AUS
NZ
UK
CA
USA
IND
Highlights
- For Q2 2022, the net revenue for Aritzia Inc. grew to C$ 525.5 million.
- Canadian Tire paid a quarterly dividend of C$ 1.625.
- The adjusted EBITDA of AutoCanada Inc. rose to C$ 75.6 million.
Post-pandemic, market uncertainties have increased, and this has increased challenges for many busisses. But at the same time, the sell-off in the stock market during that phase created several opportunities. As an investor, look for opportunities and be ready for any uncertainty. Analyzing the valuations is a good way to be selective about your stocks.
Investors operating with a long-term mindset should look at different aspects of a stock. With your long-term approach, day-to-day fluctuations should not matter much. Keep your portfolio diversified and be ready for any type of situation.
Here, we look at three TSX stocks and their financial performance in recent quarters:
-
Aritzia Inc. (TSX:ATZ)
Aritzia Inc. is an exclusive design house that has several fashion brands with it. The company sells its accessories and apparel under the brand-Aritzia banner.
For Q2 2022, the net revenue for Aritzia Inc. grew to C$ 525.5 million with an increase of 50.1 per cent. Further, the net income also witnessed an increase of 16.1 per cent and was noted at C$ 46.3 million.
For the same comparative period, the adjusted EBITDA increased too by 13.3 per cent to C$ 82.6 million. The earnings per share (EPS) of the company is C$ 1.62 and the price to earnings ratio is 31.10.
-
Canadian Tire Corporation Limited (TSX:CTC)
Canadian Tire Corporation Limited is engaged in selling a variety of things. This includes automotive parts, apparel, home goods, and sporting equipment. The company carries out its business with approximately a 1,710-store network. These store networks are either franchisee-operated, dealership or company-owned.
In Q2 2022, the net income of Canadian Tire Corporation decreased to C$ 177.6 million from C$ 259.1 million in Q2 2021. The consolidated comparable sales increased by five per cent in the same comparative period. These sales were reported excluding petroleum.
Canadian Tire Corporation Limited pays a quarterly dividend of C$ 1.625 with a dividend yield of 2.409 per cent. The dividend growth for the past five years was reported at 16.66 per cent.
The below graph illustrates the total market capitalization of the ATZ, CTC, and ACQ stocks:
-
AutoCanada Inc. (TSX:ACQ)
AutoCanada Inc. is a car dealer and is based in Canada. The company deals in customer financing, spare parts, new and used vehicles and maintenance services.
For the Q2 2022, the revenue rose to C$ 1,686 million (32 per cent increase) as compared to C$ 1,281.1 million in Q2 2021. The adjusted EBITDA also rose to C$ 75.6 million (7.2 per cent increase) from C$ 70.5 million in the same comparative year.
Further, the net income also witnessed an increase which was posted at C$ 39.1 million from C$ 37.7 million.
The EPS announced by AutoCanada Inc. was C$ 5.40 with P/E ratio of 3.90. On October 4, 2022, the company announced that it has acquired North Toronto Auction.
Bottom Line:
Investors looking for long term stocks should consider stocks that are fundamentally strong. Such stocks have the potential to overcome a downturn and be profitable towards the end. Also, focus on your goals and align them with your investment strategy.
Your investment decisions are directly proportional to your portfolio growth. Hence, be vigilant before selecting your stocks.
Please note, the above content constitutes a very preliminary observation based on the industry and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.
