TSE:DOL

Dollarama Inc. (DOL.TO)

187.93
-2.07 (1.09%)
as of Jul 21, 2026, 8:00:01 pm Market Open.
676 watching
0
Investor Insights
star iconJul 21, 2026, 12:00 am

This summary was created by AI, based on 38 opinions in the last 12 months.

Dollarama Inc. (DOL-T) is recognized by many experts as a solid growth story, particularly in challenging economic climates where consumers tend to seek value. The company's expansion efforts both domestically in Canada and internationally in regions like Latin America and Australia are viewed positively, yet there are concerns about its high valuation and potential growth deceleration. Analysts note that despite a history of robust performance, current operational challenges, such as increased competition and economic pressures, have led to caution surrounding its stock price. Overall, while its business model remains appealing and its consumer base potentially resilient, the prevailing sentiment is a cautious evaluation of its pricing and growth prospects.

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Consensus
Cautious
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Valuation
Overvalued
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Walmart,WMT
DON'T BUY
Doesn't love it. It's been a growth stock and so has had a premium in their stock. So when it had a recent misstep, the stock got killed. Even after the pullback, it's still a pricey stock in terms of valuation. He fears more competition coming, and as they raise they prices to a few dollars, DOL starts to compete with stores like Walmart.
TOP PICK
It’s come down, and it’s at its 200-week moving average for the very first time in its existence. It’s very important that it holds here. Fingers crossed, it will be back to $50 before you know it. Yield is 0.5%. (Analysts’ price target is $47.86)
HOLD
He is fine continuing to hold it. They have a ten year history of creating value for shareholders. The short report was criticizing the company for being successful and having high margins. They are not at the limit to which they can grow and after that they will be a pretty attractive takeover target.
BUY
Had a rough ride lately. He still thinks it is a darling. He's taking the contrarian view. it's defensive yet growth. The 3-for-1 stock split was a smart move. Now is a good time to enter this with a 5-year view. If we enter a recession, this will be the darling stock. Yes, we're seeing competitors, but none with the magnitude of DOL. Who cares if DOL sells things at $2 or $3?
COMMENT
Recent scare of shrinking growth. You're fine buying it here. DOL can increase product prices a few dollars. But this will be a rough ride.
WATCH
They had a few weak quarters based on weak same-store growth. They haven't had much competition in Canada, so it's traded at a premium vs. U.S. peers. It's been punished badly for missing recent reports. She's watching it. DOL is increasing price points beyond $1. A recent short report countered that DOL will become like any other retailer. Valuation is looking more attraction, but they could face competition from Miniso.
DON'T BUY
It is at the bottom of their consumer discretionary rankings. Its heyday of actually being a dollar store competitor is behind it. It does not look good on value. It has broke the technicals. He does not see value in this name. He would stay away from this name.
DON'T BUY
Purchase puts and short the stock? Don’t buy the stock. A lot of the bad news is already priced in, so puts are not a great idea right now. Stock will be affected by Amazon. The company will either recover, or it will go bankrupt.
DON'T BUY
This is a company that had its day. They moved from dollar to two and three and now it is hard to find things for a dollar. At the same time their wage rates have gone up quite a bit. Their consumer is becoming savvier on-line and they don’t have an online product. They have to do something about this business model.
DON'T BUY
Valuations are high earlier this year and have been dropping. Long-term, he likes this. Dollar Tree might expand here, and the rising dollar doesn't help. Nothing's really a dollar at DOL anymore. It's below its 200-day moving average. Trading at 20x earnings, not exactly cheap. He's watching it.
COMMENT
You can trade this. It's sheltered in the retail space which is in the low end now, meaning they should not be threatened by Amazon. Overall, the Canadian market isn't attracting international money flows. Until then, there will be a lot of drift among Canadian stocks.
SELL
It is still struggling. He needs to see a consolidation. It is still making lower lows. If you own it he would hesitate, he might sell.
DON'T BUY
Why is this American short-seller putting down this Canadian company? Short-selling Spruce Point actually has some good points about Dollarama--it's no longer a dollar store; the business model has changed and its input costs are rising. Dollar Tree plans to open 1,000 stores across Canada, so there'll be more competition. Dollarama had it easy, no longer. Trades at 23x earnings for a retailer, so it's not cheap. A well-run company, but its valuation is too high; 15-17x would make him buy.
COMMENT

Dollar stores might be Amazon-proof. Time will tell. Their last earnings hit the stock hard. If you have a long-term horizon, you should be okay. Has a secure balance sheet. Growth has declined. So will revenues also decline or recover? Pays a 0.4% dividend.

WATCH

Never bought it because of high valuation. Had a weak quarter and reduced guidance. It's starting to look attractive if you have a long-term outlook. Still trades at a premium to its US peers, though it's better position in Canada. Also new competition coming, though DOL denies any impact. They could increase their price points. There could be tariff impacts since they source goods from China, though DOL they haven't felt it. She may buy it during this pullback.

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