12:00 PM EDT, 08/14/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We maintain our 12-month target at CAD103, based on a 20x multiple of our FY 25 (Sep.) EPS estimate of CAD5.14 (down from CAD5.17; FY 24 lowered to CAD4.72 from CAD4.74), versus a 17x long-term average forward P/E. Our revised estimates follow weaker-than-expected F3Q (Jun-Q) results, with food retail same-store sales growth slowing sequentially amid intensifying competition. MRU highlighted increased promotional activity from rivals, likely driven by the macro backdrop and more retailers opening or converting stores to discount banners. We expect tariff-related price increases to have a greater impact in the coming quarters, which may help boost MRU's private label sales (typically higher margin than national brands). Currently, about 20% of MRU's supplier price increases are tariff-related. We're also still seeing the "Buy Canadian" movement, although it seems to be losing some steam. Margin expansion should continue from distribution center efficiencies.