SCCAF - Sleep Country Canada: Macroeconomic Factor Will Continue To Limit Its Growth

Investment Thesis

Sleep Country Canada (SCCAF) (TSX:ZZZ) posted another quarter of negative same store sales growth in its Q1 2019 earnings. The macroeconomic environment in Canada is likely to blame for its weak sales. The company has increased its dividend for 4 consecutive years. However, its shares are fairly valued given its decelerated growth trend. Therefore, we believe investors should patiently wait on the sidelines.

Data by YCharts

Recent Development: Q1 2019 Highlights

Sleep Country reported Q1 2019 revenue growth of 10.4%. While this may look very positive, it was primarily driven by

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