LoblawTSX:L -0.17%92 FCF Margin % is 6.88% as of Mar. 2026, which is 17% above its 10-year median of 5.88. GuruFocus rates TSX:L with a GF Score™ of 92/100 and a GF Value™ of C$50.30 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 310 Retail - Defensive companies, Loblaw ranks better than 83.55% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Loblaw's Free Cash Flow for the
three
months ended in Mar. 2026 was C$996 Mil. Loblaw's Revenue for the
three
months ended in Mar. 2026 was C$14,484 Mil. Therefore, Loblaw's FCF Margin % for the quarter that ended in Mar. 2026 was 6.88%.
The historical rank and industry rank for Loblaw's FCF Margin % or its related term are showing as below:
TSX:L'
s FCF Margin % Range Over the Past 10 Years
Min: 2.5 Med: 5.88 Max: 7.65
Current: 6.99
During the past 13 years, the highest FCF Margin % of Loblaw was 7.65%. The lowest was 2.50%. And the median was 5.88%.
TSX:L's FCF Margin % is ranked better than 83.55% of 310
companies
in the Retail - Defensive industry
Industry Median: 1.835
vs TSX:L: 6.99
Loblaw FCF Margin % Related Terms
Loblaw FCF Margin % Historical Data
* Premium members only.
The historical data trend for Loblaw's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Grocery Stores subindustry, Loblaw's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Loblaw FCF Margin % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Loblaw's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Loblaw's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Loblaw (TSX:L) has a FCF Margin % of 6.88% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Loblaw and its competitors. This is 17% above median its historical median of 5.88. Over the past decade, Loblaw's FCF Margin % has ranged from 2.50 to 7.65. According to the industry distribution chart, Loblaw ranks #51 out of 310 companies in the Retail - Defensive industry, placing it in the top 16.5%.
Is Loblaw's FCF Margin % too high?
Loblaw's current FCF Margin % of 6.88% is 17% above median its 10-year median of 5.88. Over the past 10 years, this metric has ranged from a low of 2.50 to a high of 7.65. The Retail - Defensive industry median FCF Margin % is 1.84. Loblaw's value of 6.88% is 274.9% above this industry median. Based on the distribution chart, Loblaw ranks #51 out of 310 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Loblaw has a GF Score™ of 92/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Loblaw's FCF Margin % compare to KR and SFM?
According to the Retail - Defensive industry distribution chart, Loblaw ranks #51 out of 310 companies for FCF Margin %. This places Loblaw in the top 17% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 1.84. Loblaw's value of 6.88% is 274.9% above this benchmark. Historically, Loblaw's own FCF Margin % has ranged from 2.50 to 7.65 over the past decade. While the company's 10-year median is 5.88 vs. the industry median of 1.84, Loblaw has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Retail - Defensive company?
The median FCF Margin % among Retail - Defensive companies is 1.84, based on 310 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Loblaw's current FCF Margin % of 6.88% is 274.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Loblaw and its competitors. For the Retail - Defensive industry, the median FCF Margin % is 1.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Loblaw's current FCF Margin % is 6.88%, which is 17% above median its own 10-year median of 5.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Loblaw stock overvalued right now?
Based on GuruFocus' analysis, Loblaw (TSX:L) is currently considered Significantly Overvalued. The stock's GF Value™ is C$50.30, compared to a current price of C$66.09 — trading 31.4% above its estimated fair value. The current FCF Margin % is 6.88%, which is 17% above median its 10-year median of 5.88 and 274.9% above the Retail - Defensive industry median of 1.84. Loblaw's overall GF Score™ is 92/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Loblaw (TSX:L), the current FCF Margin % is 6.88% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Loblaw (TSX:L) Overvalued in 2026?
Based on GuruFocus' analysis, Loblaw stock appears to be overvalued.
The current stock price of C$66.09 is trading 31.4% above its estimated GF Value™ of C$50.30.
GuruFocus considers Loblaw to be Significantly Overvalued.
Key valuation signals for TSX:L:
FCF Margin %: 6.88% (17% above median its 10-year median of 5.88)
GF Value™: C$50.30 vs. price of C$66.09 (31.4% above fair value)
Industry Position: 274.9% above the Retail - Defensive median (#51 of 310)
No single metric tells the full story. See the TSX:L stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Loblaw is Canada's largest retailer, operating approximately 2,500 food retail and pharmacy stores across the country. Its main grocery banners include Loblaw, No Frills, and Maxi, and its pharmacy stores are mostly under the Shoppers Drug Mart banner, which it acquired in 2014. In addition to brand-name offerings, Loblaw offers private-label products under the President's Choice and No Name brands. Beyond retail, Loblaw runs the PC Optimum loyalty program, but announced plans to sell its financial services arm including credit cards and insurance brokerage to EQB in December 2025. George Weston is Loblaw's controlling shareholder with a 53% stake.
92GF Score
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