Skip to main content

The Globe and Mail

What to like about Couche-Tard’s earnings, growth

A dog named Roxy waits outside a Couche-Tard convenience store in Montreal, April 18, 2012.

CHRISTINNE MUSCHI/REUTERS

Validea's pick of the week provides a detailed report on a company that scores well in the stock-screening service's model portfolios. On Validea.ca, investors can analyze 1,000 Canadian stocks through 12 different guru-based models and get individual reports on each company. Globe Investor has a distribution agreement with Validea.ca. Try it. Globe readers can get a limited-time 25-per-cent discount.

Alimentation Couche-Tard Inc., the convenience store/gas station chain with $9.7-billion market cap, had very strong most recent quarter, growing earnings 54.1 per cent and revenues more than 80 per cent, thanks in part to the recent acquisition of Statoil Fuel and Retail's 2,300 or so stores in Europe.

It gets strong interest from Validea's Warren Buffett-based strategy because it has increased EPS in all but one year of the past decade, and has a 19.2 per cent average return on equity over past 10 years.

Story continues below advertisement

Strong relative strength (96) and low price/sales ratio (0.34) help earn it high marks from the James O'Shaughnessy-based growth model.

And the impressive short- and long-term earnings growth and rising relative strength (over past four months) earn it strong interest from Validea's Momentum Investor model.

Click here to read the full report for a detailed breakdown.

Report an error
Comments

The Globe invites you to share your views. Please stay on topic and be respectful to everyone. For more information on our commenting policies and how our community-based moderation works, please read our Community Guidelines and our Terms and Conditions.

We’ve made some technical updates to our commenting software. If you are experiencing any issues posting comments, simply log out and log back in.

Discussion loading… ✨

Combined Shape Created with Sketch.

Combined Shape Created with Sketch.

Thank you!

You are now subscribed to the newsletter at

You can unsubscribe from this newsletter or Globe promotions at any time by clicking the link at the bottom of the newsletter, or by emailing us at privacy@globeandmail.com.