Canadian Tire (OTCMKTS:CDNAF – Get Free Report) and Lifeist Wellness (OTCMKTS:NXTTF – Get Free Report) are both consumer cyclical companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, profitability, earnings, analyst recommendations and risk.
Insider and Institutional Ownership
31.7% of Lifeist Wellness shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.
Profitability
This table compares Canadian Tire and Lifeist Wellness’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Canadian Tire | 3.24% | 9.79% | 3.06% |
| Lifeist Wellness | N/A | N/A | N/A |
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Canadian Tire | 0 | 5 | 0 | 0 | 2.00 |
| Lifeist Wellness | 0 | 0 | 0 | 0 | 0.00 |
Canadian Tire presently has a consensus price target of $205.00, indicating a potential upside of 44.40%. Given Canadian Tire’s stronger consensus rating and higher probable upside, equities analysts plainly believe Canadian Tire is more favorable than Lifeist Wellness.
Valuation and Earnings
This table compares Canadian Tire and Lifeist Wellness”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Canadian Tire | $11.68 billion | 0.64 | $376.67 million | $3.21 | 44.23 |
| Lifeist Wellness | N/A | N/A | N/A | ($0.04) | -0.86 |
Canadian Tire has higher revenue and earnings than Lifeist Wellness. Lifeist Wellness is trading at a lower price-to-earnings ratio than Canadian Tire, indicating that it is currently the more affordable of the two stocks.
Summary
Canadian Tire beats Lifeist Wellness on 8 of the 9 factors compared between the two stocks.
About Canadian Tire
Canadian Tire Corporation, Limited provides a range of retail goods and services in Canada. It operates in three segments: Retail, CT REIT, and Financial Services. The Retail segment retails automotive maintenance products and accessories, parts, and tires, as well as automotive services and roadside assistance; electrical, hardware, home environment, paint, plumbing, and tool products; cleaning, food & drink, home décor, home essentials, home organization, kitchen, and pet care products; camping, exercise, hockey, hunting, fishing, seasonal recreation, and team sports and golf products; and backyard living, backyard fun, cycling, gardening, outdoor tools, seasonal, and toy products. This segment offers its products under the Canadian Tire, Canadian Tire Gas, Pro Hockey Life, Mark's, PartSource, Helly Hansen, Party City, and SportChek brand names. This segment also participates in loyalty programs, as well as sells its products online. The CT REIT segment operates as a closed-end real estate investment trust that holds a portfolio of properties comprising Canadian Tire stores, Canadian Tire anchored retail developments, industrial properties, mixed-use commercial property, and development properties. The Financial Services segment provides consumer credit cards, in-store financing, insurance products, and retail and broker deposits; and savings accounts and guaranteed investment certificates. Canadian Tire Corporation, Limited was founded in 1922 and is headquartered in Toronto, Canada.
About Lifeist Wellness
Lifeist Wellness, Inc. engages in the operation of cannabis e-commerce platform. The firm operates through the following segments: Namaste Vapes, Australian Vaporizers, CannMart, Namaste MD, Findify, and Corporate & Other. It offers vaporizers, glassware, accessories, cannabidiol products, and medical cannabis. The company was founded by Sean E. Dollinger and Kory Zelickson on March 3, 2005 and is headquartered in Toronto, Canada.
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