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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: Dollarama was downgraded by Neil Linsdell with a 12-month target price of $95.00. Do you think the growth story is still intact? Also, with all the M&A activity surrounding Family Dollar, why hasn't there been much, if any, reaction in Dollarama? Usually there is a bump in share price when there is news of consolidation in a sector.
Read Answer Asked by Mike on August 25, 2014
Q: Hi,
What is your current opinion on DOL (Dollarama)? I currently hold DOL and AYA for consumer discretionary exposure and ATD.B and CCL.B for consumer staples coverage. If you were to switch DOL for another Consumer Discretionary, what alternative(s) would you suggest? ( with a 20-yr time frame) Thank you.
Read Answer Asked by Mike on June 25, 2014
Q: Regarding Dollarama (DOL). I generally like to let my winners run, especially if they are still trading at attractive valuations and I have had a good run with Dollarama however its now trading at 22x 2015 earnings estimates and 19x next fiscal year's earnings estimates.

Do you think its being too cute selling on any additional move up hoping for a pullback close to the $90 level?

I figure yesterday's move in the share price had everything to do with Icahn taking a position in Family Dollar and a bit of last weeks, move was based on the report that Dollarama would make a good fit for one of the dollar stores in the States.
Read Answer Asked by john on June 10, 2014