Dollarama is a discount stores business based in Canada. Dollarama stocks (DOL.TO) are listed on the TO and all prices are listed in Canadian Dollars. Its last market close was C$56.86 – an increase of 2.25% over the previous week. Dollarama employs 0 staff and has a trailing 12-month revenue of around C$4.2 billion.
How to buy Dollarama stock in Canada
- Choose a platform. If you're a beginner, our stock trading table below can help you choose.
- Open your account. You'll need your ID, bank details and national insurance number.
- Confirm your payment details. You'll need to fund your account with a bank transfer, debit card or credit card.
- Search the platform for stock code: DOL in this case.
- Research Dollarama stocks. The platform should provide the latest information available.
- Buy your Dollarama stocks. It's that simple.
Is it a good time to buy Dollarama stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
What's in this guide?
- Can I buy shares in Dollarama?
- Has coronavirus impacted Dollarama shares?
- Dollarama shares summary
- Compare share dealing platforms
- Is Dollarama stock a buy or sell?
- Dollarama performance over time
- Can I short Dollarama shares?
- Is Dollarama suitable for ethical investing?
- Are Dollarama shares over-valued?
- Dollarama's financials
- How volatile are Dollarama shares?
- Does Dollarama pay a dividend?
- Have Dollarama shares ever split?
- Other common questions
How has Coronavirus impacted Dollarama's stock price?
Since the stock market crash in March caused by coronavirus, Dollarama's stock price has had significant positive movement.
Its last market close was C$57.22, which is 29.87% up on its pre-crash value of C$40.13 and 64.90% up on the lowest point reached during the March crash when the stocks fell as low as C$34.7.
If you had bought C$1,000 worth of Dollarama stocks at the start of February 2020, those stocks would have been worth C$792.66 at the bottom of the March crash, and if you held on to them, then as of the last market close they'd be worth C$1,279.44.
Dollarama stock priceUse our graph to track the performance of DOL stocks over time.
Dollarama stocks at a glance
|Latest market close||C$57.22|
|52-week range||C$45.2999 - C$60.87|
|50-day moving average||C$57.867|
|200-day moving average||C$55.7202|
|Wall St. target price||C$62.43|
|Dividend yield||C$0.198 (0.35%)|
|Earnings per share (TTM)||C$1.921|
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Note: The dollar amounts in the table below are in Canadian dollars.
Dollarama price performance over time
|1 week (2021-09-17)||2.25%|
|1 month (2021-08-25)||-2.64%|
|3 months (2021-06-25)||0.72%|
|6 months (2021-03-25)||10.89%|
|1 year (2020-09-25)||13.02%|
|2 years (2019-09-25)||20.59%|
|3 years (2018-09-25)||38.25%|
|5 years (2016-09-23)||-43.93%|
Is Dollarama under- or over-valued?
Valuing Dollarama stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Dollarama's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Dollarama's P/E ratio
Dollarama's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 29x. In other words, Dollarama stocks trade at around 29x recent earnings.
Dollarama's PEG ratio
Dollarama's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 1.86. A low ratio can be interpreted as meaning the stocks offer better value, while a higher ratio can be interpreted as meaning the stocks offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Dollarama's future profitability. By accounting for growth, it could also help you if you're comparing the stock prices of multiple high-growth companies.
Dollarama's EBITDA (earnings before interest, taxes, depreciation and amortisation) is CADC$938.4 million.
The EBITDA is a measure of a Dollarama's overall financial performance and is widely used to measure a its profitability.
|Revenue TTM||CADC$4.2 billion|
|Operating margin TTM||20.68%|
|Gross profit TTM||CADC$1.9 billion|
|Return on assets TTM||13.7%|
|Return on equity TTM||760.6%|
|Market capitalisation||CADC$16.9 billion|
TTM: trailing 12 months
How to short and sell Dollarama stocks
- Create a CFD or spread betting account.
- Search for the stock code. E.g. "DOL.TO"
- Choose your position size.
- Select "sell" rather than "buy".
- Confirm your position and keep tabs on it. You may wish to set limits on your position.
There are currently 2.9 million Dollarama stocks held short by investors – that's known as Dollarama's "short interest". This figure is 4.7% down from 3.0 million last month.
There are a few different ways that this level of interest in shorting Dollarama stocks can be evaluated.
Dollarama's "short interest ratio" (SIR)
Dollarama's "short interest ratio" (SIR) is the quantity of Dollarama stocks currently shorted divided by the average quantity of Dollarama stocks traded daily (recently around 446758.34633385). Dollarama's SIR currently stands at 6.41. In other words for every 100,000 Dollarama stocks traded daily on the market, roughly 6410 stocks are currently held short.
However Dollarama's short interest can also be evaluated against the total number of Dollarama stocks, or, against the total number of tradable Dollarama stocks (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Dollarama's short interest could be expressed as 0.01% of the outstanding stocks (for every 100,000 Dollarama stocks in existence, roughly 10 stocks are currently held short) or 0.0097% of the tradable stocks (for every 100,000 tradable Dollarama stocks, roughly 10 stocks are currently held short).
A SIR below 10% would generally be considered to indicate a fairly optimistic outlook for the stock price, with fewer people currently willing to bet against Dollarama.
Find out more about how you can short Dollarama stock.
Dollarama's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Dollarama.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Dollarama's total ESG risk score
Total ESG risk: 19.24
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Dollarama's overall score of 19.24 (as at 01/01/2019) is excellent – landing it in it in the 13rd percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like Dollarama is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Dollarama's environmental score
Environmental score: 6.05/100
Dollarama's environmental score of 6.05 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Dollarama is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
Dollarama's social score
Social score: 8.58/100
Dollarama's social score of 8.58 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Dollarama is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
Dollarama's governance score
Governance score: 9.61/100
Dollarama's governance score puts it squarely in the 5th percentile of companies rated in the same sector. That could suggest that Dollarama is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Dollarama's controversy score
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. Dollarama scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Dollarama has, for the most part, managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
|Total ESG score||19.24|
|Total ESG percentile||12.54|
|Environmental score percentile||5|
|Social score percentile||5|
|Governance score percentile||5|
|Level of controversy||2|
Dollarama stock dividends
Dividend payout ratio: 9.98% of net profits
Recently Dollarama has paid out, on average, around 9.98% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 0.36% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Dollarama shareholders could enjoy a 0.36% return on their shares, in the form of dividend payments. In Dollarama's case, that would currently equate to about C$0.198 per share.
While Dollarama's payout ratio might seem low, this can signify that Dollarama is investing more in its future growth.
Dollarama's most recent dividend payout was on 5 November 2021. The latest dividend was paid out to all shareholders who bought their stocks by 7 October 2021 (the "ex-dividend date").
Have Dollarama stocks ever split?
Dollarama stocks were split on a 3:1 basis on 20 June 2018. So if you had owned 1 share the day before before the split, the next day you'd have owned 3 shares. This wouldn't directly have changed the overall worth of your Dollarama stocks – just the quantity. However, indirectly, the new 66.7% lower stock price could have impacted the market appetite for Dollarama stocks which in turn could have impacted Dollarama's stock price.
Dollarama stock price volatility
Over the last 12 months, Dollarama's stocks have ranged in value from as little as C$45.2999 up to C$60.87. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a stocks volatility in relation to the market. The market (TO average) beta is 1, while Dollarama's is 0.8765. This would suggest that Dollarama's stocks are less volatile than average (for this exchange).
Dollarama Inc. operates a chain of dollar stores in Canada. Its stores offer general merchandise, consumables, and seasonal items. The company also offers products online. As of January 31, 2021, it operated 1,355 stores. The company was formerly known as Dollarama Capital Corporation and changed its name to Dollarama Inc. in September 2009. Dollarama Inc. was founded in 1992 and is headquartered in Montreal, Canada.
Dollarama in the news
Capital Allocation Trends At Dollarama (TSE:DOL) Aren't Ideal
Dollarama : Investor Presentation – Q2-FY2022
Dollarama Reports Fiscal 2022 Second Quarter Results
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