Retail investors and funds holding dollarama stock face narrower upside and mixed analyst signals, Friday at 9: 00 am ET, after National Bank Financial cut its price target to C$225. 00. The move reduces projected gains for holders and follows a wave of target revisions from TD Securities, Scotiabank and other firms.
Investor impact: National Bank Financial cut hits Dollarama Stock upside
Shareholders saw the stock trade lower on the market reaction: Dollarama traded down C$3. 64 to C$193. 97 during trading on Friday, with a trading volume of 264, 696 shares versus an average volume of 656, 757 shares. National Bank Financial’s new C$225. 00 target implied about 16. 00% upside from that trading level, narrowing the range for near-term gains for existing holders.
Analyst moves from TD Securities, Scotiabank, BMO reshape price-target landscape
Other analyst actions reshaped expectations across the board: TD Securities raised its target from C$210. 00 to C$235. 00, Scotiabank lifted its target from C$205. 00 to C$220. 00, and BMO Capital Markets increased its objective from C$215. 00 to C$222. 00. Additional revisions included Canaccord Genuity Group moving its target from C$198. 00 to C$207. 00 and Canadian Imperial Bank of Commerce increasing its target from C$199. 00 to C$212. 00. These shifts sit alongside technical price markers for dollarama stock, including a one-year low of C$147. 00, a one-year high of C$209. 96, a 50-day moving average of C$195. 77 and a 200-day moving average of C$192. 13.
TD Cowen’s Brian Morrison backs Buy on Dollarama with C$235. 00 target
Brian Morrison at TD Cowen maintained a Buy rating with a C$235. 00 price target, citing resilient same-store sales in Canada and expansion activity in Latin America. Morrison highlighted build-outs in Mexico and Australia and rising free cash flow as supports for share repurchases and dividends tied to international growth. Insider activity also showed a change in sentiment: 22 corporate insiders increased selling in the most recent quarter. The company last reported quarterly results on Thursday, December 11th, with C$1. 17 in earnings per share and revenue of C$1. 91 billion, while posting a net margin of 18. 59% and a return on equity of 99. 41%.
If Dollarama’s next reported results diverge materially from current EPS projections, analysts are likely to re-evaluate price targets and ratings.
