Added to YB: 2024-06-05
Pitch date: 2024-06-05
DOL.TO [bullish]
Dollarama Inc.
+57.91%
current return
Author Info
Company Info
Dollarama Inc. operates a chain of dollar stores in Canada. Its stores offer general merchandise, consumables, and seasonal products.
Market Cap
CAD 38.7B
Pitch Price
CAD 126.54
Price Target
N/A
Dividend
0.26%
EV/EBITDA
21.65
P/E
35.57
EV/Sales
6.97
Sector
Broadline Retail
Category
growth
Dollarama - The Dominant Dollar Store in Canada
DOL.TO: Dominant Canadian dollar store w/ 1541 stores, 3x more than next 4 competitors. EPS 10x since '09 IPO from 4x rev growth, 60% op margin increase, 58% buybacks. Gaining share from other retailers. E-commerce resistant due to low cost goods. Historically high 30x PE, fairly valued for fantastic co. Sees 10%+ sales growth (5-7% SSS, 4% new stores), 3-4% buybacks, 15% EPS growth for 5yrs. Worth 25x+ PE. Holds as #6 position, would add at 25x PE.
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