Alimentation Couche-Tard Inc (ATD) AI Stock Analysis

• Market Cap: C$65.26B
• Dividend Yield: 1.09%
• Average Volume (3M): 1.70M
• Price to Earnings (P/E): 18.4
• Beta (1Y): 0.43
• Revenue Growth: 8.61%
• EPS Growth: -0.93%
• Country: CA
• Employees: 149,000
• Sector: Consumer Cyclical
• Sector Strength: 80
• Industry: Specialty Retail
• EPS (TTM): 0.63
• Shares Outstanding: 948,064,400
• 10 Day Avg. Volume: 1,216,999
• 30 Day Avg. Volume: 1,702,694
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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$82.64
• Price Target Upside: 18.40% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11

• Rating: 75 Outperform
• Price Target: C$79.00 ▲(13.18% Upside)

Alimentation Couche-Tard Inc's strong financial performance and positive earnings call sentiment are the primary drivers of its overall score. While technical indicators suggest a lack of strong momentum, the company's fair valuation and strategic initiatives in international markets and technology provide a solid foundation for future growth. Challenges in the U.S. market and decreased net earnings slightly temper the overall outlook.

Positive Factors

Market Activity

Analyst expects ATD shares to rise after Couche-Tard pulls offer for 7&i.

Profit Growth

Growing merchandise categories like Other Tobacco Products and prepared food are margin accretive and can drive gross profit growth.

Sales Improvement

Value meal bundles are still accelerating sequentially and ATD's loyalty program is signing on more members that drive incremental sales.

Negative Factors

Financial Performance

Elevated operating expenses and depreciation & amortization growth are expected to continue, affecting ATD's financial performance.

Growth Prospects

ATD's U.S. merchandise same-store sales may remain tepid, impacting the company's growth prospects.

Valuation Concerns

The stock's valuation is not considered compelling due to low expected organic EBIT growth and challenges in U.S. merchandise sales.

Alimentation Couche-Tard Inc Business Overview & Revenue Model

Company Description

Alimentation Couche-Tard Inc. is a Canada-based multinational operator of convenience stores. The company operates in the retail sector, primarily focusing on offering a wide range of products such as beverages, snacks, fuel, and other convenience-related items. With a vast network of stores under various brand names including Couche-Tard, Circle K, and Ingo, the company serves millions of customers daily across numerous countries.

How the Company Makes Money

Alimentation Couche-Tard Inc. generates revenue through its extensive network of convenience stores that sell a variety of products including fuel, food, and beverages. The company's primary revenue streams include the sale of fuel, which constitutes a significant portion of its income, and the sale of merchandise within its stores. Additionally, the company benefits from strategic partnerships and acquisitions that expand its market reach and enhance its offerings. Couche-Tard's ability to effectively manage its supply chain and optimize store operations also contributes to its profitability. The company leverages its strong brand presence and customer loyalty programs to drive sales and maintain a competitive position in the convenience retail market.

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	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	74.18B	72.86B	69.26B	71.86B	62.81B	45.76B
Gross Profit	12.87B	13.02B	12.10B	12.05B	11.00B	10.12B
EBITDA	6.01B	6.08B	5.73B	5.82B	5.27B	5.05B
Net Income	2.59B	2.58B	2.73B	3.09B	2.68B	2.71B
Balance Sheet
Total Assets	36.57B	38.30B	36.94B	29.05B	29.59B	28.39B
Cash, Cash Equivalents and Short-Term Investments	1.78B	2.31B	1.87B	929.20M	2.17B	3.03B
Total Debt	13.91B	13.96B	14.47B	9.47B	9.44B	9.60B
Total Liabilities	22.23B	23.21B	23.64B	16.48B	17.15B	16.21B
Stockholders Equity	14.20B	14.95B	13.19B	12.56B	12.44B	12.18B
Cash Flow
Free Cash Flow	2.53B	2.71B	2.87B	2.54B	2.28B	2.86B
Operating Cash Flow	4.77B	5.04B	4.82B	4.34B	3.94B	4.09B
Investing Cash Flow	-1.47B	-1.58B	-6.60B	-2.28B	-1.80B	-1.39B
Financing Cash Flow	-2.59B	-2.54B	2.21B	-3.35B	-2.95B	-3.43B

Alimentation Couche-Tard Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 69.80
• 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 69.8 is below the 20-day moving average (MA) of 70.29, below the 50-day MA of 70.68, and below the 200-day MA of 72.97, indicating a bearish trend. The MACD of -0.52 indicates Positive momentum. The RSI at 45.47 is Neutral, neither overbought nor oversold. The STOCH value of 31.77 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
ATD	75 Outperform	C$65.26B	18.39	18.50%	1.09%	8.61%	-0.93%
Sector *	61 Neutral	$17.75B	12.56	-5.49%	3.02%	1.43%	-14.12%
CDNTF	―	$6.93B	18.02	13.84%	2.85%	―	―
CDNAF	―	$6.93B	12.59	13.84%	4.08%	―	―
PET	72 Outperform	C$2.62B	28.06	126.66%	1.21%	5.18%	17.66%

Alimentation Couche-Tard Inc Corporate Events

Alimentation Couche-Tard Reports Resilient Fiscal 2025 Results Amid Global Challenges

Alimentation Couche-Tard Inc. reported its financial results for the fourth quarter and fiscal year 2025, highlighting resilience amid challenging economic and geopolitical conditions. The company maintained stable same-store sales in the U.S. and achieved positive results in Canada and Europe. Despite a slight decrease in net earnings compared to the previous year, Couche-Tard demonstrated strong operational effectiveness and continued investment in technology and customer value. The integration of TotalEnergies assets progressed as planned, and the company focused on strategic initiatives and cost control to support long-term growth. Key highlights include a 2.0% increase in total merchandise and service revenues, a decrease in same-store merchandise revenues in the U.S., and an increase in fuel volumes in Canada.

The most recent analyst rating on (TSE:ATD) stock is a Buy with a C$88.00 price target. To see the full list of analyst forecasts on Alimentation Couche-Tard Inc stock, see the TSE:ATD Stock Forecast page.