Dollarama (OTCMKTS:DLMAF) Shares Gap Up Following Strong Earnings

Dollarama Inc. (OTCMKTS:DLMAF)’s share price gapped up prior to trading on Thursday following a better than expected earnings announcement. The stock had previously closed at $127.8595, but opened at $135.47. Dollarama shares last traded at $137.4525, with a volume of 450 shares traded.

The company reported $999.00 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.73 by $998.27. Dollarama had a net margin of 18.05% and a return on equity of 94.85%.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on the stock. UBS Group raised shares of Dollarama to a “hold” rating in a research note on Wednesday, March 25th. Wells Fargo & Company upgraded shares of Dollarama to a “hold” rating in a research note on Tuesday, March 24th. Zacks Research raised Dollarama to a “hold” rating in a research report on Monday, March 16th. Royal Bank Of Canada upgraded Dollarama to a “moderate buy” rating in a research note on Monday, March 16th. Finally, BMO Capital Markets upgraded Dollarama to a “strong-buy” rating in a report on Tuesday, March 24th. Seven equities research analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Buy”.

Dollarama Trading Up 6.5%

The firm has a market capitalization of $37.26 billion and a price-to-earnings ratio of 73.50. The company has a debt-to-equity ratio of 3.17, a quick ratio of 0.31 and a current ratio of 1.13. The company has a 50-day moving average price of $126.48 and a 200-day moving average price of $136.62.

Dollarama Company Profile

Dollarama Inc operates as a leading Canadian dollar store chain, offering a variety of everyday consumer goods at fixed price points. The company’s retail format emphasizes value and convenience, providing a one-stop shopping experience for cost-conscious customers. Merchandise spans multiple categories, including household items, food and consumables, health and beauty products, stationery, seasonal and party supplies, and toys.

Founded in 1992 by Laurent “Larry” Rossy, Dollarama opened its first location in Montreal, Quebec.