DOLLARAMA INC (DOL.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:DOL - CA25675T1075 - Common Stock
199.31 CAD
-0.04 (-0.02%)
DOL gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 3 industry peers in the Broadline Retail industry. While DOL belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. DOL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DOL was profitable.
In the past year DOL had a positive cash flow from operations.
In the past 5 years DOL has always been profitable.
In the past 5 years DOL always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 17.67%, DOL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
DOL has a Return On Equity of 100.76%. This is amongst the best in the industry. DOL outperforms 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 21.54%, DOL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DOL is significantly above the industry average of 11.07%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.67% | ||
| ROE | 100.76% | ||
| ROIC | 21.54% |
ROA(3y)17.95%
ROA(5y)16.71%
ROE(3y)1062.04%
ROE(5y)N/A
ROIC(3y)22.87%
ROIC(5y)23.07%
1.3 Margins
With an excellent Profit Margin value of 18.59%, DOL belongs to the best 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.
Looking at the Operating Margin, with a value of 24.63%, DOL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
DOL's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 45.38%, DOL belongs to the top 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 Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.63% | ||
| PM (TTM) | 18.59% | ||
| GM | 45.38% |
OM growth 3Y3.75%
OM growth 5Y1.7%
PM growth 3Y5.97%
PM growth 5Y4.12%
GM growth 3Y0.9%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DOL is creating value.
Compared to 1 year ago, DOL has less shares outstanding
DOL has less shares outstanding than it did 5 years ago.
DOL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 7.10 indicates that DOL is not in any danger for bankruptcy at the moment.
The Altman-Z score of DOL (7.10) is better than 100.00% of its industry peers.
The Debt to FCF ratio of DOL is 3.65, which is a good value as it means it would take DOL, 3.65 years of fcf income to pay off all of its debts.
DOL has a Debt to FCF ratio of 3.65. This is amongst the best in the industry. DOL outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 3.56 is on the high side and indicates that DOL has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 3.56, DOL is doing worse than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.56 | ||
| Debt/FCF | 3.65 | ||
| Altman-Z | 7.1 |
ROIC/WACC2.77
WACC7.79%
2.3 Liquidity
A Current Ratio of 1.09 indicates that DOL should not have too much problems paying its short term obligations.
With a Current ratio value of 1.09, DOL is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
DOL has a Quick Ratio of 1.09. This is a bad value and indicates that DOL is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.23, DOL is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.23 |
3. Growth
3.1 Past
DOL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.39%, which is quite good.
The Earnings Per Share has been growing by 18.83% on average over the past years. This is quite good.
DOL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.02%.
The Revenue has been growing by 11.11% on average over the past years. This is quite good.
EPS 1Y (TTM)19.39%
EPS 3Y23.76%
EPS 5Y18.83%
EPS Q2Q%19.39%
Revenue 1Y (TTM)14.02%
Revenue growth 3Y13.98%
Revenue growth 5Y11.11%
Sales Q2Q%22.19%
3.2 Future
The Earnings Per Share is expected to grow by 15.26% on average over the next years. This is quite good.
DOL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.00% yearly.
EPS Next Y13.27%
EPS Next 2Y12.96%
EPS Next 3Y12.92%
EPS Next 5Y15.26%
Revenue Next Year13.1%
Revenue Next 2Y12.53%
Revenue Next 3Y10.59%
Revenue Next 5Y9%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
DOL is valuated quite expensively with a Price/Earnings ratio of 42.59.
Based on the Price/Earnings ratio, DOL is valued a bit more expensive than 66.67% of the companies in the same industry.
DOL is valuated expensively when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 37.46, DOL can be considered very expensive at the moment.
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.
The average S&P500 Price/Forward Earnings ratio is at 23.98. DOL is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.59 | ||
| Fwd PE | 37.46 |
4.2 Price Multiples
66.67% of the companies in the same industry are cheaper than DOL, based on the Enterprise Value to EBITDA ratio.
DOL's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. DOL is more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.99 | ||
| EV/EBITDA | 27.43 |
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.
DOL's earnings are expected to grow with 12.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.21
PEG (5Y)2.26
EPS Next 2Y12.96%
EPS Next 3Y12.92%
5. Dividend
5.1 Amount
DOL has a yearly dividend return of 0.21%, which is pretty low.
DOL's Dividend Yield is slightly below the industry average, which is at 2.81.
Compared to an average S&P500 Dividend Yield of 1.92, DOL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.21% |
5.2 History
On average, the dividend of DOL grows each year by 15.08%, which is quite nice.
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 Years13
Div Non Decr Years13
5.3 Sustainability
8.41% of the earnings are spent on dividend by DOL. This is a low number and sustainable payout ratio.
The dividend of DOL is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP8.41%
EPS Next 2Y12.96%
EPS Next 3Y12.92%
TSX:DOL (1/9/2026, 7:00:00 PM)
199.31
-0.04 (-0.02%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners45.32%
Inst Owner ChangeN/A
Ins Owners3.36%
Ins Owner ChangeN/A
Market Cap54.57B
Revenue(TTM)7.04B
Net Income(TTM)1.31B
Analysts76
Price Target221.48 (11.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.21% |
Yearly Dividend0.35
Dividend Growth(5Y)15.08%
DP8.41%
Div Incr Years13
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.29%
Min EPS beat(2)-0.49%
Max EPS beat(2)5.07%
EPS beat(4)3
Avg EPS beat(4)5.8%
Min EPS beat(4)-0.49%
Max EPS beat(4)12.65%
EPS beat(8)6
Avg EPS beat(8)4.36%
EPS beat(12)10
Avg EPS beat(12)5.2%
EPS beat(16)13
Avg EPS beat(16)4.4%
Revenue beat(2)2
Avg Revenue beat(2)0.46%
Min Revenue beat(2)0.05%
Max Revenue beat(2)0.87%
Revenue beat(4)3
Avg Revenue beat(4)0.26%
Min Revenue beat(4)-0.14%
Max Revenue beat(4)0.87%
Revenue beat(8)4
Avg Revenue beat(8)-0.22%
Revenue beat(12)7
Avg Revenue beat(12)0.67%
Revenue beat(16)10
Avg Revenue beat(16)0.88%
PT rev (1m)5.47%
PT rev (3m)6.58%
EPS NQ rev (1m)1.86%
EPS NQ rev (3m)2.14%
EPS NY rev (1m)1.75%
EPS NY rev (3m)1.7%
Revenue NQ rev (1m)2.22%
Revenue NQ rev (3m)2.32%
Revenue NY rev (1m)1.02%
Revenue NY rev (3m)1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.59 | ||
| Fwd PE | 37.46 | ||
| P/S | 7.76 | ||
| P/FCF | 36.99 | ||
| P/OCF | 31.25 | ||
| P/B | 42.04 | ||
| P/tB | 166.27 | ||
| EV/EBITDA | 27.43 |
EPS(TTM)4.68
EY2.35%
EPS(NY)5.32
Fwd EY2.67%
FCF(TTM)5.39
FCFY2.7%
OCF(TTM)6.38
OCFY3.2%
SpS25.7
BVpS4.74
TBVpS1.2
PEG (NY)3.21
PEG (5Y)2.26
Graham Number22.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.67% | ||
| ROE | 100.76% | ||
| ROCE | 28.75% | ||
| ROIC | 21.54% | ||
| ROICexc | 22.3% | ||
| ROICexgc | 26.74% | ||
| OM | 24.63% | ||
| PM (TTM) | 18.59% | ||
| GM | 45.38% | ||
| FCFM | 20.97% |
ROA(3y)17.95%
ROA(5y)16.71%
ROE(3y)1062.04%
ROE(5y)N/A
ROIC(3y)22.87%
ROIC(5y)23.07%
ROICexc(3y)23.83%
ROICexc(5y)24.62%
ROICexgc(3y)30.27%
ROICexgc(5y)33.53%
ROCE(3y)30.42%
ROCE(5y)30.86%
ROICexgc growth 3Y-5.31%
ROICexgc growth 5Y-7.25%
ROICexc growth 3Y-0.65%
ROICexc growth 5Y-2.67%
OM growth 3Y3.75%
OM growth 5Y1.7%
PM growth 3Y5.97%
PM growth 5Y4.12%
GM growth 3Y0.9%
GM growth 5Y0.68%
F-Score7
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.56 | ||
| Debt/FCF | 3.65 | ||
| Debt/EBITDA | 2.12 | ||
| Cap/Depr | 60.91% | ||
| Cap/Sales | 3.85% | ||
| Interest Coverage | 8.01 | ||
| Cash Conversion | 80.19% | ||
| Profit Quality | 112.78% | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.23 | ||
| Altman-Z | 7.1 |
F-Score7
WACC7.79%
ROIC/WACC2.77
Cap/Depr(3y)61.2%
Cap/Depr(5y)59.87%
Cap/Sales(3y)3.9%
Cap/Sales(5y)3.91%
Profit Quality(3y)110.77%
Profit Quality(5y)119.34%
High Growth Momentum
Growth
EPS 1Y (TTM)19.39%
EPS 3Y23.76%
EPS 5Y18.83%
EPS Q2Q%19.39%
EPS Next Y13.27%
EPS Next 2Y12.96%
EPS Next 3Y12.92%
EPS Next 5Y15.26%
Revenue 1Y (TTM)14.02%
Revenue growth 3Y13.98%
Revenue growth 5Y11.11%
Sales Q2Q%22.19%
Revenue Next Year13.1%
Revenue Next 2Y12.53%
Revenue Next 3Y10.59%
Revenue Next 5Y9%
EBIT growth 1Y14.56%
EBIT growth 3Y18.26%
EBIT growth 5Y13%
EBIT Next Year42.48%
EBIT Next 3Y19.66%
EBIT Next 5Y16.82%
FCF growth 1Y21.98%
FCF growth 3Y15.52%
FCF growth 5Y18.74%
OCF growth 1Y17.92%
OCF growth 3Y15.54%
OCF growth 5Y17.55%
DOLLARAMA INC / DOL.CA 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 1 / 10 to DOLLARAMA INC (DOL.CA). This can be considered as Overvalued.
How profitable is DOLLARAMA INC (DOL.CA) stock?
DOLLARAMA INC (DOL.CA) has a profitability rating of 9 / 10.
What is the valuation of DOLLARAMA INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DOLLARAMA INC (DOL.CA) is 42.59 and the Price/Book (PB) ratio is 42.04.
Can you provide the financial health for DOL stock?
The financial health rating of DOLLARAMA INC (DOL.CA) is 6 / 10.