In their research noteg, the analysts mention that the rising mix of square footage for the company’s new format stores is likely to lead to an improvement in returns going forward.
Canadian Tire is expected to post growth in the high-single-digit range, aided by growth in its gross average receivables balance, the analysts said. The company is also expected to witness EPS growth in the low-double-digit range going ahead, driven by apparel and financial services segments, Credit Suisse added.