Alimentation Couche-Tard (ATD) Competitors

Canadian Tire (TSE:CTC.A) and Alimentation Couche-Tard (TSE:ATD) are both consumer cyclical companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, risk, valuation, media sentiment, analyst recommendations, dividends and earnings.

Is CTC.A or ATD a better dividend stock?

Canadian Tire pays an annual dividend of C$7.00 per share and has a dividend yield of 3.8%. Alimentation Couche-Tard pays an annual dividend of C$0.70 per share and has a dividend yield of 1.0%. Canadian Tire pays out 102.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Alimentation Couche-Tard pays out 18.3% of its earnings in the form of a dividend.

Which has more volatility and risk, CTC.A or ATD?

Canadian Tire has a beta of 1.33, meaning that its stock price is 33% more volatile than the S&P 500. Comparatively, Alimentation Couche-Tard has a beta of 0.89, meaning that its stock price is 11% less volatile than the S&P 500.

Does the media refer more to CTC.A or ATD?

In the previous week, Canadian Tire had 2 more articles in the media than Alimentation Couche-Tard. MarketBeat recorded 4 mentions for Canadian Tire and 2 mentions for Alimentation Couche-Tard. Alimentation Couche-Tard's average media sentiment score of 0.64 beat Canadian Tire's score of 0.34 indicating that Alimentation Couche-Tard is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Canadian Tire	1 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Neutral
Alimentation Couche-Tard	1 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts recommend CTC.A or ATD?

Canadian Tire currently has a consensus target price of C$177.50, indicating a potential downside of 3.55%. Alimentation Couche-Tard has a consensus target price of C$83.92, indicating a potential upside of 19.58%. Given Alimentation Couche-Tard's stronger consensus rating and higher possible upside, analysts plainly believe Alimentation Couche-Tard is more favorable than Canadian Tire.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Canadian Tire	0 Sell rating(s)	2 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.67
Alimentation Couche-Tard	0 Sell rating(s)	0 Hold rating(s)	10 Buy rating(s)	2 Strong Buy rating(s)	3.17

Which has stronger earnings & valuation, CTC.A or ATD?

Alimentation Couche-Tard has higher revenue and earnings than Canadian Tire. Alimentation Couche-Tard is trading at a lower price-to-earnings ratio than Canadian Tire, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Canadian Tire	C$16.35B	0.59	C$381.70M	C$6.85	26.87
Alimentation Couche-Tard	C$50.52B	0.92	C$1.79B	C$3.83	18.31

Is CTC.A or ATD more profitable?

Alimentation Couche-Tard has a net margin of 3.53% compared to Canadian Tire's net margin of 2.33%. Alimentation Couche-Tard's return on equity of 18.96% beat Canadian Tire's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Canadian Tire	2.33%	7.45%	3.90%
Alimentation Couche-Tard	3.53%	18.96%	7.00%

Do insiders and institutionals hold more shares of CTC.A or ATD?

34.0% of Canadian Tire shares are owned by institutional investors. Comparatively, 33.8% of Alimentation Couche-Tard shares are owned by institutional investors. 1.9% of Canadian Tire shares are owned by insiders. Comparatively, 18.7% of Alimentation Couche-Tard shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

Alimentation Couche-Tard beats Canadian Tire on 13 of the 19 factors compared between the two stocks.