Update shared on18 Sep 2025
Fair value Increased 1.06%Analysts have modestly raised Dollarama’s price target to CA$198.81, citing superior productivity, cross-demographic appeal, growth potential in underpenetrated markets, and resilient execution that justifies its premium valuation despite ongoing concerns over elevated price levels.
Analyst Commentary
- Bullish analysts point to Dollarama's superior productivity compared to U.S. peers and its widespread appeal across all income cohorts.
- Expansion into underpenetrated international markets with minimal competition is expected to drive further growth and upside.
- Dollarama continues to trade at a near all-time high valuation, but consensus suggests justified premium due to resilience and execution.
- Some bullish analysts are incrementally raising price targets following solid execution and positive same-store sales trends.
- Bearish analysts cite valuation concerns, trimming targets modestly but generally maintain a neutral or hold stance.
What's in the News
- Dollarama completed the repurchase of 7,770,851 shares (2.76%) for CAD 1,097.4 million under the buyback announced in July 2024.
- From July 3, 2025 to August 3, 2025, the company conducted no share repurchases under the newly announced buyback program.
- Dollarama partnered with Skip to offer delivery of its product range through over 1,300 locations, expanding convenience and access for Canadian consumers.
- Dollarama announced a new share repurchase program to buy back up to 13,865,588 common shares (5% of shares outstanding), expiring in July 2026.
- The Board of Directors authorized this new buyback plan.
Valuation Changes
Summary of Valuation Changes for Dollarama
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from CA$196.73 to CA$198.81.
- The Consensus Revenue Growth forecasts for Dollarama has significantly fallen from 10.9% per annum to 9.6% per annum.
- The Net Profit Margin for Dollarama has significantly risen from 17.48% to 19.57%.
Disclaimer
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