# Dollarama (DOL.TO)

Canonical: https://gigainvestors.com/s/DOL.TO

Analysis as of: 2026-10-16T07:34:07.645Z. Financial observations: FY2009–FY2026.

Listing currency: CAD. Reporting currency: CAD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: CAD 203.14 per share; close as of 2026-10-15.

Estimated value: low CAD 45.42 per share, central CAD 64.36 per share, high CAD 75.40 per share. Buy at or below the central value CAD 64.36 per share. Valuation as of 2026-10-16T07:34:07.645Z; scenarios are not confidence intervals.

Expected annual return: 5.3% at the stated quote. About 5.3% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CA 10-year bond 3.8% + 4 points).

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.06×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.22×

- FY2018: 0.23×

- FY2019: 0.24×

- FY2020: 0.23×

- FY2021: 0.21×

- FY2022: 0.23×

- FY2023: 0.24×

- FY2024: 0.25×

- FY2025: 0.27×

- FY2026: 0.24×

### moat: fail

- Recent gross margin fell 8.3pp below the typical margin (limit 4pp)

- ROIC, median of available years: 26.3%

- ROIC, second-lowest year: 24.2%

- Typical minus recent gross margin: 8.3 pp

- Typical gross margin (annual median): 47.2%

- Recent gross margin (lower of latest and 3-year median): 38.9%

- Years with nonpositive capital: 0

- Capital spending / revenue: 3.9%

- ROIC including acquisitions, ten-year median: 14.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 73.5%

- FY2018: 30.0%

- FY2019: 28.8%

- FY2020: 25.6%

- FY2021: 24.2%

- FY2022: 26.6%

- FY2023: 26.0%

- FY2024: 30.5%

- FY2025: 25.6%

- FY2026: 22.4%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.68×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CAD 3.4B

- Net income, five-year total: CAD 5.0B

- Return on incremental invested capital: 164.9%

- Working capital / revenue, annual change: 0.0 pp

- Working capital / revenue, change between three-year averages: -0.3 pp

- Working capital / revenue, final three-year average: 14.1%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 0.48×

- FY2023: 0.73×

- FY2024: 0.68×

- FY2025: 0.73×

- FY2026: 0.71×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- potential debt-funded buybacks (informational)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 30.0% vs 25.6%

- Per-share earnings: 1.31 to 4.23 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -2.7%

- Ordinary dilution, 5-year annual growth: -2.1%

- Market cap gain: CAD 39B

- Cumulative retained earnings: CAD 472M

- Diluted shares, 10-year annual growth: -2.7%

- Diluted shares, 5-year annual growth: -2.1%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: 15.8%

- Per-share value change: CAD 2.93

- Per-share value, starting three-year median: CAD 1.31

- Per-share value, ending three-year median: CAD 4.23

- Buybacks concentrated in cheaper years (correlation): 0.15

- Average buyback yield: 3.4%

- Buyback history: 10 years

- Debt-funded buybacks: Yes

- Acquisition spending: CAD 115M

- Cumulative net income, 10 years: CAD 7.6B

- ROIC, first three-year median: 30.0%

- ROIC, last three-year median: 25.6%

Chart: Earnings per share; fiscal year observations.

- FY2017: CAD 1.31

- FY2018: CAD 1.58

- FY2019: CAD 1.73

- FY2020: CAD 1.80

- FY2021: CAD 1.87

- FY2022: CAD 2.29

- FY2023: CAD 2.83

- FY2024: CAD 3.58

- FY2025: CAD 4.23

- FY2026: CAD 4.82

### accounting: pass

- Sloan accruals: -6.0%

- Receivables to sales index (DSRI): 0.34×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.9%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.34×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.67×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -3.2%

- FY2018: -6.1%

- FY2019: -6.3%

- FY2020: -4.5%

- FY2021: -7.7%

- FY2022: -12.2%

- FY2023: -1.4%

- FY2024: -9.9%

- FY2025: -7.3%

- FY2026: -6.0%

## Holders

## Price story

Price needs cash profits to grow 21.5% a year for ten years · "Dollarama posts 22% rise in sales and hikes its forecast" (ca.finance.yahoo.com, Dec 2025) · sales +13.1%

Story as of 2026-10-16T09:59:59.286Z; price observation 2026-10-15.

Price needs cash profits to grow 21.5% a year for ten years

- 2025-06-11: Dollarama beats quarterly estimates as consumers seek cheaper groceries ([ca.finance.yahoo.com](https://ca.finance.yahoo.com/news/dollarama-beats-quarterly-estimates-consumers-113607148.html))

- 2025-08-27: Dollarama Sees Slower Growth as Consumers Turn Cautious ([finance.yahoo.com](https://finance.yahoo.com/m/88fdd02a-3775-3094-a6f0-3fa3adb63d68/dollarama-sees-slower-growth.html))

- 2025-12-11: Dollarama posts 22% rise in sales and hikes its forecast ([ca.finance.yahoo.com](https://ca.finance.yahoo.com/news/dollarama-posts-22-rise-sales-143349464.html))

- 2026-03-24: Canada's Dollarama forecasts annual sales largely below estimates ([ca.finance.yahoo.com](https://ca.finance.yahoo.com/news/canadas-dollarama-forecasts-annual-sales-110856392.html))

- 2026-06-11: Dollarama Q1 Net Earnings, Sales Rise; Shares up 8.8% ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/dollarama-q1-net-earnings-sales-164645668.html))

- 2026-09-17: Dollarama raises fiscal 2027 guidance after Q2 sales growth ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/dollarama-raises-fiscal-2027-guidance-111243744.html))

### Sales · FY2025–2026

sales +13.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: CAD 3.0B 

- FY2018: CAD 3.3B 

- FY2019: CAD 3.5B 

- FY2020: CAD 3.8B 

- FY2021: CAD 4.0B 

- FY2022: CAD 4.3B 

- FY2023: CAD 5.1B 

- FY2024: CAD 5.9B 

- FY2025: CAD 6.4B 

- FY2026: CAD 7.3B 

### Gross margin · FY2026

gross margin 38.9%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: 48.6% 

- FY2018: 49.0% 

- FY2019: 48.2% 

- FY2020: 47.1% 

- FY2021: 47.5% 

- FY2022: 47.3% 

- FY2023: 46.5% 

- FY2024: 44.5% 

- FY2025: 45.1% 

- FY2026: 38.9% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in discount stores; annual sales are CAD 7.3 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2026: revenue 7255754000; grossProfit 2820925000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); DOL.TO: Dollarama Inc. operates a chain of stores and provides related logistical and administrative support activities. Its stores offer general merchandise, consumables, and seasonal products. The company operates in Canada, Latin America, Colombia, Peru, Australia, and Mexico. It also sells its products through online store. 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 Mount Royal, Canada.

### Why customers stay

Margins ranged from 38.9% to 45.1% during 2024–26; it earns 26.3% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2024: grossProfit / revenue = 44.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2025: grossProfit / revenue = 45.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2026: grossProfit / revenue = 38.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); 10-year return on capital observations [[2017,0.7348032771633736],[2018,0.3001303870007752],[2019,0.28775912502673784],[2020,0.25618717584935524],[2021,0.2415357700353729],[2022,0.265601941139162],[2023,0.26021267782766344],[2024,0.3046204544328508],[2025,0.25602408804202026],[2026,0.22425024320077247]]; median 0.26290730948341273. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 47% gross margin through 2022 cost inflation.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); Gross margin observations: [[2021,0.4747896248105251],[2022,0.473119389409852],[2023,0.46528270497142044]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back CAD 864.4 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2017: growth capex 39122564.34945059; upkeep 127091435.65054941; owner earnings 366752564.3494506. Growth capex / owner earnings = 0.10667291289113844.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2018: growth capex 40539810.723994285; upkeep 91380189.27600572; owner earnings 485947810.72399426. Growth capex / owner earnings = 0.08342420694023837.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2019: growth capex 40329026.76847434; upkeep 140477973.23152566; owner earnings 472246226.76847434. Growth capex / owner earnings = 0.08539830385610733.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2020: growth capex 52453679.91924667; upkeep 88168320.08075333; owner earnings 234495079.91924667. Growth capex / owner earnings = 0.2236877632456519.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2021: growth capex 70885408.88104348; upkeep 96951591.11895652; owner earnings 224620008.8810435. Growth capex / owner earnings = 0.31557922748807155.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2022: growth capex 75861000; upkeep 83651000; owner earnings 317683400. Growth capex / owner earnings = 0.23879434682454292.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2023: growth capex 0; upkeep 156827000; owner earnings 584679400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2024: growth capex 0; upkeep 278764000; owner earnings 683295200. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2025: growth capex 0; upkeep 243450000; owner earnings 850850600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2026: growth capex 0; upkeep 279335000; owner earnings 936027400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); Dividend observations: [[2017,46936000],[2018,48932000],[2019,51297000],[2020,54144000],[2021,54770000],[2022,60464000],[2023,62975000],[2024,76131000],[2025,97244000],[2026,113196000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); FY2026: cash repurchases 864384000 CAD.

### Are managers owners

Insiders own 2.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); DOL.TO SharesStats.PercentInsiders = 2.062 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 21.5% yearly over ten years; actual growth was 12.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:07.645Z); Ten-year compound average after fade. Initial solved rate 0.2996957124574603. Price 203.14; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share 1.0278417491977916 → FY2026 3.4479830258112285. Closing-price date 2026-10-15.

## Monthly share-price history (CAD per share)

- 2016-10: CAD 33.41 per share

- 2016-11: CAD 33.30 per share

- 2016-12: CAD 32.79 per share

- 2017-01: CAD 32.85 per share

- 2017-02: CAD 34.09 per share

- 2017-03: CAD 36.74 per share

- 2017-04: CAD 39.83 per share

- 2017-05: CAD 41.71 per share

- 2017-06: CAD 41.30 per share

- 2017-07: CAD 40.62 per share

- 2017-08: CAD 41.02 per share

- 2017-09: CAD 45.51 per share

- 2017-10: CAD 47.87 per share

- 2017-11: CAD 52.57 per share

- 2017-12: CAD 52.35 per share

- 2018-01: CAD 56.06 per share

- 2018-02: CAD 49.78 per share

- 2018-03: CAD 52.19 per share

- 2018-04: CAD 49.27 per share

- 2018-05: CAD 49.88 per share

- 2018-06: CAD 50.96 per share

- 2018-07: CAD 47.00 per share

- 2018-08: CAD 49.35 per share

- 2018-09: CAD 40.69 per share

- 2018-10: CAD 36.41 per share

- 2018-11: CAD 35.12 per share

- 2018-12: CAD 32.47 per share

- 2019-01: CAD 35.37 per share

- 2019-02: CAD 35.62 per share

- 2019-03: CAD 35.65 per share

- 2019-04: CAD 40.24 per share

- 2019-05: CAD 42.69 per share

- 2019-06: CAD 46.07 per share

- 2019-07: CAD 48.90 per share

- 2019-08: CAD 50.95 per share

- 2019-09: CAD 47.43 per share

- 2019-10: CAD 44.31 per share

- 2019-11: CAD 48.59 per share

- 2019-12: CAD 44.63 per share

- 2020-01: CAD 45.09 per share

- 2020-02: CAD 39.46 per share

- 2020-03: CAD 39.04 per share

- 2020-04: CAD 43.66 per share

- 2020-05: CAD 46.68 per share

- 2020-06: CAD 45.16 per share

- 2020-07: CAD 48.98 per share

- 2020-08: CAD 50.92 per share

- 2020-09: CAD 51.04 per share

- 2020-10: CAD 45.88 per share

- 2020-11: CAD 53.16 per share

- 2020-12: CAD 51.88 per share

- 2021-01: CAD 49.99 per share

- 2021-02: CAD 48.43 per share

- 2021-03: CAD 55.52 per share

- 2021-04: CAD 57.28 per share

- 2021-05: CAD 52.50 per share

- 2021-06: CAD 56.74 per share

- 2021-07: CAD 58.75 per share

- 2021-08: CAD 57.53 per share

- 2021-09: CAD 54.94 per share

- 2021-10: CAD 55.94 per share

- 2021-11: CAD 55.18 per share

- 2021-12: CAD 63.31 per share

- 2022-01: CAD 65.59 per share

- 2022-02: CAD 65.50 per share

- 2022-03: CAD 70.90 per share

- 2022-04: CAD 71.42 per share

- 2022-05: CAD 73.36 per share

- 2022-06: CAD 74.12 per share

- 2022-07: CAD 77.61 per share

- 2022-08: CAD 79.98 per share

- 2022-09: CAD 79.30 per share

- 2022-10: CAD 80.95 per share

- 2022-11: CAD 82.33 per share

- 2022-12: CAD 79.19 per share

- 2023-01: CAD 79.57 per share

- 2023-02: CAD 78.82 per share

- 2023-03: CAD 80.77 per share

- 2023-04: CAD 83.92 per share

- 2023-05: CAD 82.58 per share

- 2023-06: CAD 89.72 per share

- 2023-07: CAD 86.86 per share

- 2023-08: CAD 87.61 per share

- 2023-09: CAD 93.58 per share

- 2023-10: CAD 94.70 per share

- 2023-11: CAD 98.55 per share

- 2023-12: CAD 95.49 per share

- 2024-01: CAD 98.67 per share

- 2024-02: CAD 104.98 per share

- 2024-03: CAD 103.19 per share

- 2024-04: CAD 114.84 per share

- 2024-05: CAD 129.00 per share

- 2024-06: CAD 124.91 per share

- 2024-07: CAD 129.43 per share

- 2024-08: CAD 136.50 per share

- 2024-09: CAD 138.54 per share

- 2024-10: CAD 144.89 per share

- 2024-11: CAD 145.84 per share

- 2024-12: CAD 140.28 per share

- 2025-01: CAD 137.53 per share

- 2025-02: CAD 150.83 per share

- 2025-03: CAD 153.88 per share

- 2025-04: CAD 170.10 per share

- 2025-05: CAD 176.50 per share

- 2025-06: CAD 191.87 per share

- 2025-07: CAD 189.38 per share

- 2025-08: CAD 187.26 per share

- 2025-09: CAD 183.54 per share

- 2025-10: CAD 182.31 per share

- 2025-11: CAD 199.95 per share

- 2025-12: CAD 205.14 per share

- 2026-01: CAD 183.50 per share

- 2026-02: CAD 200.82 per share

- 2026-03: CAD 170.73 per share

- 2026-04: CAD 173.60 per share

- 2026-05: CAD 176.30 per share

- 2026-06: CAD 187.62 per share

- 2026-07: CAD 190.97 per share

- 2026-08: CAD 175.07 per share

- 2026-09: CAD 184.00 per share

- 2026-10: CAD 192.96 per share

## Annual estimated value (CAD per share)

- FY2017: low CAD 11.16 per share, central CAD 12.69 per share, high CAD 14.74 per share

- FY2018: low CAD 13.43 per share, central CAD 15.29 per share, high CAD 17.75 per share

- FY2019: low CAD 20.20 per share, central CAD 28.86 per share, high CAD 33.90 per share

- FY2020: low CAD 21.95 per share, central CAD 31.34 per share, high CAD 36.80 per share

- FY2021: low CAD 23.58 per share, central CAD 33.17 per share, high CAD 38.76 per share

- FY2022: low CAD 14.91 per share, central CAD 21.30 per share, high CAD 25.02 per share

- FY2023: low CAD 17.77 per share, central CAD 25.38 per share, high CAD 29.82 per share

- FY2024: low CAD 21.42 per share, central CAD 30.30 per share, high CAD 35.47 per share

- FY2025: low CAD 36.55 per share, central CAD 52.21 per share, high CAD 61.33 per share

- FY2026: low CAD 43.00 per share, central CAD 61.14 per share, high CAD 71.70 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations