Hey Jean.
First off, the drop in Loblaw since April largely came after a massive spike in price due to panic buying during the height of the pandemic. Considering this euphoria in Loblaw's stock price lasted less than a month, that is more so the exception than the rule for the company.
However, there is no doubt the company's share price has been struggling since the pandemic. There's been an alarming shift out of defensive style stocks like Loblaw, Fortis etc and into small cap companies which are currently out performing at a pretty drastic pace.
However, this won't last forever. The shift back to defensive options will happen, and Loblaw's, especially when we compare it to 5 year averages, is trading at a pretty steep discount.
5 year averages:
Forward price to earnings: 15.4
Trailing price to earnings: 25.3
Price to sales: 0.6
Current valuations:
Forward price to earnings: 13
Trailing price to earnings: 20
Price to sales: 0.4
This is a defensive, reliable stock that just isn't "in" right now so to speak. It's cheap, and one of the faster growing blue-chip grocers out there, one with a solid economic moat.