Dollarama (TSE:DOL) Stock Crosses Above 200 Day Moving Average - Should You Sell?

Key Points

• Dollarama Inc. shares crossed above their 200-day moving average, last trading at C$192.56 with a significant volume of 248,004 shares.
• Various analysts boosted their price targets for Dollarama, with changes including an increase to C$215.00 by BMO Capital Markets and C$223.00 by Jefferies Financial Group, reflecting strong market confidence.
• Dollarama announced a quarterly dividend of $0.1058 per share, with an annualized yield of 0.2% and a low payout ratio of 9.42%.

Dollarama Inc. (TSE:DOL - Get Free Report) crossed above its 200-day moving average during trading on Monday . The stock has a 200-day moving average of C$167.73 and traded as high as C$193.22. Dollarama shares last traded at C$192.56, with a volume of 248,004 shares trading hands.

Wall Street Analyst Weigh In

A number of research analysts have commented on DOL shares. BMO Capital Markets increased their price target on shares of Dollarama from C$170.00 to C$215.00 in a research report on Thursday, June 12th. TD Securities increased their price target on shares of Dollarama from C$185.00 to C$210.00 and gave the company a "buy" rating in a research report on Thursday, June 12th. Royal Bank Of Canada increased their price target on shares of Dollarama from C$190.00 to C$207.00 in a research report on Thursday, June 12th. Jefferies Financial Group increased their price target on shares of Dollarama from C$180.00 to C$223.00 in a research report on Thursday, June 12th. Finally, UBS Group increased their price target on shares of Dollarama from C$165.00 to C$196.00 in a research report on Thursday, June 12th. Four research analysts have rated the stock with a hold rating, six have given a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of C$186.36.

Dollarama Price Performance

The stock has a market cap of C$53.21 billion, a P/E ratio of 49.04, a PEG ratio of 1.93 and a beta of 0.56. The firm's fifty day moving average price is C$188.63 and its 200-day moving average price is C$167.73. The company has a quick ratio of 0.08, a current ratio of 1.43 and a debt-to-equity ratio of 369.36.

Dollarama Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 8th. Shareholders of record on Friday, August 8th were given a dividend of $0.1058 per share. This represents a $0.42 dividend on an annualized basis and a yield of 0.2%. The ex-dividend date of this dividend was Friday, July 11th. Dollarama's payout ratio is presently 9.42%.

Insiders Place Their Bets

In other Dollarama news, Director John Assaly sold 9,089 shares of the business's stock in a transaction on Thursday, June 19th. The shares were sold at an average price of C$189.28, for a total transaction of C$1,720,392.28. Following the transaction, the director directly owned 973 shares of the company's stock, valued at approximately C$184,172.26. The trade was a 90.33% decrease in their position. Also, Director Nicolas Hien sold 4,131 shares of the business's stock in a transaction on Friday, June 13th. The shares were sold at an average price of C$192.31, for a total transaction of C$794,433.02. 2.23% of the stock is currently owned by insiders.

Dollarama Company Profile

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.

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