01:50 PM EDT, 03/19/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

ATD reported Q3 FY 25 EPS of $0.68 (+5% Y/Y), slightly beating consensus by a penny, while showing sequential improvement in merchandise sales across all markets. Same-store merchandise sales declined 0.1% in U.S. due to severe winter weather, grew 0.2% in Europe, and rose 2.8% in Canada, with consolidated merchandise gross margins expanding to 34.8% from 34.2%. The company demonstrated strong expense control with normalized operating expenses growing 2.6% Y/Y, supported by initiatives like reduced store hours and the Fit-to-Serve program, targeting CAD70M in savings over five years. Fuel margins remained healthy across regions despite mixed same-store fuel volumes showing declines in the U.S. (-3.0%) and Europe (-0.9%), but growth in Canada (+3.6%). Notably, merger discussions with Japanese-owned Seven & i (owner of 7-Eleven) continue, with both companies signing non-disclosure agreements with potential buyers for overlapping U.S. stores that may need to be divested for regulatory approval.