Metro Inc
TSX:MRU
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EV/EBIT
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (16.1), the stock would be worth CA$91.56 (2% downside from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 16.4 | CA$93.36 |
0%
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| 3-Year Average | 16.1 | CA$91.56 |
-2%
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| 5-Year Average | 15.5 | CA$88.28 |
-5%
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| Industry Average | 16.6 | CA$94.58 |
+1%
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| Country Average | 14.5 | CA$82.42 |
-12%
|
Forward EV/EBIT
Today’s price vs future ebit
| Today's Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
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CA$25.5B
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/ |
Dec 2025
CA$1.5B
|
= |
|
|
CA$25.5B
|
/ |
Sep 2026
CA$1.6B
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= |
|
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CA$25.5B
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/ |
Sep 2027
CA$1.7B
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= |
|
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CA$25.5B
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/ |
Sep 2028
CA$1.8B
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= |
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Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.
Peer Comparison
| Market Cap | EV/EBIT | P/E | ||||
|---|---|---|---|---|---|---|
| CA |
|
Metro Inc
TSX:MRU
|
19.7B CAD | 16.4 | 20.2 | |
| ZA |
S
|
Shoprite Holdings Ltd
JSE:SHP
|
155.9B ZAR | 13 | 20.6 | |
| CA |
|
Alimentation Couche-Tard Inc
TSX:ATD
|
72.8B CAD | 16.1 | 19 | |
| CA |
|
Loblaw Companies Ltd
TSX:L
|
72.3B CAD | 19.3 | 27.3 | |
| UK |
|
Tesco PLC
LSE:TSCO
|
32.8B GBP | 13.2 | 18.4 | |
| US |
|
Kroger Co
NYSE:KR
|
44.2B USD | 11.5 | 43.8 | |
| NL |
|
Koninklijke Ahold Delhaize NV
AEX:AD
|
36.8B EUR | 13.7 | 16.3 | |
| AU |
|
Woolworths Group Ltd
ASX:WOW
|
46.2B AUD | 35.6 | 77.3 | |
| JP |
|
Seven & i Holdings Co Ltd
TSE:3382
|
5.2T JPY | 18.8 | 17.8 | |
| IN |
|
Avenue Supermarts Ltd
NSE:DMART
|
3T INR | 76.2 | 103.8 | |
| US |
|
Caseys General Stores Inc
NASDAQ:CASY
|
28.9B USD | 32.3 | 44.5 |
Market Distribution
| Min | 0 |
| 30th Percentile | 10.6 |
| Median | 14.5 |
| 70th Percentile | 20.6 |
| Max | 3 794.4 |
Other Multiples
Metro Inc
Glance View
Metro Inc., a stalwart in the Canadian retail landscape, navigates the competitive corridors of the grocery and pharmaceutical sectors with precision and acumen. Founded in 1947, Metro has grown from a humble beginning in Quebec to a significant force across the provinces, marking its presence with an expansive network of supermarkets, discount stores, and pharmacy outlets. The company's operations are neatly divided into two main segments: food and pharmaceuticals. Metro's grocery segment operates under well-recognized banners such as Metro, Super C, and Food Basics, offering a diverse array of products ranging from fresh produce and meats to private-label merchandise. This segment’s success hinges on Metro’s ability to adapt to consumer tastes and utilize data-driven strategies for inventory management, thereby optimizing both the customer shopping experience and logistical efficiency. Parallel to its grocery operations, Metro has built a robust pharmaceutical division through its affiliation with Jean Coutu and other pharmacy brands. This segment provides not only prescription medications but also a comprehensive suite of health, beauty, and wellness products. The synergy between the food and pharmaceutical divisions allows Metro to leverage cross-category shopping trends and customer loyalty programs, fostering a one-stop-shop format that resonates with its clientele. Revenue generation is anchored in the company's strategic pricing models, high-volume sales, and the continuous enhancement of private-label offerings, all orchestrated to maintain a balance between competitive pricing and profit margins. Through thoughtful expansions and acquisitions, Metro Inc. has crafted a diversified yet cohesive portfolio that drives sustainable growth and strengthens its positioning in the ever-evolving retail marketplace.