NEW YORK (TheStreet) -- DAVIDsTEA (DTEA) - Get Report stock coverage was initiated by analysts at BMO Capital Markets with a "market perform" rating and a price target of $21. 

The company is a "fast-growing" Canadian retailer of branded teas with sales of $142 million in 2014. It offers a wide variety of loose leaf teas and tea-related gifts, tea accessories, and in-store beverages primarily through its network of 161 retail stores in Canada, the firm stated.

Since the company's founding in 2008, it has also operated an e-commerce site, which accounts for 8% of the sales, analysts noted.

"We believe DAVIDs' modern in-store experience, innovative culture, attractive market positioning, and track record of strong new-store returns in Canada position the company well to achieve its growth target," analysts said.

In Tuesday's morning trading session, shares are falling 3.65% to $21.66. 

This move comes after the company reported first quarter earnings on June 17, reporting a net loss of C$93.2 million, or C$7.74 per share versus a profit of C$1.4 million or 7 Canadian cents per share a year ago. 

Despite the net loss, sales grew 29% to $35.8 million in the first quarter.

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