In a report released on June 19, Tamy Chen from BMO Capital maintained a Hold rating on Empire Co Cl A NV (EMP.A – Research Report), with a price target of C$55.00.
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Tamy Chen’s rating is based on a combination of factors that reflect both caution and potential for Empire Co Cl A NV. The company’s recent financial performance showed some positive trends, such as a better-than-expected SG&A result, which is crucial for achieving consistent earnings per share growth. However, Chen remains cautious about the potential for further sequential acceleration in same-store sales (SSS), especially given the challenging comparisons expected in the second half of 2026.
Tamy Chen has also adjusted the sales growth forecast slightly downward, reflecting a more conservative inflation estimate and the expectation that Empire will maintain a strong stance on vendor pricing. While the company plans to open 24 new stores, contributing to an increase in non-SSS sales growth, the overall sales growth projection remains modest. Additionally, Empire’s stock is trading at a discount compared to its peers, despite strong absolute returns in recent years. This mix of cautious optimism and market positioning underpins the Hold rating.
In another report released on June 20, National Bank also maintained a Hold rating on the stock with a C$59.00 price target.
Based on the recent corporate insider activity of 41 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of EMP.A in relation to earlier this year.