Alimentation Couche-Tard Inc (ATD) AI Stock Analysis

• Market Cap: C$71.06B
• Dividend Yield: 1.12%
• Average Volume (3M): 1.53M
• Price to Earnings (P/E): 19.9
• Beta (1Y): 0.47
• Revenue Growth: 2.74%
• EPS Growth: -0.73%
• Country: CA
• Employees: 149,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): 1.09
• Shares Outstanding: 948,064,400
• 10 Day Avg. Volume: 1,091,688
• 30 Day Avg. Volume: 1,527,454
• PEG Ratio: -5.43
• Price to Book (P/B): 3.32
• Price to Sales (P/S): 0.68
• P/FCF Ratio: 18.15
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$84.42
• Price Target Upside: 20.70% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12

• Rating: 69 Neutral
• Price Target: C$77.00 ▲(10.09% Upside)

Alimentation Couche-Tard Inc's overall stock score is driven by strong financial performance and positive earnings call highlights, including strategic expansions and robust food service growth. However, technical indicators suggest a bearish trend, and valuation metrics indicate moderate attractiveness. The company's ability to manage costs effectively and expand strategically supports its stability, despite challenges in certain regions and segments.

Positive Factors

Strategic Acquisitions

The acquisition of GetGo stores enhances growth opportunities and expands the brand's footprint, strengthening market position and revenue potential.

Food Service Growth

Significant growth in food services indicates successful product offerings and margin improvements, contributing to long-term profitability.

Cash Flow Management

Robust cash flow management ensures financial flexibility and supports strategic investments, enhancing long-term business sustainability.

Negative Factors

Challenges in U.S. Fuel Margins

Decreasing fuel margins in the U.S. due to competitive pressures may impact profitability and require strategic adjustments.

Illicit Trade Impact

Illicit trade affecting tobacco sales poses a risk to revenue streams, necessitating regulatory and strategic responses.

Decline in European Fuel Volumes

Declining fuel volumes in Europe indicate market challenges that could affect revenue and require strategic market adaptations.

Alimentation Couche-Tard Inc Business Overview & Revenue Model

Company Description

Alimentation Couche-Tard Inc. (ATD) is a Canadian multinational convenience store operator, renowned for its extensive network of retail locations, primarily under the Circle K brand. The company operates in the convenience store sector, offering a wide range of products including fuel, groceries, snacks, beverages, and quick-service food items. Couche-Tard has a significant presence in North America and Europe, focusing on delivering convenience and quality to its customers while also expanding its footprint through strategic acquisitions.

How the Company Makes Money

Alimentation Couche-Tard generates revenue primarily through the sale of fuel and convenience store products. Its revenue model is diversified into several key streams: first, the retail sales of fuel, which accounts for a substantial portion of its income, particularly in regions with high traffic and demand. Second, the convenience store sales encompass a variety of merchandise including food, beverages, and personal care items. The company also benefits from ancillary services such as lottery sales, car washes, and foodservice operations. Strategic partnerships with suppliers and brands enhance its product offerings and promotions, driving customer traffic and sales. Additionally, Couche-Tard's aggressive expansion strategy through acquisitions of other convenience store chains has bolstered its market share and revenue potential, further contributing to its financial performance.

Alimentation Couche-Tard Inc Financial Statement Overview

Summary

Alimentation Couche-Tard Inc demonstrates strong financial performance with consistent revenue and cash flow growth. The company maintains a stable balance sheet with manageable leverage and effective capital allocation. While net profit margins have faced slight pressure, operational efficiency remains strong, positioning the company well for future growth.

Income Statement

Alimentation Couche-Tard Inc has shown consistent growth in revenue, with a notable increase from $62.8 billion in 2022 to $72.9 billion in 2025. The gross profit margin improved, reaching approximately 17.9% in 2025, indicating effective cost management. However, the net profit margin slightly decreased to 3.5% in 2025, reflecting pressure on net income. EBIT and EBITDA margins remained stable, suggesting operational efficiency.

Balance Sheet

The company maintains a strong equity position, with an equity ratio improving to around 39.0% in 2025. The debt-to-equity ratio decreased slightly to 0.93, signifying prudent debt management. Return on equity is healthy, reflecting strong shareholder value creation. The balance sheet shows stability, with manageable leverage levels.

Cash Flow

Operating cash flow has shown consistent growth, reaching $5.0 billion in 2025, supporting strong free cash flow generation at $2.7 billion. The free cash flow to net income ratio is robust, indicating efficient cash conversion. The company effectively manages its capital expenditures, supporting sustainable cash flow growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	71.93B	72.86B	69.26B	71.86B	62.81B	45.76B
Gross Profit	13.16B	13.02B	12.10B	12.05B	11.00B	10.12B
EBITDA	5.80B	5.28B	5.02B	5.18B	4.52B	4.52B
Net Income	2.57B	2.58B	2.73B	3.09B	2.68B	2.71B
Balance Sheet
Total Assets	40.68B	38.32B	37.40B	28.99B	29.47B	28.37B
Cash, Cash Equivalents and Short-Term Investments	2.25B	2.32B	1.89B	940.68M	2.18B	3.03B
Total Debt	15.30B	13.96B	14.86B	10.24B	9.40B	9.59B
Total Liabilities	24.85B	23.22B	24.02B	16.45B	17.08B	16.20B
Stockholders Equity	15.70B	14.95B	13.25B	12.53B	12.39B	12.17B
Cash Flow
Free Cash Flow	2.98B	2.74B	2.84B	2.48B	2.23B	3.05B
Operating Cash Flow	5.29B	5.08B	4.76B	4.25B	3.86B	4.35B
Investing Cash Flow	-3.28B	-1.60B	-6.53B	-2.23B	-1.74B	-1.48B
Financing Cash Flow	-1.43B	-2.56B	2.18B	-3.28B	-2.89B	-3.65B

Alimentation Couche-Tard Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 69.94
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ATD, the sentiment is Negative. The current price of 69.94 is below the 20-day moving average (MA) of 73.52, below the 50-day MA of 72.72, and below the 200-day MA of 71.56, indicating a bearish trend. The MACD of -0.07 indicates Positive momentum. The RSI at 35.57 is Neutral, neither overbought nor oversold. The STOCH value of 32.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ATD.

Alimentation Couche-Tard Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CTC.A	―	$9.57B	12.62	13.84%	4.15%	0.05%	99.91%
ATD	―	C$71.06B	19.86	17.53%	1.12%	2.74%	-0.73%
CTC	―	$9.55B	18.80	13.84%	2.87%	0.05%	99.91%
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
PET	―	C$2.46B	26.48	126.66%	1.35%	5.18%	17.66%

Alimentation Couche-Tard Inc Corporate Events

Alimentation Couche-Tard’s Earnings Call Highlights Strategic Growth

Alimentation Couche-Tard’s recent earnings call revealed a generally positive sentiment, driven by significant developments such as the acquisition of GetGo stores, positive same-store sales in the U.S., and robust growth in food services. Despite challenges in the southern U.S. states and fuel margins, the overall tone of the call leaned towards optimism, highlighting the company’s strategic successes and growth opportunities.

Alimentation Couche-Tard Reports Q1 Fiscal 2026 Results with Strategic Growth Initiatives

Alimentation Couche-Tard Inc. reported its first quarter results for fiscal year 2026, showing a slight decrease in net earnings to $782.5 million compared to the previous year. Despite this, the company experienced positive same-store sales growth, particularly in the U.S. market, and improved performance in its fuel business in Canada and Europe. The quarter also saw the successful integration of 270 GetGo Café + Market sites, contributing to the company’s strategic growth. The company maintained a disciplined approach to cost control, resulting in an enhanced gross profit margin and operational efficiency, while continuing its share repurchase program to optimize shareholder value.

The most recent analyst rating on (TSE:ATD) stock is a Buy with a C$79.00 price target. To see the full list of analyst forecasts on Alimentation Couche-Tard Inc stock, see the TSE:ATD Stock Forecast page.