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Reitmans (Canada) Class A (TSE:RET.A)
OTHER OTC:RET.A

Reitmans (Canada) (RET.A) AI Stock Analysis

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TSE:RET.A

Reitmans (Canada)

(OTC:RET.A)

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Rating:49Neutral
Price Target:
C$2.00
▲(0.00% Upside)
Action:ReiteratedDate:12/20/25
Reitmans (Canada) receives an overall stock score of 49, driven primarily by mixed financial performance with strong revenue growth offset by weak profitability and declining cash flow. Technical indicators show neutral momentum with slight bullish signals, while a negative P/E ratio raises valuation concerns. Financial performance carries the most weight in this assessment.
Positive Factors
Gross Profit Margin
A strong gross profit margin indicates effective cost management, allowing the company to maintain profitability despite challenges in other areas.
Negative Factors
Negative Net Income
Negative net income indicates profitability challenges, which can impact the company's ability to reinvest in growth and maintain competitive positioning.
Read all positive and negative factors
Positive Factors
Negative Factors
Gross Profit Margin
A strong gross profit margin indicates effective cost management, allowing the company to maintain profitability despite challenges in other areas.
Read all positive factors

Reitmans (Canada) (RET.A) vs. iShares MSCI Canada ETF (EWC)

Reitmans (Canada) Business Overview & Revenue Model

Company Description
Reitmans (Canada) Limited primarily engages in the retail sale of women's wear apparel in Canada. It also offers apparel for men. The company serves customers through retail and e-commerce channels. As of April 21, 2022, it operated 404 stores, in...
How the Company Makes Money
Reitmans generates revenue primarily through the sale of women's clothing and accessories across its various brands. The company operates a multi-channel retail model, which includes a combination of brick-and-mortar stores and a robust online sho...

Reitmans (Canada) Earnings Call Summary

Earnings Call Date:Jun 17, 2025
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Apr 09, 2026
Earnings Call Sentiment Negative
The earnings call reflected a challenging quarter for Reitmans Canada Limited, with significant declines in revenue and profitability measures. Despite growth in e-commerce and successful new store openings, the overall sentiment is overshadowed by increased losses and operational challenges.
Positive Updates
Increase in E-commerce Revenue
Despite overall challenges, e-commerce revenue increased by 1% in the first quarter, indicating growth in the digital sales segment.
Negative Updates
Decline in Net Revenues
Total net revenues fell by 4.1% to $158.9 million, driven by lower in-store traffic and cautious consumer spending.
Read all updates
Q1-2026 Updates
Negative
Increase in E-commerce Revenue
Despite overall challenges, e-commerce revenue increased by 1% in the first quarter, indicating growth in the digital sales segment.
Read all positive updates
Company Guidance
In the first quarter of fiscal 2026, Reitmans Canada Limited faced several challenges, resulting in a 4.1% decrease in total net revenues to $158.9 million compared to the previous year. Despite a 1% increase in e-commerce revenue, the company experienced a decline in in-store traffic due to near-record snowfall and cautious consumer spending amid economic uncertainties. This led to a net loss of $10 million and an adjusted EBITDA loss of $10.6 million. Strategic efforts included the opening of six new stores and the commencement of a digital strategic road map, aiming to bolster brand growth and modernize the digital experience. The company plans to reinvest approximately $100 million in growth initiatives over the next five years, targeting $1 billion in annual revenues and adjusted EBITDA of $60-70 million by fiscal 2030. The guidance emphasized a focus on enhancing customer experience and optimizing store locations, with 75% of the growth investment earmarked for store expansions and 25% for digital technology modernization.

Reitmans (Canada) Financial Statement Overview

Summary
Reitmans (Canada) shows a mixed financial picture with a score of 48. Strong revenue growth of 94.7% TTM is a positive, but very low net profit margin (0.1%) and declining free cash flow growth (-26.0%) highlight profitability and liquidity concerns. The balance sheet is stable with a reasonable debt-to-equity ratio (0.54), but return on equity is weak at 0.4%.
Income Statement
45
Neutral
Balance Sheet
60
Neutral
Cash Flow
40
Negative
BreakdownTTMJan 2024Jan 2023Jan 2022Jan 2021Apr 2020
Income Statement
Total Revenue774.52M773.80M794.69M661.95M533.36M869.50M
Gross Profit412.51M435.04M431.00M353.17M246.25M444.39M
EBITDA64.92M78.44M76.22M94.70M194.46M-41.58M
Net Income-177.00K12.14M14.81M158.26M-172.22M-87.43M
Balance Sheet
Total Assets546.28M574.09M490.75M314.27M397.23M560.17M
Cash, Cash Equivalents and Short-Term Investments119.40M158.12M116.65M25.50M77.92M89.41M
Total Debt165.35M155.40M137.59M81.94M123.22M213.87M
Total Liabilities251.59M277.66M211.73M130.45M375.55M366.35M
Stockholders Equity294.69M296.43M279.02M183.83M21.68M193.82M
Cash Flow
Free Cash Flow29.82M73.06M51.83M-35.38M34.03M53.70M
Operating Cash Flow71.90M104.26M69.53M-24.73M40.20M77.18M
Investing Cash Flow-42.08M-31.19M-17.70M-15.22M-6.16M17.95M
Financing Cash Flow-40.96M-40.03M-39.90M-9.19M-46.82M-121.78M

Reitmans (Canada) Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2.00
Price Trends
50DMA
2.06
Negative
100DMA
2.10
Negative
200DMA
2.07
Negative
Market Momentum
MACD
-0.03
Positive
RSI
34.71
Neutral
STOCH
36.02
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:RET.A, the sentiment is Negative. The current price of 2 is above the 20-day moving average (MA) of 1.97, below the 50-day MA of 2.06, and below the 200-day MA of 2.07, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 34.71 is Neutral, neither overbought nor oversold. The STOCH value of 36.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:RET.A.

Reitmans (Canada) Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
C$12.58B23.2129.12%26.51%172.52%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
59
Neutral
C$13.85B23.5520.31%1.47%6.64%27.37%
58
Neutral
C$1.41B3.204.23%3.78%-54.87%
54
Neutral
C$153.72M14.11-21.42%4.87%-1195.39%
49
Neutral
C$98.98M30.61-0.06%-1.95%-102.54%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:RET.A
Reitmans (Canada)
1.92
-0.28
-12.73%
TSE:GIL
Gildan Activewear
74.77
12.22
19.53%
TSE:GOOS
Canada Goose Holdings
14.50
3.09
27.08%
TSE:ROOT
Roots Corporation
3.92
1.52
63.33%
TSE:ATZ
Aritzia
108.16
57.58
113.84%
TSE:LULU
lululemon athletica inc. Shs Unsponsored Canadian Depoitary Receipt Hedged Reg S
6.37
-2.86
-30.99%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 20, 2025