TSE:ATD
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Nervous markets await NvidiaThis summary was created by AI, based on 50 opinions in the last 12 months.
Alimentation Couche-Tard (ATD) has garnered mixed opinions among experts, mainly revolving around its recent pursuit of acquiring 7-Eleven and its operational strategy. The company is viewed as a strong player in the convenience store sector with a solid growth trajectory, underpinned by its history of successful acquisitions and effective capital allocation. However, uncertainties surrounding the 7-Eleven deal and broader economic factors have led to some skepticism about future growth. While many analysts appreciate its profitability and return on equity (ROE), concerns persist regarding potential share dilution if the acquisition goes through and the implications of a declining consumer spending environment. Overall, ATD remains considered a fundamentally sound investment, yet opinions vary on its immediate growth outlook.
Beaten down on concerns about potential spending. Now seeing a slow recovery. Struggled to beat expectations over the last year. Over the next 12 months, he'd bet that this name would beat expectations rather than a Loblaw. Gas prices are settling, but margins are still OK, so that should benefit the convenience store segment. Decent valuation.
We would be comfortable buying ATD at 18X earnings today, considering its solid long-term history and good outlook for continued growth.
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The proposed acquisition may have been a bit aggressive. May have felt a big acquisition was needed to move the needle. Very well run. May not be a lot of big purchases left in the space unless you overpay or take on a lot of debt. Without acquisitions and integration, may not be that much room for earnings growth.
Japanese are not easy to negotiate with, and it's not to say that they won't come back and try again. Not a management deficiency that the deal wasn't completed. ATD is great at integrating. If they were able to get the deal done, he'd likely be back in the stock. No catalyst in the near term for him to buy; another deal would be a catalyst. In the meantime, doing a great job operating the business.
He's just a bit cautious in general about the consumer as a group relative to the rest of the market. He owns DOL and Loblaw, but that's it.
One of the fantastic Canadian compounders over time. But it will also go through periods where it can go sideways. High rate of return core business, and they're going to take FCF and possibly leverage and get even more of these businesses around the world. Seven & I deal would be great for synergies; if not, also great because they'd just buy their stock back.
Market doesn't know what to do because of all the uncertainty. Consolidating at a long-term moving average. Relatively inexpensive to historical levels. Waiting for the catalyst, but the catalyst isn't happening now. Mild consumer recession in US depending on income level, so its numbers are a bit weak right now. It'll get through this in 1-2 years, still one of his core Canadian holdings.
Seven & I negotiations are a big overhang. If deal goes through, anti-competition reviews will be required. Plus, would likely need to issue equity to fund it. Integration risk. To conserve cash, company's stopped buying back stock until this gets resolved. US operations are seeing softer traffic, with lower-income consumers spending less.
Low-growth area, so they've grown by acquisition. But now that they're so big, there's nothing left for them to buy. Trades at a discount, but lots of uncertainty on the name.
ATD has a lot of available firepower, and has indicated there are still 'lots' of acquisition opportunities if 7/11 fails. It does get harder to grow as the company gets bigger, but we do not think its M&A run is over yet. We would be comfortable buying this stock if one has a 5-year timeframe. Management has proven itself over and over.
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Didn't care for its bid to acquire Seven & I, so they sold. This could be one deal too many; could indeed be game-changing, but not in the way investors hope. They'd have to issue massive equity, take on massive debt, with integration risks.
If it walked away from the deal, he might be interested again.
Alimentation Couche-Tard is a Canadian stock, trading under the symbol ATD-T on the Toronto Stock Exchange (ATD-CT). It is usually referred to as TSX:ATD or ATD-T
In the last year, 15 stock analysts published opinions about ATD-T. 3 analysts recommended to BUY the stock. 9 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Alimentation Couche-Tard.
Alimentation Couche-Tard was recommended as a Top Pick by on . Read the latest stock experts ratings for Alimentation Couche-Tard.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
15 stock analysts on Stockchase covered Alimentation Couche-Tard In the last year. It is a trending stock that is worth watching.
On 2025-10-17, Alimentation Couche-Tard (ATD-T) stock closed at a price of $74.95.
He's a huge fan, owning it almost his entire career. Very attractive valuation. The potential Seven & i acquisition really spooked the market, and a selloff ensued. Not a lot of excitement around the name right now. Could be a bit of economic weakness coming, with an attack on discretionary income.
Generates massive cashflows, which gives them so many options -- buy back shares, increase dividend, make acquisitions. Excellent at allocating capital. All this likely to reasonably boost EPS. Good growth (though not AI-type growth) at roughly 17x PE. Reasonable price for high-quality compounder.