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A Financial Overview of the Canadian Tire Corporation

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A Financial Overview of the Canadian Tire Corporation
CANADIAN TIRE
SECTION – A EXECUTIVE SUMMARY

Canadian Tire Corporation have more than 490 retail store and 420 FGL sports and Mark’s store. Though it is a retail store but it not competition with Walmart but Loblaw’s is a head to head competitor of Canadian tire. Target Canada was also considered to be a competitor of Canadian tire, automotive sector is a backbone of Canadian tire. We found that companies revenue increasing when its competitors target Canada shutdown. FGL contributed a big part to CTC Ltd. Revenue, Canadian Tire is considered to be one of the Canada’s convenient retail store it distribute from coast to coast. Digital technology and e-commerce will help the company to expand in the near future.

Canadian tire has a good revenue and it was continuously increasing from 2012 to 2014, with increase of 1 billion become 12.4billion in 2014. Gross profit also show a positive change of 8.7% from year 2013 – 2014. Net income also increases by 13.7% compared to previous year. EPS of Canadian Tire is $8.66, currently CTC.A is trading at $131.79 at TSX.

As there was a rapid increase in the stock price of Canadian tire, their cash dividend per share also increased from $1.4 to $2.1 from year 2012 to 2014. Canadian tire is giving a cash dividend if you are looking for dividend then you can invest, on the same side their stock price is also increasing. So long term investment would also be beneficial for the investors.

SECTION – B
I. DESCRIPTON OF COMPANY
Canadian tire is a retail store first open in Toronto in 1922 as Hamilton tire and Garage LTD. Later in 1923 it become Canadian Tire Corporation. Canadian Tire Corporation is a family business that include Canadian Tire, Part Source, petroleum, FGL sports, Mark’s, financial services division and CT REIT. The company has three 3 reportable segment for financial reporting services: Retail, CT REIT and financial services. Canadian Tire is a MERCHANDISING – WHOLESALE DISTRIBUTORS With more than 490
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