Topic: Growth Stocks

Stock Pickers Digest Hotline – Friday, March 20, 2015

Article Excerpt

ALIMENTATION COUCHE-TARD INC., $49.29, symbol ATD.B on Toronto, operates 6,314 convenience stores throughout North America. The Canadian outlets operate under the Couche-Tard and Mac’s banners, while the U.S. stores mainly use the Circle K brand. In Europe, Couche-Tard operates 2,233 stores across Scandinavia (Norway, Sweden and Denmark), Poland, the Baltic States (Estonia, Latvia and Lithuania) and Russia. In the three months ended February 1, 2015, Couche-Tard’s sales rose just 1.7%, to $2.33 billion from $2.29 billion a year earlier (all figures except share price in U.S. dollars). The higher U.S. dollar cut the revenue contribution from the company’s European operations. However, per-share earnings jumped 64.5% (excluding one-time items), to $0.51 from $0.31. Couche-Tard saw higher profit margins on merchandise and fuel, and it continues to save on interest costs as it pays down the debt it took on to acquire Norway’s Statoil Fuel & Retail gas station chain, which it bought for $2.7 billion in June 2012. Couche-Tard’s long-term debt now stands at $1.7…