Alimentation Couche-Tard Inc. (DOG)
ATD - TSX
You’ve seen those viral videos of a snake swallowing a deer? Well, Canadian convenience store operator Alimentation Couche-Tard Inc. wants to pull off the business equivalent by swallowing 7-Eleven. With about 85,000 stores primarily in Asia and the United States, the 7-Eleven chain owned by Japan’s Seven & i Holdings Co., Ltd. has about five times as many locations as Couche-Tard and boasts a market value of about US$38-billion, which would make it the biggest-ever foreign acquisition of a Japanese company. But if a deal is reached, it would likely face intense regulatory scrutiny in both Japan and the U.S., which is one reason investors are concerned that the Circle K owner may be biting off more than it can chew.
Peloton Interactive Inc. (STAR)
PTON - Nasdaq
First, the good news for Peloton Interactive Inc. investors: The shares rocketed higher by 35 per cent on Thursday after the fitness bike and treadmill company posted a 0.2-per-cent increase in quarterly revenue – its first year-over-year growth in more than two years. Now, the bad news: The shares would have to gain another 3,600 per cent to get back to their record high of more than US$170 in January, 2021, when the COVID-19 pandemic led to huge demand for home fitness equipment. “Keep pedalling, Peloton. You got this!”
Toronto-Dominion Bank (DOG)
TD - TSX
Business quiz! Shares of Toronto-Dominion Bank fell after Canada’s second-biggest lender: a) announced a US$2.6-billion provision for expected regulatory fines related to its lax anti-money laundering policies; b) set aside loan-loss provisions of nearly $1.1-billion, up 40 per cent from a year earlier, to cover expected customer defaults amid high interest rates and a cooling job market; c) posted a net loss of $181-million, or 14 cents a share, for the third quarter ended July 31; d) all of the above. Answer: d.
Amer Sports Inc. (STAR)
AS - NYSE
What could be more American than Louisville Slugger baseball bats and Wilson footballs? Actually, both brands are owned by Finland’s Amer Sports Inc., which in turn is owned by a consortium of Chinese companies and Lululemon Athletica founder Chip Wilson. Shares of Amer – which also makes Salomon and Atomic ski equipment, Wilson tennis racquets and other sports products – went for an extra-base hit after the company posted second-quarter results above expectations and raised its full-year outlook, boosted by strong sales of its Arc’teryx outdoor clothing. For those keeping score at home, the stock is finally trading above its US$13 IPO price in February.
Target Corp. (STAR)
TGT - NYSE
Remember when Target Corp. expanded into Canada and lasted about five minutes before shutting down all of its stores? Well, the discount chain is having much better luck south of the border. The shares posted a double-digit rise after the retailer reported a 2-per-cent gain in same-store sales for the second quarter ended Aug. 3 and hiked its full-year profit forecast, helped by price cuts on thousands of items that brought in more shoppers. Maybe it’s time to try that Canadian expansion again, eh, Target?