Dollarama (OTCMKTS:DLMAF) Shares Gap Down – Time to Sell?

Dollarama Inc. (OTCMKTS:DLMAF) gapped down prior to trading on Friday . The stock had previously closed at $125.32, but opened at $121.01. Dollarama shares last traded at $121.01, with a volume of 487 shares traded.

Analyst Ratings Changes

Several brokerages have issued reports on DLMAF. Canadian Imperial Bank of Commerce restated an “outperform” rating on shares of Dollarama in a research report on Friday, June 12th. BMO Capital Markets reissued an “outperform” rating on shares of Dollarama in a research note on Friday, June 12th. Ventum Financial upgraded Dollarama to a “strong-buy” rating in a report on Thursday, August 20th. Finally, Scotiabank reaffirmed an “outperform” rating on shares of Dollarama in a research report on Friday, June 12th. Five analysts have rated the stock with a Strong Buy rating, five have given a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat, Dollarama has a consensus rating of “Buy”.

Dollarama Price Performance

The firm has a market capitalization of $32.51 billion and a P/E ratio of 45.70. The stock’s 50 day simple moving average is $132.38 and its 200 day simple moving average is $131.74. The company has a debt-to-equity ratio of 3.96, a quick ratio of 0.70 and a current ratio of 1.57.

Dollarama (OTCMKTS:DLMAF) last posted its quarterly earnings results on Thursday, June 11th. The company reported $0.77 earnings per share for the quarter, beating the consensus estimate of $0.72 by $0.05. Dollarama had a net margin of 17.65% and a return on equity of 94.77%. The firm had revenue of $1.36 billion during the quarter, compared to the consensus estimate of $1.34 billion. As a group, analysts expect that Dollarama Inc. will post 3.68 earnings per share for the current fiscal year.

About Dollarama

Dollarama Inc is a Canadian value retailer that operates a chain of stores offering a broad assortment of everyday consumer products at fixed, low price points. Its merchandise includes general merchandise, household supplies, seasonal items, toys, stationery, party goods, hardware, kitchen products, and select food and convenience products.

Founded in 1992, Dollarama has expanded into one of Canada’s largest discount-store networks, serving communities across the country through stores in all provinces and territories.