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
0
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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MRU
DON'T BUY
Has been a very good company for a long time. Wal-Mart is going to aggressively sell food in Canada and Loblaws has positioned themselves to compete. Expect a few years of tough results. Doesn't expect they will ever get the high multiple they used to get.
BUY
They’re wrestling with distribution. The changes they are making costing them in the short-term but it's getting better each quarter. It’s at its 15-year valuation low. If you like management and you think this is the time they'll fix it, this is the time to buy.
DON'T BUY
Has benefited from the fact that the Ontario market is the least competitive market. Going through some growing pains. Doesn't think that they are done in some of the issues they are facing.
WEAK BUY
Traditionally, grocery stocks have been very defensive. Evaluating this one very closely. Had a number of operating problems over the last year. Still relatively expensive compared to its competitors but is still a world-class operator. Could be a while before there is any upside.
BUY
His model price is $63.91, a positive differential of 16%. He feels it will go back to $46.73. Would buy at this price, but if it went back $46.73, he would hold up the truck.
WAIT
On his radar screen. Probably the best food retailer in north America. Have had some execution problems with new warehouses for eastern stores. They're not over this yet, but once they do, profits will start coming back.
WATCH
The multiple will not increase until investors are convinced that they have solved their logistic problems and everything is working. Continuing to evaluate because it is a really good company. They are making investments in the future. Probably the premier retailer in Canada.
WAIT
Repositioning themselves. There will be a time to buy this. They go through this every couple of years.
BUY
Very well-run company. Has a less than premium valuation. Pretty good entry point here.
BUY
Have had some problems with their distribution which has knocked the share price down. One of the best grocers in North America. A really good entry point.
BUY
Looking at this one very closely. Very interestingly priced. Has come off because of Wal-Mart, but more importantly because of earnings disappointments. Well-run company and are investing for the long-term.
DON'T BUY
Had 14 years in a row of increased sales and increased earnings and earnings per share. In 2005 they had a decrease in the earnings. No longer a growth company. More reasonably valued now but wouldn't buy it. Competition will grow.
DON'T BUY
Thinks that ultimately the stock wants to go to $46.50. Earnings estimates have been coming down for at least 3/4 months. His model price is $61.80 which is a positive differential of about 11%. If earnings estimates are reduced again the stock will fall.
SELL
Commenting on previous shows, still thinks Loblaws is a "torpedo" stock, and is too high. Trying to change their strategy, and are dealing with the Walmart threat.
TRADE
Loblaws is looking to expand into the clothing sector. He doesn't really think this is good for the company.
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