In today’s edition of the Daily Stock Report, we are going to feature Loblaw Companies Ltd. (L.TO). When we last looked at Loblaw Companies on March 17, the shares were trading at the equivalent of $46.85 on a split-adjusted basis. The company completed a four-for-one share split in August 2025, so the pre-split price of roughly $185 at that time converts to about $46 today. With market uncertainty deepening over the last little while, money flows are migrating towards defensive names such as L.TO, a tried-and-true Consumer Staple. As of Friday’s close, the shares are at $60.51: representing a 29% price increase since our last commentary on March 17. The shares did dip into the yellow zone last month but did not enter the red zone, instead regaining their position in the green zone of the SIA S&P/TSX 60 Index.
Loblaw has shown consistent strength over the last little while, moving up 3 spots in the last week and 10 spots in the last month within SIA’s S&P/TSX 60 Index Report. From a performance standpoint, L.TO has gained 6.87% over the last week and 6.10% over the past month. With a beta of 0.29, the stock continues to behave as a lower-volatility name during what has been a highly volatile market environment. It currently sits in the Favored Zone in the SIA S&P/TSX 60 Index in the #13 spot in the report.
In looking at the Candlestick Chart, we see the stock has been in a steady uptrend since late 2023. Prior to that, the shares consolidated sideways for over a year and a half in a tight range of $26.00 to $31.00. Since the uptrend began in late 2023, we see a rather orderly uptrend occur with a slight bit of choppiness in December 2024 to February 2025, but the uptrend remained intact as the shares did not experience a lower low during these two months of choppiness. Once this passed, the orderly uptrend re-asserted itself through until June 2025 where the shares began consolidating around the $56.00 price point. Looking at the last candlestick, we see the shares are trying to break above the high $50 area which could result in a new uptrend establishing; only time will tell if follow through strength will confirm a new uptrend. Support can be found at the $53.00 area where the price had pulled back earlier in September. Potential resistance can be forthcoming at the recent high of approximately the $60.00 round number where the shares currently sit.
To identify more precise support and resistance levels we look now at a 2% scale on a Point the Figure Chart. Here we can see the shares have been in a very strong uptrend with a column of rising X’s lasting 27 boxes from December 2023 to approximately November of 2024. This was followed by an orderly uptrend of higher highs and higher lows since that time until the shares peaked at $58.52 in June, October, and again this month. Based on Friday’s close, we are seeing an encouraging sign as the shares have broken above this price point. Another X has also appeared on the chart, moving above the prior resistance level and establishing a new high. If we see additional strength and a new uptrend confirmed, next resistance is at $64.61 based on a measured move. Support is at the 3-box reversal of $55.15 and, below that, $51.97. With an SMAX score of 8 out of 10, Loblaw is showing near-term strength against all the asset classes.
Loblaw is one of Canada's largest grocery, pharmacy, and general merchandise retailers, operating the most expansive store footprint in Ontario and maintaining sizable presences in provinces like Quebec and British Columbia. Key grocery banners include Loblaw, No Frills, and Maxi, while its pharmaceutical operations are the product of its 2014 acquisition of Shoppers Drug Mart. The firm carries a robust private-label assortment, with top sellers like President's Choice and No Name.
Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.
