Dollarama Inc. operates a chain of dollar stores in Canada. More Details
Acceptable track record with limited growth.
Share Price & News
How has Dollarama's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DOL is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: DOL's weekly volatility (3%) has been stable over the past year.
7 Day Return
CA Multiline Retail
1 Year Return
CA Multiline Retail
Return vs Industry: DOL underperformed the Canadian Multiline Retail industry which returned 59% over the past year.
Return vs Market: DOL underperformed the Canadian Market which returned 37.2% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Dollarama's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StHere's Why Dollarama Inc.'s (TSE:DOL) CEO Might See A Pay Rise Soon
2 weeks ago | Simply Wall StDollarama Inc. (TSE:DOL) Insiders Have Been Selling
1 month ago | Simply Wall StDollarama (TSE:DOL) Knows How To Allocate Capital
Is Dollarama undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: DOL (CA$55.75) is trading above our estimate of fair value (CA$54.68)
Significantly Below Fair Value: DOL is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: DOL is poor value based on its PE Ratio (29.2x) compared to the North American Multiline Retail industry average (17.5x).
PE vs Market: DOL is poor value based on its PE Ratio (29.2x) compared to the Canadian market (15.2x).
Price to Earnings Growth Ratio
PEG Ratio: DOL is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: DOL is overvalued based on its PB Ratio (122.8x) compared to the XN Multiline Retail industry average (3.2x).
How is Dollarama forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DOL's forecast earnings growth (12.7% per year) is above the savings rate (1.5%).
Earnings vs Market: DOL's earnings (12.7% per year) are forecast to grow slower than the Canadian market (13.5% per year).
High Growth Earnings: DOL's earnings are forecast to grow, but not significantly.
Revenue vs Market: DOL's revenue (7.6% per year) is forecast to grow faster than the Canadian market (5.7% per year).
High Growth Revenue: DOL's revenue (7.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if DOL's Return on Equity is forecast to be high in 3 years time
How has Dollarama performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DOL has high quality earnings.
Growing Profit Margin: DOL's current net profit margins (14.3%) are lower than last year (14.4%).
Past Earnings Growth Analysis
Earnings Trend: DOL's earnings have grown by 6.4% per year over the past 5 years.
Accelerating Growth: DOL's earnings growth over the past year (8.2%) exceeds its 5-year average (6.4% per year).
Earnings vs Industry: DOL earnings growth over the past year (8.2%) underperformed the Multiline Retail industry 94.6%.
Return on Equity
High ROE: Whilst DOL's Return on Equity (421.27%) is outstanding, this metric is skewed due to their high level of debt.
How is Dollarama's financial position?
Financial Position Analysis
Short Term Liabilities: DOL's short term assets (CA$729.1M) do not cover its short term liabilities (CA$1.2B).
Long Term Liabilities: DOL's short term assets (CA$729.1M) do not cover its long term liabilities (CA$2.6B).
Debt to Equity History and Analysis
Debt Level: DOL's debt to equity ratio (1226.6%) is considered high.
Reducing Debt: DOL's debt to equity ratio has increased from 328.6% to 1226.6% over the past 5 years.
Debt Coverage: DOL's debt is well covered by operating cash flow (48.7%).
Interest Coverage: DOL's interest payments on its debt are well covered by EBIT (9.6x coverage).
What is Dollarama current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: DOL's dividend (0.36%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.53%).
High Dividend: DOL's dividend (0.36%) is low compared to the top 25% of dividend payers in the Canadian market (4.45%).
Stability and Growth of Payments
Stable Dividend: DOL is not paying a notable dividend for the Canadian market, therefore no need to check if payments are stable.
Growing Dividend: DOL is not paying a notable dividend for the Canadian market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: DOL is not paying a notable dividend for the Canadian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of DOL's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Neil Rossy (50 yo)
Mr. Neil Rossy has been the Chief Executive Officer and President of Dollarama Inc. since May 1, 2016. Mr. Rossy served as Chief Merchandising Officer at Dollarama Inc. since 2004 until April 2016 and its ...
CEO Compensation Analysis
Compensation vs Market: Neil's total compensation ($USD5.62M) is about average for companies of similar size in the Canadian market ($USD6.56M).
Compensation vs Earnings: Neil's compensation has increased by more than 20% in the past year.
Experienced Management: DOL's management team is seasoned and experienced (5.1 years average tenure).
Experienced Board: DOL's board of directors are seasoned and experienced ( 10.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: DOL insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Dollarama Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Dollarama Inc.
- Ticker: DOL
- Exchange: TSX
- Founded: 1992
- Industry: General Merchandise Stores
- Sector: Retail
- Market Cap: CA$17.037b
- Shares outstanding: 305.60m
- Website: https://www.dollarama.com
Number of Employees
- Dollarama Inc.
- 5805 Royalmount Avenue
- H4P 0A1
Dollarama Inc. operates a chain of dollar stores in Canada. Its stores offer general merchandise, consumables, and seasonal items. The company also offers products online. As of January 31, 2021, it operat...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/06/13 06:57|
|End of Day Share Price||2021/06/11 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.