May 7 is observed as World Athletics Day. How about finding a couple of sports stocks on Toronto Stock Exchange? The ongoing pandemic has shone the spotlight on building immunity as we human fight new ailments. How about achieving financial immunity too in these uncertain times?
Two stocks that may help attain both are Canlan Ice Sports Corp., and Canadian Tire Corporation Limited. Let’s look at some key data.
Canlan Ice Sports Corp. (TSX: ICE)
Canlan owns and operates multiple recreation venues in the US and Canada. The company has a market cap of over C$52 million, with price-to-book (P/B) ratio of 1.24. Both return on equity and return on assets of this stock are in negative territory.
What, however, goes in favor of this stock are its one-year and year-to-date (YTD) growth. The stock has surged almost 22 per cent over past one year, and it is up 6.9 per cent on YTD.
Last month, the company rebranded itself as Canlan Sports™. The key reason behind this move was to shed the tag of being just an ice sports related company. Canlan also launched a new website with this move.
The company recently announced a partnership with renowned American former ice hockey player, Cammi Granato. In April, Canlan was granted a two-year lease to operate a sports complex in the Village of Libertyville located in Chicago suburb.
The company’s earnings for year 2020 were hit by closures due to COVID-19 pandemic. The revenue for full year 2020 was C$39.3 million compared with C$88.3 million for year 2019.
Canadian Tire Corporation Limited (TSX: CTC)
Canadian Tire runs multiple stores across Canada to sell not just sports equipment but also apparel, accessories and other goods. It owns Helly Hansen, a Norwegian sports brand, since 2018. The market capitalization of the company is above C$814 million, with P/B ratio of 3.21. Its return on equity is 17.48 per cent, and return on assets is 3.81 per cent.
The stock has surged almost 20 per cent over past one-year, and it is up 14.3 per cent on YTD basis.
In March 2021, the company partnered with NuPort Robotics Inc. for development of technology for automated heavy duty trucking. The tech is first-of-its-kind in the world.
Canadian Tire recorded online sales of C$1.6 billion across all retail segments in year 2020. Retail sales of the company in 2020 (excluding petroleum) were up 11 per cent compared with 2019.
The above constitutes a preliminary view and any interest in stocks should be evaluated further from an investment point of view.