Equity Valuation | Preliminary Summative Assignment 1

Equity
Valuation
Preliminary Summative Assignment 1

Executive Summary
• 4.24% (Projected growth during the next
2 years)
SALES GROWTH:
• CAD 144.92 (January 24th Closing)CURRENT STOCK PRICE:
• Toronto Stock Exchange (TICKER: CTC)STOCK EXCHANGE:
• DECEMBER 31stFISCAL YEAR END:
• CAD
CURRENCY OF
FINANCIAL
STATEMENTS:

Firm
Description

COMPANY OVERVIEW
4
• One of the Largest Tyre Company in Canada
• Founded in the year 1922
• Headquartered in Toronto, Ontario, Canada
• Currency in CAD
• Fiscal year end of December 31st
• Listed on the Toronto Stock Market under the ticker symbol
CTC (
Yahoo Finance, 2019).
• Market Cap of $9.05 Billion
• Founders Alfred J. Billes and J. William Billes
Business
Highlights
Operations
• Primary Business Activity: Selling a range of automotive,
hardware, sports and leisure, and home products.
• The company has in total of 1686 locations.
• The company in total has a 58,000 employee base.
• Subsidiaries of CTC Company are as follows:
 FGL Sports
 Part Source
 Canadian Tire Bank
 Mark's
 Canadian Tire Petroleum
 Helly Hansen
 Party CityCore Business Model
Cross Selling
• Core revenue from the sale of
its Canadian Tire.
• Better quality product and an
increasing consumer base
has able the company
increase revenue base.
Customer Loyalty
• Strong customer loyalty
program rewarding
customers for spending done.
• Loyalty customer rewards are
issued as a part of sales
transaction done.
Direct Selling
• Engages in selling a large
portion of its tickets directly
to consumers through its
retail outlet and online
shopping.
Value for Goods
• Customized shopping
experience and easy
convenience via online
selling.
• Canadian Tire Company. uses the following 4 strategies to transform its activities into value/cash:
Sources: American Airlines Group Inc. 2018 Annual Report, Investor Relations. (2019). Retrieved September 26, 2019, from https://americanairlines.gcs-
web.com/investor-relations.,