Canadian Tire Corporation, Limited: Rating Report

On April 13, 2021, DBRS Limited (DBRS Morningstar) confirmed Canadian Tire Corporation, Limited's (CTC or the Company) Issuer Rating and Medium-Term Notes rating at BBB with Stable trends. While CTC's operating performance was materially stronger than expected during the pandemic year of 2020, DBRS Morningstar forecasts that operating results and credit metrics should moderate as the distribution of Coronavirus Disease (COVID-19) vaccines gains momentum, pandemic-related containment measures are lifted, and the economy reopens. That said, DBRS Morningstar believes that the Company's earnings and financial risk profile will remain supportive of the current rating category, and, as such, has confirmed the ratings with Stable trends.