DOLLARAMA INC (DOL.CA) Fundamental Analysis & Valuation

TSX:DOL • CA25675T1075

Current stock price

176.82 CAD
+2.15 (+1.23%)
Last:

This DOL.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. DOL.CA Profitability Analysis

1.1 Basic Checks

  • DOL had positive earnings in the past year.
  • In the past year DOL had a positive cash flow from operations.
  • In the past 5 years DOL has always been profitable.
  • Each year in the past 5 years DOL had a positive operating cash flow.
DOL.CA Yearly Net Income VS EBIT VS OCF VS FCFDOL.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 500M 1B 1.5B

1.2 Ratios

  • With an excellent Return On Assets value of 17.32%, DOL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
  • DOL's Return On Equity of 89.94% is amongst the best of the industry. DOL outperforms 100.00% of its industry peers.
  • DOL has a better Return On Invested Capital (21.06%) than 100.00% of its industry peers.
Industry RankSector Rank
ROA 17.32%
ROE 89.94%
ROIC 21.06%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
DOL.CA Yearly ROA, ROE, ROICDOL.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 1K -1K 2K

1.3 Margins

  • Looking at the Profit Margin, with a value of 18.05%, DOL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
  • DOL's Profit Margin has improved in the last couple of years.
  • The Operating Margin of DOL (24.07%) is better than 100.00% of its industry peers.
  • In the last couple of years the Operating Margin of DOL has remained more or less at the same level.
  • With an excellent Gross Margin value of 45.05%, DOL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
  • DOL's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 24.07%
PM (TTM) 18.05%
GM 45.05%
OM growth 3Y1.95%
OM growth 5Y0.42%
PM growth 3Y4.38%
PM growth 5Y5.18%
GM growth 3Y1.17%
GM growth 5Y0.51%
DOL.CA Yearly Profit, Operating, Gross MarginsDOL.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 10 20 30 40

5

2. DOL.CA Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DOL is creating value.
  • DOL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
DOL.CA Yearly Shares OutstandingDOL.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
DOL.CA Yearly Total Debt VS Total AssetsDOL.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.2 Solvency

  • An Altman-Z score of 6.52 indicates that DOL is not in any danger for bankruptcy at the moment.
  • DOL has a Altman-Z score of 6.52. This is amongst the best in the industry. DOL outperforms 100.00% of its industry peers.
  • DOL has a debt to FCF ratio of 3.63. This is a good value and a sign of high solvency as DOL would need 3.63 years to pay back of all of its debts.
  • DOL has a better Debt to FCF ratio (3.63) than 100.00% of its industry peers.
  • A Debt/Equity ratio of 3.17 is on the high side and indicates that DOL has dependencies on debt financing.
  • DOL has a worse Debt to Equity ratio (3.17) than 66.67% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.17
Debt/FCF 3.63
Altman-Z 6.52
ROIC/WACC2.58
WACC8.15%
DOL.CA Yearly LT Debt VS Equity VS FCFDOL.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 1B 2B 3B 4B

2.3 Liquidity

  • DOL has a Current Ratio of 1.13. This is a normal value and indicates that DOL is financially healthy and should not expect problems in meeting its short term obligations.
  • With a Current ratio value of 1.13, DOL is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
  • A Quick Ratio of 0.31 indicates that DOL may have some problems paying its short term obligations.
  • DOL's Quick ratio of 0.31 is on the low side compared to the rest of the industry. DOL is outperformed by 66.67% of its industry peers.
Industry RankSector Rank
Current Ratio 1.13
Quick Ratio 0.31
DOL.CA Yearly Current Assets VS Current LiabilitesDOL.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

6

3. DOL.CA Growth Analysis

3.1 Past

  • DOL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.95%, which is quite good.
  • The Earnings Per Share has been growing by 21.21% on average over the past years. This is a very strong growth
  • The Revenue has grown by 13.14% in the past year. This is quite good.
  • Measured over the past years, DOL shows a quite strong growth in Revenue. The Revenue has been growing by 12.50% on average per year.
EPS 1Y (TTM)12.95%
EPS 3Y19.5%
EPS 5Y21.21%
EPS Q2Q%2.14%
Revenue 1Y (TTM)13.14%
Revenue growth 3Y12.82%
Revenue growth 5Y12.5%
Sales Q2Q%11.69%

3.2 Future

  • Based on estimates for the next years, DOL will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.56% on average per year.
  • DOL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.73% yearly.
EPS Next Y9.24%
EPS Next 2Y11.19%
EPS Next 3Y10.49%
EPS Next 5Y15.56%
Revenue Next Year11.87%
Revenue Next 2Y9.27%
Revenue Next 3Y8.4%
Revenue Next 5Y7.73%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
DOL.CA Yearly Revenue VS EstimatesDOL.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2B 4B 6B 8B 10B
DOL.CA Yearly EPS VS EstimatesDOL.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6 8 10

2

4. DOL.CA Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 37.54 indicates a quite expensive valuation of DOL.
  • 66.67% of the companies in the same industry are cheaper than DOL, based on the Price/Earnings ratio.
  • DOL is valuated rather expensively when we compare the Price/Earnings ratio to 26.78, which is the current average of the S&P500 Index.
  • DOL is valuated quite expensively with a Price/Forward Earnings ratio of 34.37.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of DOL indicates a slightly more expensive valuation: DOL is more expensive than 66.67% of the companies listed in the same industry.
  • DOL is valuated rather expensively when we compare the Price/Forward Earnings ratio to 23.54, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 37.54
Fwd PE 34.37
DOL.CA Price Earnings VS Forward Price EarningsDOL.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, DOL is valued a bit more expensive than 66.67% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, DOL is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 32.42
EV/EBITDA 24.17
DOL.CA Per share dataDOL.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20 25

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DOL does not grow enough to justify the current Price/Earnings ratio.
  • DOL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.06
PEG (5Y)1.77
EPS Next 2Y11.19%
EPS Next 3Y10.49%

5

5. DOL.CA Dividend Analysis

5.1 Amount

  • DOL has a yearly dividend return of 0.27%, which is pretty low.
  • DOL's Dividend Yield is slightly below the industry average, which is at 2.54.
  • Compared to an average S&P500 Dividend Yield of 1.83, DOL's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.27%

5.2 History

  • The dividend of DOL is nicely growing with an annual growth rate of 15.08%!
  • DOL has paid a dividend for at least 10 years, which is a reliable track record.
  • DOL has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.08%
Div Incr Years14
Div Non Decr Years14
DOL.CA Yearly Dividends per shareDOL.CA Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.1 0.2 0.3 0.4

5.3 Sustainability

  • 8.64% of the earnings are spent on dividend by DOL. This is a low number and sustainable payout ratio.
  • DOL's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP8.64%
EPS Next 2Y11.19%
EPS Next 3Y10.49%
DOL.CA Yearly Income VS Free CF VS DividendDOL.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 500M 1B
DOL.CA Dividend Payout.DOL.CA Dividend Payout, showing the Payout Ratio.DOL.CA Dividend Payout.PayoutRetained Earnings

DOL.CA Fundamentals: All Metrics, Ratios and Statistics

DOLLARAMA INC

TSX:DOL (4/10/2026, 7:00:00 PM)

176.82

+2.15 (+1.23%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)03-24
Earnings (Next)06-09
Inst Owners45.24%
Inst Owner ChangeN/A
Ins Owners3.36%
Ins Owner ChangeN/A
Market Cap48.26B
Revenue(TTM)7.26B
Net Income(TTM)1.31B
Analysts76
Price Target205.16 (16.03%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.27%
Yearly Dividend0.35
Dividend Growth(5Y)15.08%
DP8.64%
Div Incr Years14
Div Non Decr Years14
Ex-Date04-17
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.91%
Min EPS beat(2)0.74%
Max EPS beat(2)5.07%
EPS beat(4)3
Avg EPS beat(4)4.49%
Min EPS beat(4)-0.49%
Max EPS beat(4)12.65%
EPS beat(8)6
Avg EPS beat(8)3.5%
EPS beat(12)10
Avg EPS beat(12)4.8%
EPS beat(16)13
Avg EPS beat(16)4.23%
Revenue beat(2)2
Avg Revenue beat(2)0.49%
Min Revenue beat(2)0.11%
Max Revenue beat(2)0.87%
Revenue beat(4)4
Avg Revenue beat(4)0.33%
Min Revenue beat(4)0.05%
Max Revenue beat(4)0.87%
Revenue beat(8)4
Avg Revenue beat(8)-0.3%
Revenue beat(12)7
Avg Revenue beat(12)0.29%
Revenue beat(16)11
Avg Revenue beat(16)0.95%
PT rev (1m)-7.37%
PT rev (3m)-7.37%
EPS NQ rev (1m)-4.31%
EPS NQ rev (3m)-4.31%
EPS NY rev (1m)-3.52%
EPS NY rev (3m)-3.31%
Revenue NQ rev (1m)-0.38%
Revenue NQ rev (3m)-0.38%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)0%
Valuation
Industry RankSector Rank
PE 37.54
Fwd PE 34.37
P/S 6.65
P/FCF 32.42
P/OCF 27.4
P/B 33.15
P/tB 101.41
EV/EBITDA 24.17
EPS(TTM)4.71
EY2.66%
EPS(NY)5.15
Fwd EY2.91%
FCF(TTM)5.45
FCFY3.08%
OCF(TTM)6.45
OCFY3.65%
SpS26.58
BVpS5.33
TBVpS1.74
PEG (NY)4.06
PEG (5Y)1.77
Graham Number23.78
Profitability
Industry RankSector Rank
ROA 17.32%
ROE 89.94%
ROCE 28.12%
ROIC 21.06%
ROICexc 22.24%
ROICexgc 26.7%
OM 24.07%
PM (TTM) 18.05%
GM 45.05%
FCFM 20.51%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y1.95%
OM growth 5Y0.42%
PM growth 3Y4.38%
PM growth 5Y5.18%
GM growth 3Y1.17%
GM growth 5Y0.51%
F-Score5
Asset Turnover0.96
Health
Industry RankSector Rank
Debt/Equity 3.17
Debt/FCF 3.63
Debt/EBITDA 2.09
Cap/Depr 59.3%
Cap/Sales 3.76%
Interest Coverage 8.18
Cash Conversion 79.82%
Profit Quality 113.67%
Current Ratio 1.13
Quick Ratio 0.31
Altman-Z 6.52
F-Score5
WACC8.15%
ROIC/WACC2.58
Cap/Depr(3y)65.21%
Cap/Depr(5y)59.28%
Cap/Sales(3y)4.12%
Cap/Sales(5y)3.83%
Profit Quality(3y)119.05%
Profit Quality(5y)116.53%
High Growth Momentum
Growth
EPS 1Y (TTM)12.95%
EPS 3Y19.5%
EPS 5Y21.21%
EPS Q2Q%2.14%
EPS Next Y9.24%
EPS Next 2Y11.19%
EPS Next 3Y10.49%
EPS Next 5Y15.56%
Revenue 1Y (TTM)13.14%
Revenue growth 3Y12.82%
Revenue growth 5Y12.5%
Sales Q2Q%11.69%
Revenue Next Year11.87%
Revenue Next 2Y9.27%
Revenue Next 3Y8.4%
Revenue Next 5Y7.73%
EBIT growth 1Y10.47%
EBIT growth 3Y15.02%
EBIT growth 5Y12.97%
EBIT Next Year35.53%
EBIT Next 3Y16.3%
EBIT Next 5Y16.12%
FCF growth 1Y6.52%
FCF growth 3Y27.85%
FCF growth 5Y15.61%
OCF growth 1Y7.12%
OCF growth 3Y26.55%
OCF growth 5Y14.66%

DOLLARAMA INC / DOL.CA Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for DOLLARAMA INC?

ChartMill assigns a fundamental rating of 6 / 10 to DOL.CA.


What is the valuation status of DOLLARAMA INC (DOL.CA) stock?

ChartMill assigns a valuation rating of 3 / 10 to DOLLARAMA INC (DOL.CA). This can be considered as Overvalued.


Can you provide the profitability details for DOLLARAMA INC?

DOLLARAMA INC (DOL.CA) has a profitability rating of 8 / 10.


What is the expected EPS growth for DOLLARAMA INC (DOL.CA) stock?

The Earnings per Share (EPS) of DOLLARAMA INC (DOL.CA) is expected to grow by 9.24% in the next year.


How sustainable is the dividend of DOLLARAMA INC (DOL.CA) stock?

The dividend rating of DOLLARAMA INC (DOL.CA) is 5 / 10 and the dividend payout ratio is 8.64%.