- Dollarama reported third-quarter sales of C$1.91 billion, which is a 22% year-over-year increase, surpassing estimates of C$1.86 billion.
- The gross margin slightly increased to 44.8% from last year’s 44.7%, although it was slightly below the estimated 44.9%.
- EBITDA amounted to C$612.0 million, marking a 20% increase from the previous year, exceeding the estimated C$578.8 million.
- Earnings per share (EPS) came in at C$1.17, an improvement from C$0.98 the previous year, and above the forecast of C$1.10.
- Net income was reported at C$321.7 million, a 17% increase year-over-year, surpassing the expected C$304.7 million.
- Analyst sentiment includes 10 buy ratings, 6 hold ratings, and 1 sell rating.
Dollarama on Smartkarma
Analyst coverage of Dollarama on Smartkarma reveals a bullish sentiment towards the company. In a recent report by Ξ±SK titled “Primer: Dollarama (DOL CN) – Sep 2025,” the analyst highlights Dollarama as the dominant market leader in the Canadian value retail market. With over 1,500 stores, Dollarama commands a significant market share, benefiting from strong brand recognition and competitive advantages in sourcing and logistics. The company has consistently outperformed financially, showing robust growth in revenue, net income, and earnings per share, driven by new store openings and impressive same-store sales growth.
The report also underscores Dollarama’s strategic growth initiatives, including expanding its Canadian store network, international growth through Dollarcity in Latin America, and the acquisition of The Reject Shop in Australia. These initiatives position Dollarama for continued success and underline its potential for sustained growth in the future. Investors seeking insights into a leading player in the value retail market may find the analysis on Smartkarma informative and valuable for their investment decisions.
A look at Dollarama Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Dollarama Inc. shows a promising long-term outlook. With a strong Growth score of 4, the company is positioned for expansion and development in the coming years. This is complemented by a solid Momentum score of 4, indicating positive market performance. Additionally, Dollarama demonstrates Resilience with a score of 3, showcasing its ability to withstand market challenges. Although the Value and Dividend scores are more moderate at 2, the high scores in Growth and Momentum suggest a potential upward trajectory for Dollarama.
Dollarama Inc. operates as an online marketplace, providing a wide range of products and delivery services to customers in Canada. With its focus on growth and momentum, supported by resilience, Dollarama appears well-positioned to capitalize on market opportunities and drive future success in the online retail sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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