The macroeconomic environment isn’t on the side of the food retail and food distribution sector with inflation and gas prices on the rise, Michael Lasser, an analyst at UBS Global Research, said in a report on June 8 that covered both United States and Canada-based companies. Lasser turned his eye to Loblaw Cos. Ltd. (L/TSX), Alimentation Couche-Tard Inc. (ATD/TSX) and Dollarama Inc. (DOL/TSX) in Canada, examining the bull and bear cases for each of the names. Sentiment on mega-grocer Loblaw is “mixed,” Lasser said, with the bulls arguing it can continue to win from its substantial discount footprint, while bears wonder whether slowing population growth in Canada will hit its multiple. Loblaw has a 12-month price target of $70 based on the calls of 10 analysts, according to Bloomberg. Shares closed Friday at $65. On Dollarama, “we’re hearing more from bulls than bears,” he said, noting that investors believe financially-stretched Canadians consumers will continue to “trade down” to the Montreal-based discount chain. Still, bears warned that Dolllarama’s move into Australia could drag on earnings amid changes to immigration policy. Dollarama has a 12-month price target of $210.08 based on the calls of 17 analysts, according to Bloomberg. Shares closed Friday at $190.94. Finally, sentiment around Alimentation Couche-Tard was more positive than negative on the belief it “has turned the corner on food” by offering cheap, quick meals for $3, $4 and $5. Couche-Tard has a 12-month price target of $92.82 based on the calls of 19 analysts, according to Bloomberg. Shares closed Friday at $84.31.