Alimentation Couche-Tard (ATD) Competitors

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

Does the media prefer ATD or CTC?

In the previous week, Canadian Tire had 1 more articles in the media than Alimentation Couche-Tard. MarketBeat recorded 1 mentions for Canadian Tire and 0 mentions for Alimentation Couche-Tard. Alimentation Couche-Tard's average media sentiment score of 1.53 beat Canadian Tire's score of 1.16 indicating that Alimentation Couche-Tard is being referred to more favorably in the media.

Company	Overall Sentiment
Alimentation Couche-Tard	Very Positive
Canadian Tire	Positive

Does the MarketBeat Community believe in ATD or CTC?

Canadian Tire received 126 more outperform votes than Alimentation Couche-Tard when rated by MarketBeat users. Likewise, 77.21% of users gave Canadian Tire an outperform vote while only 55.63% of users gave Alimentation Couche-Tard an outperform vote.

Company	Underperform	Outperform
Alimentation Couche-Tard	Outperform Votes 84 55.63%	Underperform Votes 67 44.37%
Canadian Tire	Outperform Votes 210 77.21%	Underperform Votes 62 22.79%

Which has better earnings & valuation, ATD or CTC?

Alimentation Couche-Tard has higher revenue and earnings than Canadian Tire. Canadian Tire is trading at a lower price-to-earnings ratio than Alimentation Couche-Tard, 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
Alimentation Couche-Tard	C$50.52B	0.92	C$1.79B	C$3.83	18.16
Canadian Tire	C$11.21B	0.75	C$446.23M	C$17.42	12.54

Which has more volatility and risk, ATD or CTC?

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

Is ATD or CTC a better dividend stock?

Alimentation Couche-Tard pays an annual dividend of C$0.70 per share and has a dividend yield of 1.0%. Canadian Tire pays an annual dividend of C$7.00 per share and has a dividend yield of 3.2%. Alimentation Couche-Tard pays out 18.3% of its earnings in the form of a dividend. Canadian Tire pays out 40.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Is ATD or CTC more profitable?

Canadian Tire has a net margin of 3.98% compared to Alimentation Couche-Tard's net margin of 3.53%. 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
Alimentation Couche-Tard	3.53%	18.96%	7.00%
Canadian Tire	3.98%	11.54%	3.90%

Do analysts rate ATD or CTC?

Alimentation Couche-Tard presently has a consensus price target of C$86.33, indicating a potential upside of 24.02%. Canadian Tire has a consensus price target of C$140.00, indicating a potential downside of 35.93%. Given Alimentation Couche-Tard's stronger consensus rating and higher possible upside, analysts clearly believe Alimentation Couche-Tard is more favorable than Canadian Tire.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alimentation Couche-Tard	0 Sell rating(s)	0 Hold rating(s)	10 Buy rating(s)	2 Strong Buy rating(s)	3.17
Canadian Tire	1 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	2 Strong Buy rating(s)	2.75

Do insiders and institutionals have more ownership in ATD or CTC?

33.8% of Alimentation Couche-Tard shares are owned by institutional investors. Comparatively, 12.3% of Canadian Tire shares are owned by institutional investors. 18.7% of Alimentation Couche-Tard shares are owned by company insiders. Comparatively, 81.9% of Canadian Tire shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

Alimentation Couche-Tard beats Canadian Tire on 12 of the 20 factors compared between the two stocks.