Canadian Tire (CDNTF) AI Stock Analysis
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Canadian Tire
(Other OTC:CDNTF)
No summary available
Canadian Tire Key Performance Indicators (KPIs)
Revenue by SegmentShows how different business segments contribute to overall sales, highlighting areas of strength and potential growth or decline within Canadian Tire's diverse operations.
Canadian Tire's Retail segment shows fluctuating revenue with a recent dip in Q1 2025, reflecting potential retail environment uncertainties. However, the earnings call highlights robust strategic execution, with a 13% increase in retail EBITDA and strong loyalty program engagement. Financial Services and CT REIT segments maintain steady growth, underscoring diversification benefits. Despite macroeconomic challenges and anticipated cost pressures, Canadian Tire's strategic focus on growth and efficiency through its True North transformation strategy suggests resilience and potential for sustained performance improvements.
The FlyCanadian Tire (CDNTF) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $5.77B
- Dividend Yield
- 3.40%
- Average Volume (3M)
- 3
- Price to Earnings (P/E)
- 15.7
- Beta (1Y)
- 0.45
- Revenue Growth
- 1.84%
- EPS Growth
- -6.31%
- Country
- US
- Employees
- 13,973
- Sector
- Consumer Cyclical
- Sector Strength
- 61
- Industry
- Specialty Retail
Canadian Tire Business Overview & Revenue Model
Company Description
Canadian Tire Corporation, Limited serves the Canadian market with a diverse portfolio of retail goods and consumer services. The company's operations are divided into three primary segments: Retail, CT REIT, and Financial Services. The Retail segmen...
Canadian Tire Earnings Call Summary
The call presented a net-positive picture: strong headline metrics (EPS +10%), banner-level momentum (SportChek and Mark's), robust eCommerce growth and margin improvement offset weather-driven softness at Canadian Tire Retail and some timing/investment-related pressure on SG&A and inventory. Management emphasized strategic progress — AI pricing, MOSaiC customer intelligence, digital harmonization, loyalty expansion — and maintained confidence in full-year margin targets and a path to long-term growth. Short-term operational challenges (weather, dealer restocking, elevated bank SG&A and receivable dynamics) were acknowledged but framed as manageable and largely timing or environment-driven.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Guidance and outlook highlighted a full‑year retail gross margin “North Star” target of 35%+ (Q2 margin excl. Petroleum 35.1%, +33 bps y/y) while expecting some Q3 headwinds from higher transportation fuel surcharges and targeted investments; CapEx is now guided to $450–$500 million in 2026 with 30 store refresh projects completed in H1 and the pipeline to more than double by year‑end (modestly below an original 70‑project plan); the company expects eCommerce to continue to significantly outpace bricks‑and‑mortar (eCom comps +12% YTD, CTR eCom +14%), plans to lean into digital and loyalty (Triangle sales +3.5%, >2 million active loyalty members, CT Money issuance rising) and to keep investing in bank‑related growth (CTFS GAAR +4.2%) even as CTFS SG&A is expected to run at ~28% through H2; other Q2 metrics to anchor models include diluted normalized EPS $3.94 (+10% y/y), consolidated comparable sales +0.7% (SportChek +8%, Mark’s +4.2%, CTR -0.8% / 2‑yr stack +5.5%), retail revenue -1.1% (retail sales excl. Petroleum +2.5%), Retail IBT $201M (+1.2%), normalized retail EBITDA $498M (+2.2%), Retail ROIC 11.1% (+80 bps), corporate inventory +7% (CTR dealer inventory +1%), allowance $935M (allowance rate 11.8%), aging 3.3% and net write‑off ~7.2%, plus ongoing buybacks ($85M repurchased in Q2).
Canadian Tire Peers Comparison
Overall Rating
TSE:LNF69Neutral
TSE:GBT68Neutral
TSE:PET63Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TSE:LNF | 69Neutral | CAD 1.80B | 11.39 | 12.76% | 5.57% | -0.15% | -2.29% |
| TSE:GBT | 68Neutral | CAD 399.74M | 10.05 | 6.81% | 2.86% | -1.49% | 44.76% |
| TSE:PET | 63Neutral | CAD 1.34B | 13.76 | 110.16% | 2.56% | 5.62% | 7.18% |
| Sector * | 61Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
* Consumer Cyclical Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| CDNTF | Canadian Tire Corp | 157.21 | -16.17 | -9.33% | |
| TSE:GBT | BMTC Group Inc. | 12.57 | -0.45 | -3.45% | |
| TSE:LNF | Leon's Furniture | 26.20 | -2.09 | -7.38% | |
| TSE:PET | Pet Valu Holdings Ltd. | 19.95 | -14.89 | -42.74% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.