RE:Insiders Continue to Sell at Stretched Levels in the 90s.UglyTruth78 wrote: More selling are selling out of Dollarama at this level. I didn`t realise there has been net selling of 13.7M dollars worth of selling within the last year.
Trading at greater than 4x sales and a trailing P/E north of 28x is just too rich. There are only so many places in Canada where you can expand. The saturation rate is going to sap the growth rate going forward and the EPS growth can only be propped up by share buybacks for so long.
I have to agree. I love this company, however with debt/equity levels at 4.4x, I had to sell. Buying back shares at 28x P/E isn't helping shareholders but hurting them. If they keep this up equity will eventually go to zero.
What's keeping them afloat right now is their income. Should that start to take a hit, DOL could be in trouble.