 8:00:00 pm Market Open.
321 watching
0
Investor Insights
star iconJun 4, 2026, 12:00 am

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

Loblaw Companies Ltd, a dominant player in the Canadian grocery and pharmacy market, has received mixed reviews from analysts. While its focus on private label products and the successful integration of Shoppers Drug Mart are highlighted as strengths, some experts express concerns about its high valuation and competition from Walmart and Costco. Despite these challenges, Loblaw's expansion into rural areas and the strong performance of its discount banners are seen as positive factors in the current economic climate. The company is generally viewed as a defensive investment, appealing to those seeking stability in uncertain times. However, some analysts believe it may be overvalued compared to other retailers, suggesting a cautious approach for potential investors looking to enter the stock.

consensus icon
Consensus
Mixed
valuation icon
Valuation
Overvalued
review icon
Similar
Metro,MRU
DON'T BUY
He is playing this through the George Weston (WN-T) preferred shares. Loblaws is a classic value trap. Low margin business. Having trouble with the volume traffic in their stores. Wal-Mart (WMT-N) is pushing hard on costs.
BUY
Still early days for a turnaround. It has taken much longer than he would have thought. There are challenges from all fronts. $45 is a good level but you will have to be patient.
DON'T BUY
Do not buy stocks on the way down, as you can't tell when a low has been reached. Distribution centres still aren't fixed. Biggest issue with these companies, besides Wal-Mart, are rising food costs that will cut into margins.
HOLD
Not yet.
DON'T BUY
Still a bit more downside to come. They are going through a tough period. Think they have the right steps in place to make a recovery, but it takes time to turn a large ship like this around.
DON'T BUY
He has a model price of $46.92 giving it a positive 5% differential. The model price has been steadily falling. (In Feb/07 it was $55.)
COMMENT
Numbers just released were pretty good. Starting to get on track. Not out of the woods. Have a lot of brand equity in the President's Choice, location, real estate, etc.
SELL
Wait and see until they actually produce 2 quarters in a row of good earnings. A “ show me” story.
DON'T BUY
Loblaws (L-T) vs George Weston (WN-T). A lot of people are still pretty soured. No one is certain when the turnaround will come.
DON'T BUY
Wrote off goodwill. His model price is $50.86, which is basically a 2% positive differential. However, the model price has been eroding. More write-offs are required and they need a turnaround in earnings.
COMMENT
A great fan of this company, however PE ratio and forward earnings is about 19 X. Doesn't think it's worth this multiple. Would prefer at $5 less.
BUY
Sales growth in the latest quarter was up 4%, store by store. Things are starting to turn around.
DON'T BUY
Same-store sales were a little bit better on their recent reporting. Doesn't mean they are out of the woods yet. Far too early to know if they're going to be successful.
WATCH
Trying to gear up for the competition with Wal-Mart. This has upset the applecart. Not sure if they are on the right track. Need to get back to their fundamentals.
HOLD
A great franchise but unfortunately it went off the rails, partly internal and partly from threats of Wal-Mart competition. Think the threats have been overblown. Once the price pressures abate, could be a great buy.
Showing 421 to 435 of 706 entries