Desjardins Forecasts Stronger Earnings for Loblaw Companies

Key Points

• Desjardins has increased its FY2025 earnings per share (EPS) estimate for Loblaw Companies from $9.50 to $9.62, while maintaining a "Hold" rating and a price target of $235.00.
• The consensus estimate for Loblaw's current full-year earnings stands at $9.12 per share, and analysts have shown a bullish sentiment with several recent price target upgrades.
• Loblaw has announced a quarterly dividend of $0.5643, which will be paid on October 1st, representing a 1.02% dividend yield and a payout ratio of 27.83%.

Loblaw Companies Limited (TSE:L - Free Report) - Equities researchers at Desjardins boosted their FY2025 earnings per share (EPS) estimates for shares of Loblaw Companies in a report released on Friday, July 25th. Desjardins analyst C. Li now anticipates that the company will post earnings of $9.62 per share for the year, up from their previous forecast of $9.50. Desjardins currently has a "Hold" rating and a $235.00 price target on the stock. The consensus estimate for Loblaw Companies' current full-year earnings is $9.12 per share. Desjardins also issued estimates for Loblaw Companies' Q4 2025 earnings at $2.61 EPS and FY2026 earnings at $10.40 EPS.

L has been the subject of a number of other reports. UBS Group upped their price target on shares of Loblaw Companies from C$210.00 to C$253.00 in a research report on Thursday, May 1st. National Bankshares upped their price objective on shares of Loblaw Companies from C$235.00 to C$242.00 and gave the company an "outperform" rating in a research report on Friday. BMO Capital Markets increased their price target on shares of Loblaw Companies from C$220.00 to C$230.00 and gave the stock a "market perform" rating in a research report on Friday. Royal Bank Of Canada lifted their price target on Loblaw Companies from C$234.00 to C$267.00 in a research note on Monday, July 21st. Finally, TD Securities lifted their price target on Loblaw Companies from C$245.00 to C$250.00 and gave the stock a "buy" rating in a research note on Friday. Two research analysts have rated the stock with a hold rating and six have issued a buy rating to the company. According to data from MarketBeat.com, Loblaw Companies presently has an average rating of "Moderate Buy" and a consensus price target of C$244.50.

Loblaw Companies Stock Down 0.1%

Shares of TSE L opened at C$222.19 on Monday. Loblaw Companies has a 52-week low of C$162.59 and a 52-week high of C$235.17. The firm has a fifty day moving average of C$223.80 and a 200-day moving average of C$205.49. The stock has a market capitalization of C$67.18 billion, a PE ratio of 30.16, a P/E/G ratio of 3.23 and a beta of 0.17. The company has a quick ratio of 0.68, a current ratio of 1.29 and a debt-to-equity ratio of 166.11.

Insiders Place Their Bets

In other news, Senior Officer Frank Gambioli sold 1,304 shares of the business's stock in a transaction on Monday, May 12th. The shares were sold at an average price of C$213.87, for a total transaction of C$278,880.09. Also, Senior Officer Kieran Barry Columb sold 500 shares of the business's stock in a transaction on Monday, May 12th. The shares were sold at an average price of C$213.87, for a total transaction of C$106,932.55. Insiders have sold a total of 27,328 shares of company stock valued at $6,132,567 over the last quarter. 53.77% of the stock is owned by insiders.

Loblaw Companies Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Monday, September 15th will be given a $0.5643 dividend. This represents a $2.26 annualized dividend and a dividend yield of 1.02%. Loblaw Companies's dividend payout ratio (DPR) is presently 27.83%.

Loblaw Companies Company Profile

Loblaw is one of Canada's largest grocery, pharmacy, and general merchandise retailers, operating the most expansive store footprint in Ontario and maintaining sizable presences in provinces like Quebec and British Columbia. Key grocery banners include Loblaw, No Frills, and Maxi, while its pharmaceutical operations are the product of its 2014 acquisition of Shoppers Drug Mart.

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