Loblaw Companies Limited (TSE:L) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• Loblaw Companies Limited has been rated as a "Moderate Buy" by eight research firms, with two analysts recommending a hold and six suggesting a buy.
• The average 12-month target price for the stock is now C$199.25, with significant price adjustments from various banks, including increases by BMO Capital Markets and Royal Bank of Canada.
• The company recently announced a quarterly dividend of $0.5643, translating to an annual yield of 4.1%, scheduled for payment on October 1st.

Loblaw Companies Limited (TSE:L - Get Free Report) has been given a consensus rating of "Moderate Buy" by the eight ratings firms that are covering the company, Marketbeat.com reports. Two research analysts have rated the stock with a hold recommendation and six have issued a buy recommendation on the company. The average 12-month price objective among brokerages that have issued ratings on the stock in the last year is C$199.25.

Several research analysts have issued reports on L shares. Royal Bank Of Canada upped their price target on Loblaw Companies from C$234.00 to C$267.00 in a report on Monday, July 21st. Scotiabank upped their price target on Loblaw Companies from C$61.00 to C$65.00 and gave the company an "outperform" rating in a report on Thursday, August 21st. Desjardins upped their price target on Loblaw Companies from C$230.00 to C$235.00 and gave the company a "hold" rating in a report on Friday, July 25th. National Bankshares cut their target price on shares of Loblaw Companies from C$242.00 to C$60.00 in a research note on Wednesday, August 20th. Finally, TD Securities boosted their target price on shares of Loblaw Companies from C$245.00 to C$250.00 and gave the company a "buy" rating in a research note on Friday, July 25th.

Loblaw Companies Price Performance

L traded up C$0.62 during trading on Friday, reaching C$54.89. The stock had a trading volume of 1,303,361 shares, compared to its average volume of 1,520,516. The firm has a market capitalization of C$65.26 billion, a price-to-earnings ratio of 27.21, a price-to-earnings-growth ratio of 3.23 and a beta of 0.42. The company has a quick ratio of 0.68, a current ratio of 1.29 and a debt-to-equity ratio of 166.11. Loblaw Companies has a 1-year low of C$42.56 and a 1-year high of C$59.70. The stock has a 50 day moving average of C$146.91 and a two-hundred day moving average of C$190.29.

Loblaw Companies Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Wednesday, October 1st will be paid a dividend of $0.5643 per share. This represents a $2.26 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend is Monday, September 15th. Loblaw Companies's payout ratio is 26.06%.

About Loblaw Companies

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.