Canada Bread is starting to get a bit rich.
The stock has surged again Tuesday and is now close to $71, taking the company’s market value to $1.8-billion, in the wake of parent Maple Leaf Foods saying it may sell the bakery. At that level, it’s getting to the area where any deal would get done.
That market capitalization is 1.17 times sales. It’s a level that is above where some big rivals trade, and is in the range where bakery acquisitions seem to take place.