- George Weston’s third-quarter revenue reached C$19.55 billion, reflecting a 4.6% growth compared to the previous year and aligning closely with the market estimate of C$19.58 billion.
- Loblaw, a major business segment of George Weston, reported third-quarter revenue of C$19.40 billion, also marking a 4.6% year-over-year increase, near the estimated C$19.42 billion.
- Choice Properties, another part of George Weston, achieved revenue of C$362 million, surpassing expectations with a 6.5% increase from the previous year, compared to the estimate of C$355.1 million.
- The company’s adjusted earnings per share (EPS) from continuing operations stood at C$1.37 for the quarter.
- Adjusted EBITDA reached C$2.34 billion, noting an 8.4% increase year-on-year and slightly above the C$2.31 billion forecast.
- Loblaw anticipates an upward revision in its full-year adjusted net earnings per share growth forecast, aiming to move from high single-digit growth to low double-digit growth, excluding the impact of the additional 53rd week.
- Galen G. Weston, Chairman and CEO of George Weston Limited, attributes the robust quarterly results to positive momentum within the company’s operating businesses.
- Analyst ratings include 5 buy recommendations, 3 holds, and 1 sell for George Weston.
George Weston on Smartkarma
Analyst coverage on George Weston by Ξ±SK on Smartkarma highlights the company’s resilience as a holding entity, primarily backed by its major interests in leading Canadian firms β Loblaw Companies Limited and Choice Properties REIT. The robust business model thrives on the steady revenue streams from essentials like grocery and pharmacy sales, ensuring a stable financial footing. Furthermore, the symbiotic relationship between Loblaw and Choice Properties, bolstered by rental income, adds to the company’s defensive characteristics. Looking ahead, growth prospects for George Weston seem promising, with Loblaw’s strategic endeavors such as expanding private-label offerings and enhancing digital platforms anticipated to drive future expansion. Capital allocation strategies are poised to prioritize dividends and share buybacks, buoyed by recent business divestitures.
A look at George Weston Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
George Weston Limited, a supermarket operator in Canada, shows a mixed outlook according to Smartkarma’s Smart Scores. With a Value and Dividend score of 2 each, the company may not be perceived as undervalued or high-yielding in terms of dividends. However, with Growth, Resilience, and Momentum scores of 3 each, George Weston seems to have positive prospects for future growth, stability during market fluctuations, and steady upward momentum.
Overall, George Weston’s Smart Scores suggest a balanced performance, with room for improvement in areas like value and dividend yields. Its strengths lie in growth potential, resilience to market shocks, and sustained momentum, indicating a promising long-term outlook for investors considering this supermarket operator.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
π‘ Before itβs here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- β Unlimited Research Summaries
- β Personalised Alerts
- β Custom Watchlists
- β Company Analytics and News
- β Events & Webinars
