DOLLARAMA INC (DOL.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:DOL - CA25675T1075 - Common Stock
200.12 CAD
-1.96 (-0.97%)
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 scores excellent on profitability, but 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.
- DOL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 17.67%, DOL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- The Return On Equity of DOL (100.76%) is better than 100.00% of its industry peers.
- DOL's Return On Invested Capital of 21.54% is amongst the best of the industry. DOL outperforms 100.00% of its industry peers.
- DOL had an Average Return On Invested Capital over the past 3 years of 22.87%. This 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 Profit Margin of 18.59%. This is amongst the best in the industry. DOL outperforms 100.00% of its industry peers.
- DOL's Profit Margin has improved in the last couple of years.
- The Operating Margin of DOL (24.63%) is better than 100.00% of its industry peers.
- In the last couple of years the Operating Margin of DOL has grown nicely.
- The Gross Margin of DOL (45.38%) is better than 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
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so DOL is creating value.
- DOL has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, DOL has less shares outstanding
- Compared to 1 year ago, DOL has an improved debt to assets ratio.
2.2 Solvency
- DOL has an Altman-Z score of 7.12. This indicates that DOL is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 7.12, 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.
- Looking at the Debt to FCF ratio, with a value of 3.65, DOL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- DOL has a Debt/Equity ratio of 3.56. This is a high value indicating a heavy dependency on external financing.
- DOL has a worse Debt to Equity ratio (3.56) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.56 | ||
| Debt/FCF | 3.65 | ||
| Altman-Z | 7.12 |
ROIC/WACC2.77
WACC7.78%
2.3 Liquidity
- A Current Ratio of 1.09 indicates that DOL should not have too much problems paying its short term obligations.
- DOL has a worse Current ratio (1.09) than 66.67% of its industry peers.
- 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.
- DOL's Quick ratio of 0.23 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 | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.23 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 19.39% over the past year.
- Measured over the past years, DOL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.83% on average per year.
- DOL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.02%.
- DOL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.11% yearly.
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.
- 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 42.76, which means the current valuation is very expensive for DOL.
- DOL's Price/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.
- When comparing the Price/Earnings ratio of DOL to the average of the S&P500 Index (27.30), we can say DOL is valued expensively.
- Based on the Price/Forward Earnings ratio of 37.61, 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.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.04, DOL is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.76 | ||
| Fwd PE | 37.61 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DOL is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
- 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 | 37.14 | ||
| EV/EBITDA | 27.54 |
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.
- A more expensive valuation may be justified as DOL's earnings are expected to grow with 12.92% in the coming years.
PEG (NY)3.22
PEG (5Y)2.27
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.
- DOL's Dividend Yield is slightly below the industry average, which is at 2.81.
- With a Dividend Yield of 0.21, DOL pays less dividend than the S&P500 average, which is at 1.92.
| 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 (1/13/2026, 7:00:00 PM)
200.12
-1.96 (-0.97%)
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 Cap54.79B
Revenue(TTM)7.04B
Net Income(TTM)1.31B
Analysts76
Price Target221.48 (10.67%)
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 | 42.76 | ||
| Fwd PE | 37.61 | ||
| P/S | 7.79 | ||
| P/FCF | 37.14 | ||
| P/OCF | 31.38 | ||
| P/B | 42.21 | ||
| P/tB | 166.94 | ||
| EV/EBITDA | 27.54 |
EPS(TTM)4.68
EY2.34%
EPS(NY)5.32
Fwd EY2.66%
FCF(TTM)5.39
FCFY2.69%
OCF(TTM)6.38
OCFY3.19%
SpS25.7
BVpS4.74
TBVpS1.2
PEG (NY)3.22
PEG (5Y)2.27
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 | 7.12 |
F-Score7
WACC7.78%
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 42.76 and the Price/Book (PB) ratio is 42.21.
Can you provide the financial health for DOL stock?
The financial health rating of DOLLARAMA INC (DOL.CA) is 6 / 10.