Alimentation Couche-Tard Inc (ATD) AI Stock Analysis

• Market Cap: C$65.23B
• Dividend Yield: 1.1%
• Average Volume (3M): 1.53M
• Price to Earnings (P/E): 18.2
• Beta (1Y): 0.48
• Revenue Growth: 2.25%
• EPS Growth: 4.76%
• 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$84.45
• Price Target Upside: 11.51% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: C$79.00 ▲(4.32% Upside)

Alimentation Couche-Tard Inc's strong financial performance and positive earnings call are the most significant factors contributing to its score. While technical indicators suggest some short-term weakness, the company's strategic growth initiatives and fair valuation support a stable outlook.

Positive Factors

Store Network Expansion

Expanding the store network enhances market presence and potential revenue streams, supporting long-term growth through increased customer access.

Loyalty Program Growth

A growing loyalty program strengthens customer retention and engagement, leading to sustained sales and competitive advantage in the convenience store sector.

Cash Flow Management

Strong cash flow management ensures financial flexibility, enabling strategic investments and resilience against economic fluctuations.

Negative Factors

Fuel Volume Decline

Declining fuel volumes could impact revenue from a key segment, challenging the company to offset this with growth in other areas.

Challenges in U.S. Markets

Regional performance issues in key U.S. markets may hinder overall growth, requiring targeted strategies to improve market penetration.

Nicotine Revenue Decline

Regulatory challenges and illicit trade in Canada impact nicotine sales, necessitating adaptation to regulatory environments and market conditions.

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: Positive
• Last Price: 75.73
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ATD, the sentiment is Positive. The current price of 75.73 is above the 20-day moving average (MA) of 70.63, above the 50-day MA of 72.30, and above the 200-day MA of 71.10, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 64.77 is Neutral, neither overbought nor oversold. The STOCH value of 80.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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
ATD	74 Outperform	C$65.23B	18.23	17.53%	1.10%	2.25%	4.76%
CTC.A	70 Outperform	$8.89B	11.75	13.16%	4.57%	-0.13%	13.73%
CTC	69 Neutral	C$9.27B	18.10	13.16%	3.23%	-0.13%	13.73%
PET	63 Neutral	C$2.04B	22.16	106.59%	1.68%	5.09%	14.05%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Alimentation Couche-Tard Inc Corporate Events

Alimentation Couche-Tard Reports Strong Q2 2026 Results

Alimentation Couche-Tard Inc. announced its financial results for the second quarter of 2026, highlighting a strong performance with increased revenues and profitability. The company attributed its success to strategic acquisitions and operational efficiencies, which have bolstered its market position and enhanced shareholder value.

The most recent analyst rating on (TSE:ATD) stock is a Buy with a C$85.00 price target. To see the full list of analyst forecasts on Alimentation Couche-Tard Inc stock, see the TSE:ATD Stock Forecast page.

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.