Q4/F26 First Look: A Little Light On Food Profits And Sustainable Growth

Research evidence excerpt

Q4/F26 First Look: A Little Light On Food Profits And Sustainable Growth

TD Cowen Empire Company Ltd.

Global Research June 18, 2026

VALUATION METHODOLOGY AND RISKS

Valuation Methodology

Retailers

Our valuation methodology is primarily based on a target P/E valuation range applied to our

next-12-month adjusted EPS forecasts in one year's time. In determining this range, we consider

historical trading ranges as well as current and historical discounts/premiums to peers, taking

into account relative expected earnings growth, brand and management quality, earnings

volatility, and other factors. We backstop our P/E valuation range using EV/EBITDA and FCF

yield calculations and comparisons.

Food Manufacturers and Processors

Companies Under Coverage (6): Jamieson Wellness Inc. (JWEL-T), Maple Leaf Foods Inc. (MFI-T),

Premium Brands Holding Corp. (PBH-T), Primo Water Corp. (PRMW-T), Rogers Sugar Inc. (RSI-T),

Saputo Inc. (SAP-T).

Our valuation methodology is primarily based on a target EV/EBITDA valuation range applied

to our next-12-month adjusted EBITDA forecasts in one year's time, factoring in our forecast net

debt, non-controlling interest and share count in one year's time. In determining our target EV/

EBITDA valuation range, we consider historical trading ranges, as well as current and historical

discounts/premiums to peers, taking into account relative expected earnings growth, brand

and management quality, earnings volatility, and other factors. We backstop our EV/EBITDA

valuation range using P/E and FCF yield calculations and comparisons

Cannabis

Our valuation methodology is primarily based on a target Price/Sales valuation range applied

to our next-12-month net sales forecasts in one year's time, as many comparable cannabis