CA - Alimentation Couche-Tard Q4: Positive Developments Insufficient To Overcome Near-Term Weakness
2024-06-28 14:52:54 ET
Summary
- I recommend a Hold rating for Alimentation Couche-Tard (ATD) due to uncertain macro environment and pressure on fuel margins and discretionary spending.
- 4Q24 results showed positive developments, but the stock is unlikely to move up.
- ATD's cost optimization efforts and positive signs of merchandise SSS recovery are encouraging, but near-term headwinds remain from fuel margins and weak discretionary spending.