I am missing something…ATD-B.TO

Investors don't like the recent talks of acquiring the french grocery giant Carrefour.

Although this is uncharted territory for Couche-Tard (it's never dealt with supermarkets, more so convenience stores) and it's a lower margin business, a double digit cut in share price is simply ridiculous.

There i was yesterday thinking couche-tard was a great buy...the stock is going down even more today. will add more in my position.
I think it is still a great investment.

For those curious as to the different share classifications of ATD, I'll post it here.

Class A and Class B shares are provided for a variety of reasons, by companies other than ATD. We see stocks like Canadian Tire trading under CTC.A, Rogers trading under RCI.B, Andrew Peller trading under ADW.A etc.

The different classes of shares are typically to give holders of one particular share class more voting rights. This is a very generic example, but you could have a class A share count for 50 votes, while a class b share counts for 1 vote.

Companies will do this so that it has more control over the overall decisions of the company. For example, Couche-Tard may assign more Class A shares to their directors, board members, CEO etc so that when push comes to shove, their say has more impact on voting decisions.

You'll almost always see significantly more volume in the class that retail investors like to buy. So for example, ATD.A has volume of 30,000 today. ATD.B has volume of 1.1 million. If you're ever wondering what class of share you should buy, this is a very telling indicator.

Wow that was a fast response..i will add to my position, i completely agree with everything you mention, i am new to investing so got scare that i had miss something somewhere that could be of a concern
Thank again!!

The company is going to be volatile based on COVID/lockdown news primarily because the bulk of its revenue comes from fuel sales.

I actually think the democrats having full control down south is causing short term weakness in the stock price as well. Renewables, green energy, EV vehicles etc.

However, what investors are missing is that Couche-Tard is already preparing for all of this. The company has stated it's going to be adding charging stations across Canada and the United States in the next year.

The company has been forced to scale back acquisitions and conserve cash due to COVID-19. But, I have very little concern about the company's ability to continue driving growth like it had been prior to COVID-19 after this is all over.

This company is trading at 13 times trailing earnings right now. Over the last 4 years, it's grown earnings by 19% annually.

In my opinion, take advantage of negative sentiment right now.