Dollarama (TSE:DOL) Stock Price Crosses Above 200-Day Moving Average - What's Next?

Key Points

• Dollarama's share price has recently surpassed its 200-day moving average, reaching a last traded price of C$189.32.
• Analysts have mixed views on the stock, with a consensus rating of "Moderate Buy" and target prices ranging from C$195.00 to C$212.00.
• The company announced a quarterly dividend of $0.1058, yielding 0.2%, with a low dividend payout ratio of 8.77% indicating room for growth.

Dollarama Inc. (TSE:DOL - Get Free Report)'s share price passed above its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of C$174.82 and traded as high as C$189.37. Dollarama shares last traded at C$189.32, with a volume of 476,038 shares changing hands.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on the stock. Stifel Nicolaus raised their price objective on shares of Dollarama from C$162.50 to C$190.00 in a research note on Thursday, June 12th. CIBC dropped their price objective on shares of Dollarama from C$204.00 to C$199.00 and set a "neutral" rating on the stock in a research note on Thursday, August 28th. TD Securities raised their price objective on shares of Dollarama from C$185.00 to C$210.00 and gave the company a "buy" rating in a research note on Thursday, June 12th. Scotiabank dropped their price objective on shares of Dollarama from C$210.00 to C$205.00 and set an "outperform" rating on the stock in a research note on Thursday, August 28th. Finally, Desjardins set a C$205.00 price target on shares of Dollarama and gave the company a "buy" rating in a research report on Thursday, August 21st. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, Dollarama currently has a consensus rating of "Moderate Buy" and a consensus price target of C$199.42.

Dollarama Price Performance

The business's fifty day moving average is C$189.95 and its 200-day moving average is C$175.97. The company has a debt-to-equity ratio of 369.36, a current ratio of 1.43 and a quick ratio of 0.08. The firm has a market cap of C$52.15 billion, a PE ratio of 41.86, a P/E/G ratio of 1.93 and a beta of 0.13.

Dollarama Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 8th. Investors of record on Friday, August 8th were issued 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 was Friday, July 11th. Dollarama's dividend payout ratio (DPR) is 8.77%.

Insider Transactions at Dollarama

In related news, Director John Assaly sold 9,089 shares of the firm's stock in a transaction dated 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 completion of the sale, the director owned 973 shares in the company, valued at approximately C$184,172.26. This trade represents a 90.33% decrease in their ownership of the stock. Company insiders own 2.23% of the company's stock.

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.