Dollarama Long Term Investments from 2010 to 2024
| DOL Stock | CAD 144.78 0.99 0.69% |
Long Term Investments | First Reported 2019-10-31 | Previous Quarter 342.9 M | Current Value 1.1 B | Quarterly Volatility 196.5 M |
Check Dollarama financial statements over time to gain insight into future company performance. You can evaluate financial statements to find patterns among Dollarama's main balance sheet or income statement drivers, such as Depreciation And Amortization of 383.7 M, Interest Expense of 180.7 M or Selling General Administrative of 513.3 M, as well as many indicators such as Price To Sales Ratio of 2.6, Dividend Yield of 0.0046 or PTB Ratio of 77.01. Dollarama financial statements analysis is a perfect complement when working with Dollarama Valuation or Volatility modules.
Dollarama | Long Term Investments |
Pair Trading with Dollarama
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Dollarama position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Dollarama will appreciate offsetting losses from the drop in the long position's value.The ability to find closely correlated positions to Dollarama could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Dollarama when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Dollarama - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Dollarama to buy it.
The correlation of Dollarama is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Dollarama moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Dollarama moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Dollarama can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Other Information on Investing in Dollarama Stock
Dollarama financial ratios help investors to determine whether Dollarama Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Dollarama with respect to the benefits of owning Dollarama security.