Clicks Group shares have declined 42% year-to-date. The stock currently trades at less than half of its all-time high reached in November 2024. This sell-off has pushed the company's price-to-earnings ratio to its lowest level in a decade.
The retailer recently surpassed the 1,000-store milestone and plans to open 40 to 50 new locations this year. However, Allan Gray analysts warn of a narrowing pipeline for future store roll-outs. These experts also cite limited potential for further margin growth.