DOLLARAMA INC (DOL.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:DOL - CA25675T1075 - Common Stock
196.24 CAD
-4.63 (-2.3%)
We assign a fundamental rating of 6 out of 10 to DOL. DOL was compared to 3 industry peers in the Broadline Retail industry. DOL has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, DOL is valued expensive at the moment.
1. Profitability
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.
1.2 Ratios
- DOL's Return On Assets of 17.67% is amongst the best of the industry. DOL outperforms 100.00% of its industry peers.
- Looking at the Return On Equity, with a value of 100.76%, DOL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- The Return On Invested Capital of DOL (21.54%) is better than 100.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years 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
- DOL has a better Profit Margin (18.59%) than 100.00% of its industry peers.
- DOL's Profit Margin has improved in the last couple of years.
- DOL has a better Operating Margin (24.63%) than 100.00% of its industry peers.
- In the last couple of years the Operating Margin of DOL has grown nicely.
- DOL has a Gross Margin of 45.38%. This is amongst the best in the industry. DOL outperforms 100.00% of its industry peers.
- In the last couple of years the Gross Margin of DOL has remained more or less at the same level.
| 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
- DOL has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- DOL has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for DOL has been reduced compared to 5 years ago.
- DOL has a better debt/assets ratio than last year.
2.2 Solvency
- DOL has an Altman-Z score of 7.06. This indicates that DOL is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 7.06, DOL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- 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.
- With an excellent Debt to FCF ratio value of 3.65, DOL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- A Debt/Equity ratio of 3.56 is on the high side and indicates that DOL has dependencies on debt financing.
- DOL's Debt to Equity ratio of 3.56 is on the low side compared to the rest of the industry. DOL is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.56 | ||
| Debt/FCF | 3.65 | ||
| Altman-Z | 7.06 |
ROIC/WACC2.77
WACC7.77%
2.3 Liquidity
- DOL has a Current Ratio of 1.09. This is a normal value and indicates that DOL is financially healthy and should not expect problems in meeting its short term obligations.
- DOL has a Current ratio of 1.09. This is in the lower half of the industry: DOL underperforms 66.67% of its industry peers.
- A Quick Ratio of 0.23 indicates that DOL may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.23, DOL is doing worse than 66.67% of the companies in the same industry.
| 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
- Based on estimates for the next years, DOL will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.26% on average per year.
- 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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 41.93, which means the current valuation is very expensive for DOL.
- Based on the Price/Earnings ratio, DOL is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
- Compared to an average S&P500 Price/Earnings ratio of 27.47, DOL is valued quite expensively.
- Based on the Price/Forward Earnings ratio of 36.88, the valuation of DOL can be described as expensive.
- DOL's Price/Forward Earnings 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.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. DOL is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.93 | ||
| Fwd PE | 36.88 |
4.2 Price Multiples
- DOL's Enterprise Value to EBITDA 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.
- 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 | 36.42 | ||
| EV/EBITDA | 27.28 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of DOL 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)3.16
PEG (5Y)2.23
EPS Next 2Y12.96%
EPS Next 3Y12.92%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.21%, DOL is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 2.81, DOL is paying slightly less dividend.
- With a Dividend Yield of 0.21, DOL pays less dividend than the S&P500 average, which is at 1.89.
| 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 (1/16/2026, 7:00:00 PM)
196.24
-4.63 (-2.3%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)12-11 2025-12-11/bmo
Earnings (Next)04-01 2026-04-01
Inst Owners45.32%
Inst Owner ChangeN/A
Ins Owners3.36%
Ins Owner ChangeN/A
Market Cap53.73B
Revenue(TTM)7.04B
Net Income(TTM)1.31B
Analysts76
Price Target221.48 (12.86%)
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-Date01-09 2026-01-09 (0.1058)
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 | 41.93 | ||
| Fwd PE | 36.88 | ||
| P/S | 7.64 | ||
| P/FCF | 36.42 | ||
| P/OCF | 30.77 | ||
| P/B | 41.39 | ||
| P/tB | 163.71 | ||
| EV/EBITDA | 27.28 |
EPS(TTM)4.68
EY2.38%
EPS(NY)5.32
Fwd EY2.71%
FCF(TTM)5.39
FCFY2.75%
OCF(TTM)6.38
OCFY3.25%
SpS25.7
BVpS4.74
TBVpS1.2
PEG (NY)3.16
PEG (5Y)2.23
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 | 7.06 |
F-Score7
WACC7.77%
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 41.93 and the Price/Book (PB) ratio is 41.39.
Can you provide the financial health for DOL stock?
The financial health rating of DOLLARAMA INC (DOL.CA) is 6 / 10.