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Empire Company (EMP-A) Fair Value & Analysis

Consumer Defensive · CA · Market cap C$11.0B

EC Empire Company EMP-A · TO
PriceC$50.01
Fair ValueC$18.13
Upside-63.8%
Quality61/100
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Healthy Growth
Thin margins · 0.6% net margin
Low debt · generates free cash flow
1.75% dividend yield
Mixed vs. peers (6/15)
Narrow moat 26/100
Evidence: High Range C$13.60 – C$22.66 Share as image

Fair value as of: Jul 15, 2026

From 25 valuation models · updated 28 days ago

Fair value updated Jul 15, 2026, revised from C$63.74 to C$18.13 (−71.6%) since Jul 5, 2026. Share price +2.0% over the past month.

A solid business, but screening 64% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (C$22.66). The favourable scenario is already priced in.
  • Solid but not exceptional quality (61/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

C$57.00 C$30.48 Fair Value C$18.13 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 15, 2026.

How to read this chart

60‑month range C$30.48 – C$57.00 · fair‑value band C$13.60 – C$22.66 · the C$50.01 price screens above the C$18.13 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 15, 2026.

Full chart & analysis →

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Analysis

Empire Company (EMP-A) currently trades at C$50.01, while our model-based Fair Value estimate is C$18.13, implying the stock looks roughly 63.8% overvalued today. The Quality Score stands at 61/100 (solid quality), in the Consumer Defensive sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Empire Company generated revenue of C$31.9B at a net margin of 0.5%. Revenue grew 2.3% year over year. It earns a return on equity of 3.9%. Net debt stands at C$7.6B. Fundamentals as of Jul 15, 2026

Our scenario range runs from C$13.60 (bear case) to C$22.66 (bull case); at C$50.01, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat. The share trades about 13% below its 52-week high and 15% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Defensive peers we cover trades at -31% fair-value upside, at -64%, EMP-A screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF C$49.08 C$71.30 C$102.04 80
Residual Income C$16.41 C$16.47 C$15.07 76
Rev-Margin DCF C$43.84 C$69.21 C$97.00 74
All 25 models by family
DCF Models
FCF DCF C$47.76 C$72.00 C$107.23 38
Owner Earnings C$21.98 C$33.99 C$51.44 31
5Y Revenue Exit C$43.84 C$68.77 C$99.68 39
5Y EBITDA Exit C$71.84 C$119.28 C$173.12 41
5Y P/E Exit C$22.67 C$30.58 C$38.26 38
10Y Revenue Exit C$43.43 C$66.13 C$94.72 36
10Y EBITDA Exit C$62.41 C$100.52 C$148.93 37
10Y P/E Exit C$31.52 C$40.12 C$49.38 35
Earnings-Based
Graham-Dodd C$5.87 C$15.03 C$19.55 54
PEG = 1.0 C$2.81 C$4.01 C$5.22 46
EPV C$41.64 C$49.13 C$55.69 59
Dividend Discount
Gordon GGM C$8.13 C$15.83 C$26.81 70
DDM Multi-Stage C$8.13 C$12.41 C$17.03 61
Multiples
P/E Multiple C$13.60 C$18.13 C$22.66 63
P/S Multiple C$11.01 C$14.68 C$18.35 58
P/B Multiple C$11.01 C$14.68 C$18.35 55
EV/EBIT C$63.56 C$85.85 C$108.15 53
EV/EBITDA C$97.48 C$131.08 C$164.68 54
EV/Revenue C$44.41 C$64.87 C$85.33 43
Asset-Based
NCAV (Graham) C$10.91 C$14.62 C$21.82 50
Growth DCF
Growth DCF C$49.08 C$71.30 C$102.04 80
Rev-Margin DCF C$43.84 C$69.21 C$97.00 74
Economic Profit
Residual Income C$16.41 C$16.47 C$15.07 76
ROIC Compounder C$43.90 C$55.22 C$67.89 72
Growth Earnings
Growth-Adj P/E C$10.55 C$15.08 C$19.60 68

Widest divergence: Growth DCF (C$69.21) versus Dividend Discount (C$12.41). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) C$31.9B
Revenue growth (YoY) +2.3%
Net margin 0.5%
Return on equity 3.9%
Free cash flow C$1.1B FY2026
P/E ratio 73.9
More key figures
Operating margin 3.8%
EPS (TTM) C$0.6700
Dividend yield 1.8%
EPS growth (YoY) -5.0%
Net debt C$7.6B FY2026

Figures from reported company fundamentals · as of Jul 15, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 61/100

Of which business quality 60 · Market factors (momentum, volatility) 55

Profitability 52
Margins and returns on capital today
Quality Growth 38
Are margins and returns improving?
Cashflow 49
Earnings quality: real cash, not paper profit
Fin. Strength 49
Balance sheet, leverage, solvency risk
Investment 97
Disciplined investing over empire-building
Low Volatility 90
Calm price path (market factor)
Momentum 43
Price trend over the last 3–12 months (market factor)
52W Momentum 37
Distance to the 52-week high (market factor)
Net Issuance 100
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Empire Company Limited, together with its subsidiaries, engages in the food retail and related real estate businesses in Canada. It operates through two segments, Food Retailing, and Investments and Other Operations.

Full company description

Empire Company Limited, together with its subsidiaries, engages in the food retail and related real estate businesses in Canada. It operates through two segments, Food Retailing, and Investments and Other Operations. The company owns, affiliates, and franchises retail stores under the Sobeys, Safeway, IGA, Foodland, FreshCo, Thrifty Foods, Farm Boy, Longo's, and Lawtons Drugs brands; operates grocery e-commerce stores under the Voilà, IGA, and ThriftyFoods.com brands; and operates and/or supplies retail fuel locations. It also owns interests in the Crombie Real Estate Investment Trust, an open-ended real estate investment trust to own, operate, and develop a portfolio of grocery and pharmacy-anchored shopping centers, freestanding stores, and mixed use developments; and various equity accounted interests in Genstar that develop residential real estate properties in Ontario, Western Canada, and the United States. Empire Company Limited was founded in 1907 and is headquartered in Stellarton, Canada.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Empire Company reported revenue of C$32.0B in FY2026 versus C$30.3B in FY2022, a compound +1.4%/yr. Reported net income was C$198M in FY2026, compounding −28.2%/yr from FY2022.

Growth Quality 62/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
C$32.0B
Latest YoY
+1.9%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+1.5%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.4%
Avg. growth/yr (30Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.3%
Revenue +1.4%/yr
FY22 C$30.3B
FY23 C$30.6B
FY24 C$30.8B
FY25 C$31.4B
FY26 C$32.0B
Net income −28.2%/yr
FY22 C$746M
FY23 C$686M
FY24 C$725M
FY25 C$700M
FY26 C$198M
Character of growth · EPS growth decomposed (2015-2026) +8.9 % p.a.
Revenue per share +4.6 pp

of which total revenue +3.0 pp · buybacks/dilution +1.6 pp

EBIT margin +6.8 pp
Tax rate −0.2 pp
Residual (interest, one-offs) −2.3 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

EMP-A screens 64% overvalued. Compare with Loblaw Companies Limited →

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Cite: Fair Value Calculator (2026). "Empire Company Fair Value". https://www.fairvalue-calculator.com/stock/EMP-A

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Grocery Stores · 83 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 61 · Above median
Fair Value upside −64% · Bottom 25%
Return on equity (TTM) 5% · Bottom 25%
Return on assets 5% · Above median
Net margin (TTM) 1% · Bottom 25%
Operating margin (TTM) 4% · Above median
Revenue growth 2% · Below median
Dividend yield (TTM) 1.8% · Below median
Debt / equity 0.21× · Higher than median

Valuation Multiples vs Grocery Stores median · lower = cheaper

P/E (TTM) 56.8× · Pricier than 75% of peers
P/B 1.58× · Cheaper than median
P/S (TTM) 0.25× · Cheaper than median
P/FCF 7.3× · Pricier than median
EV/EBITDA 3.7× · Cheaper than median
PEG 2.07× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 36
FUTURE 11 · sector 17
PAST 18 · sector 51
HEALTH 90 · sector 92
DIVIDEND 35 · sector 48

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Grocery Stores stocks, each showing price versus our Fair Value estimate (as of Jul 15, 2026).

Stock Price Fair Value vs Fair Value
Loblaw Companies Limited L C$65.49 C$44.44 -32%
Koninklijke Ahold Delhaize N.V AD €36.30 €53.50 +47%
The Kroger Co KR $58.82 $28.19 -52%
Woolworths Group WOW A$39.20 A$13.40 -66%
George Weston Limited WN C$100.98 C$63.61 -37%
Coles Group COL A$23.56 A$15.86 -33%
Metro Inc MRU C$93.64 C$94.01 +0%
Carrefour SA CA €16.40 €11.51 -30%
CP ALL Public Company TCPD 1.89 SGD 2.36 SGD +25%
BIM Birlesik Magazalar A.S., BIMAS 385.75 TRY 267.12 TRY -31%

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Frequently asked questions

Is Empire Company (EMP-A) overvalued or undervalued?
As of Jul 15, 2026, our model estimates a fair value of C$18.13 versus a price of C$50.01, about −64% (overvalued).
What is the fair value of EMP-A?
Our model-based fair value for Empire Company is C$18.13 (as of Jul 15, 2026), built from audited fundamentals. The current price is C$50.01.
What is the quality score of EMP-A?
Empire Company has a Quality Score of 61/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Empire Company (EMP-A)?
Empire Company reported trailing-twelve-month revenue of about C$31.9B (latest available figure, as of Jul 15, 2026).
What is the net profit margin of EMP-A?
The net profit margin of Empire Company is about 0.5%, meaning it keeps roughly 0.5% of revenue as net income. Based on the latest reported figures.
Does Empire Company pay a dividend?
Empire Company currently shows a dividend yield of about 1.79% relative to its recent price (as of Jul 15, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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