Royal Bank Of Canada Issues Pessimistic Forecast for Dollarama (TSE:DOL) Stock Price

Dollarama (TSE:DOL) had its price target cut by Royal Bank Of Canada from C$225.00 to C$223.00 in a research note issued on Wednesday,BayStreet.CA reports. Royal Bank Of Canada’s target price would suggest a potential upside of 29.22% from the company’s previous close.

A number of other research firms also recently weighed in on DOL. Sanford C. Bernstein raised their price target on Dollarama from C$223.00 to C$232.00 in a research report on Friday, December 12th. National Bank Financial cut their price objective on Dollarama from C$226.00 to C$225.00 and set an “outperform” rating on the stock in a research report on Friday, March 6th. Jefferies Financial Group decreased their price target on shares of Dollarama from C$235.00 to C$200.00 in a research note on Wednesday. TD Securities raised their price objective on Dollarama from C$210.00 to C$235.00 and gave the company a “buy” rating in a research report on Friday, December 12th. Finally, Canadian Imperial Bank of Commerce raised their price objective on Dollarama from C$199.00 to C$212.00 and gave the company a “neutral” rating in a research report on Friday, December 12th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of C$202.92.

Dollarama Stock Performance

TSE:DOL traded up C$3.91 during trading on Wednesday, reaching C$172.57. The company’s stock had a trading volume of 678,619 shares, compared to its average volume of 693,436. The firm has a 50 day moving average of C$192.58 and a 200-day moving average of C$192.11. The company has a debt-to-equity ratio of 415.13, a quick ratio of 0.08 and a current ratio of 1.09. Dollarama has a 12 month low of C$147.00 and a 12 month high of C$209.96. The firm has a market cap of C$47.21 billion, a price-to-earnings ratio of 36.72, a price-to-earnings-growth ratio of 1.93 and a beta of 0.15.

Dollarama (TSE:DOL) last released its quarterly earnings data on Tuesday, March 24th. The company reported C$1.43 EPS for the quarter. Dollarama had a net margin of 18.59% and a return on equity of 99.41%. The business had revenue of C$2.10 billion for the quarter. Research analysts expect that Dollarama will post 5.3295203 EPS for the current fiscal year.

Dollarama News Summary

Here are the key news stories impacting Dollarama this week:

• Positive Sentiment: Strong quarterly profitability — Q4 EPS of C$1.43 and C$2.10B in revenue, with rising profit margins and high ROE, reinforce Dollarama’s cash generation and margin resilience. MarketBeat Earnings
• Positive Sentiment: Higher basket size offset weaker traffic in Q4, showing customer spend per trip rose — supports near‑term earnings despite softer footfall. MarketWatch: 4Q Profit
• Neutral Sentiment: Conference‑call and slide deck available — management detailed results and drivers, useful for assessing whether cost control and assortments can sustain margins under slower top‑line growth. Yahoo Finance: Call Highlights
• Negative Sentiment: Management guided annual sales largely below Street estimates and said global outlooks are “cautious,” which directly pressures growth expectations and future valuation multiples. BNNBloomberg: Forecasts Below Estimates
• Negative Sentiment: Same‑store sales missed expectations, prompting headlines that the stock was pressured after the print — investors worry this signals cooling demand among value shoppers. BNNBloomberg: Same‑Store Sales Miss
• Negative Sentiment: CEO says price increases will be passed to customers only “where absolutely necessary,” signaling management’s reluctance to fully offset cost pressures via pricing — could limit margin upside if input costs rise. Pique News
• Negative Sentiment: Market reaction included an initial sharp drop despite the strong profit print, underscoring that guidance and traffic trends drove the dominant investor response. Blockonomi: Stock Drop Coverage

About Dollarama

Dollarama Inc is a Canada-based company principally engaged in operating discount retail stores. The company provides a broad range of everyday consumer products, general merchandise, and seasonal items, with merchandise at low fixed price points. General merchandise and consumer products jointly account for the majority of the company’s product offerings. The company’s stores are throughout Canada, generally located in convenient locations, such as metropolitan areas, midsize cities, and small towns.