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Oct 29
Canadian (TSX) Market Analysis & Valuation
UpdatedOct 31, 2023
DataAggregated Company Financials
Companies2816
- 7D-0.8%
- 3M-7.3%
- 1Y-4.5%
- YTD-3.8%
Over the last 7 days, the market has remained flat, although notably the Healthcare sector declined by 8.8%. The past year hasn't been profitable, with the market dropping 4.5%. Earnings are forecast to grow by 13% annually.
Market Valuation and Performance
Has the Canadian Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 31 Oct 2023 | CA$3.1t | CA$2.1t | CA$185.6b | 11.6x | 16.8x | 1.5x |
| Thu, 28 Sep 2023 | CA$3.2t | CA$2.1t | CA$185.4b | 11.4x | 17.3x | 1.5x |
| Sat, 26 Aug 2023 | CA$3.3t | CA$2.1t | CA$185.8b | 11.5x | 17.6x | 1.5x |
| Mon, 24 Jul 2023 | CA$3.4t | CA$2.1t | CA$201.1b | 11.7x | 16.7x | 1.6x |
| Wed, 21 Jun 2023 | CA$3.2t | CA$2.1t | CA$201.2b | 11.1x | 16.1x | 1.5x |
| Fri, 19 May 2023 | CA$3.3t | CA$2.2t | CA$207.3b | 11.2x | 16.1x | 1.5x |
| Sun, 16 Apr 2023 | CA$3.4t | CA$2.1t | CA$218.2b | 10.6x | 15.6x | 1.6x |
| Tue, 14 Mar 2023 | CA$3.2t | CA$2.1t | CA$221.8b | 10.6x | 14.6x | 1.5x |
| Thu, 09 Feb 2023 | CA$3.4t | CA$2.1t | CA$246.8b | 11.1x | 13.8x | 1.6x |
| Sat, 07 Jan 2023 | CA$3.3t | CA$2.1t | CA$246.2b | 10.6x | 13.3x | 1.6x |
| Mon, 05 Dec 2022 | CA$3.4t | CA$2.1t | CA$243.2b | 10.9x | 14x | 1.6x |
| Wed, 02 Nov 2022 | CA$3.2t | CA$2.0t | CA$235.5b | 10x | 13.7x | 1.6x |
| Fri, 30 Sep 2022 | CA$3.1t | CA$2.1t | CA$241.0b | 9.5x | 13x | 1.5x |
| Sun, 28 Aug 2022 | CA$3.3t | CA$2.0t | CA$235.9b | 10.6x | 14.1x | 1.7x |
| Tue, 26 Jul 2022 | CA$3.2t | CA$2.0t | CA$230.7b | 10.5x | 13.8x | 1.6x |
| Thu, 23 Jun 2022 | CA$3.2t | CA$2.0t | CA$231.5b | 10.8x | 13.7x | 1.6x |
| Sat, 21 May 2022 | CA$3.4t | CA$1.9t | CA$226.9b | 11.5x | 15x | 1.7x |
| Mon, 18 Apr 2022 | CA$3.7t | CA$1.9t | CA$212.0b | 12.6x | 17.3x | 2x |
| Wed, 16 Mar 2022 | CA$3.6t | CA$1.9t | CA$213.9b | 12.7x | 16.6x | 1.9x |
| Fri, 11 Feb 2022 | CA$3.6t | CA$1.8t | CA$195.0b | 13x | 18.4x | 2x |
| Sun, 09 Jan 2022 | CA$3.5t | CA$1.8t | CA$188.9b | 13x | 18.4x | 2x |
| Tue, 07 Dec 2021 | CA$3.4t | CA$1.8t | CA$189.6b | 12.1x | 17.9x | 1.9x |
| Thu, 04 Nov 2021 | CA$3.5t | CA$1.7t | CA$176.9b | 13.4x | 19.6x | 2x |
| Sat, 02 Oct 2021 | CA$3.3t | CA$1.7t | CA$169.9b | 12.6x | 19.3x | 1.9x |
| Mon, 30 Aug 2021 | CA$3.3t | CA$1.7t | CA$167.5b | 12.9x | 19.7x | 2x |
| Tue, 06 Jul 2021 | CA$3.2t | CA$1.7t | CA$161.3b | 13.3x | 20.1x | 2x |
| Fri, 09 Apr 2021 | CA$3.0t | CA$1.6t | CA$115.8b | 14.8x | 25.9x | 1.9x |
| Thu, 31 Dec 2020 | CA$2.7t | CA$1.6t | CA$57.4b | 14.9x | 47.4x | 1.7x |
Price to Earnings Ratio
46x
Current Market PE
- Investors are pessimistic on the Canadian market, indicating that they anticipate earnings will not grow as fast as they have historically.
- The market is trading at a PE ratio of 16.8x which is lower than its 3-year average PE of 20.7x.
Past Earnings Growth
- The earnings for Canadian listed companies have grown 53% per year over the last three years.
- Revenues for these companies have grown 11% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Sector Trends
Which sectors have driven the changes within the Canadian Market?
| CA Market | -0.76% | |
| Utilities | 1.68% | |
| Consumer Staples | 1.65% | |
| Telecom | 1.17% | |
| Industrials | -0.089% | |
| Financials | -0.64% | |
| Energy | -0.66% | |
| Real Estate | -1.11% | |
| Consumer Discretionary | -1.37% | |
| Tech | -1.75% | |
| Materials | -3.05% | |
| Healthcare | -8.77% | |
Sector PE
- Investors favour the Materials sector the most for future growth, which is trading above its 3-year average PE ratio of 28.8x.
- The market's confidence is likely because analysts are expecting annual earnings growth of 24.5% which is higher than its past year's earnings decline of 20.6% per year.
Forecasted Growth
- Analysts are most optimistic on the Healthcare sector, expecting annual earnings growth of 67% over the next 5 years.
- This is better than its past earnings growth rate of 9.5% per year.
- In contrast, the Utilities sector is expected to see its earnings grow by 4.9% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | Sector | |
|---|---|---|---|---|---|---|
| ATD Alimentation Couche-Tard | CA$74.92 | 2.2% +CA$1.6b | 22.8% | PE17.1x | Consumer Staples | |
| CP Canadian Pacific Kansas City | CA$98.20 | 1.7% +CA$1.5b | -3.3% | PE21.9x | Industrials | |
| FFH Fairfax Financial Holdings | CA$1.15k | 5.7% +CA$1.5b | 71.4% | PE7.7x | Financials | |
| XSF XS Financial | CA$0.04 | 14.3% +CA$1.0b | -33.3% | PS72.6x | Financials | |
| H Hydro One | CA$36.25 | 4.6% +CA$964.5m | 6.1% | PE21x | Utilities |
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