Dollarama just downgraded at TD Securities, here’s why

TD Securities downgraded Dollarama to Hold from Buy with an unchanged price target of C$105. The company’s top- and bottom-line growth should moderate following two years of outsized traffic gains as inflationary pressure accelerated traffic to its value proposition, the analyst tells investors in a research note. The firm says easing inflation appears to be mitigating price increases, with Dollarama being a “price follower.”