Canadian Tire Corporation, Limited (CTC-A.TO) stock analysis
In our weekly check, Canadian Tire Corporation, Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 7, red flags: 3.
About Canadian Tire Corporation, Limited
Canadian Tire Corporation, Limited is a Consumer Cyclical company (Specialty Retail) based in Canada, listed on TSX as CTC-A.TO.
What our checks show for CTC-A.TO
Red flags
- The net margin fell by 2.8 points over 5 years, to 4.1%: the company keeps less of each sale as profit.
- Revenue fell 2.5% a year over the last 3 years.
- The net margin is only 4.1%: little room if costs rise.
Warning signs
- Net debt is 3.3x a year of EBITDA (debt/equity 1.42). That limits room in a downturn and raises refinancing risk.
- Analysts expect only about 2% a year of growth in revenue.
- Earnings per share fell 10.2% a year over the last 3 years.
- Net profit fell 13.4% a year over the last 3 years.
- Free cash flow is only 3.6% of revenue.
- The stock has fallen as much as 60% from a peak. Would you have held through that?
- Thinly traded (about 202 thousand shares a day): buying and selling can move the price.
Strengths
- Operating cash flow is 1.77x net profit: the profit arrives as real cash.
- Analysts expect earnings per share to grow about 10.9% a year over the next years.
- Pay in shares is only 0% of free cash flow.
Next earnings report: 2026-11-12
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Questions
What grade does Canadian Tire Corporation, Limited (CTC-A.TO) have?
In our weekly check, Canadian Tire Corporation, Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 7, red flags: 3. The grade is a risk check, not a buy or sell recommendation.
What are the main risks of CTC-A.TO stock?
This week's biggest flags for Canadian Tire Corporation, Limited: Margins falling, Weak revenue growth, Thin margins. In total 10 of 25 checks show a warning or a red flag.
What does Canadian Tire Corporation, Limited do?
Canadian Tire Corporation, Limited is a Consumer Cyclical company (Specialty Retail) based in Canada, listed on TSX as CTC-A.TO.
When does Canadian Tire Corporation, Limited report earnings next?
The next earnings report is expected on 2026-11-12. We re-run the checks every week, so the grade can change after it.
The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.
Updated 2026-10-31
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