There are thousands of TSX stocks out there, and even when you nail it down to just the TSX60, there’s still so much to consider. So today, we’re going to skip all that and instead focus on a stock that’s been around for years. One stock that remains so strong no matter the economic environment, and what’s more, continues to grow over and over again. That stock, is Dollarama (TSX:DOL).
Proven growth, with global expansion
Dollarama stock belongs on pretty much any buy list. That’s because this TSX stock has shown again and again that it can grow sales consistently along with earnings in Canada. Even while building international legs. This was demonstrated yet again during its second quarter of 2026.
Sales grew 10.3% in the quarter with comparable sales up 4.9%, driven by even more shoppers with slightly bigger baskets. And this is while it’s still executing well at home, targeting 70 to 80 new Canadian stores this year and expanding abroad.
Beyond borders
That expansion has included not one, but two more international arms. Its Latin America store Dollarcity saw 16.4% in sales growth, opening its first store in Mexico. This market now provides massive long-term opportunities.
But now investors have even more reason to be excited. The TSX stock recently acquired The Reject Shop from Australia, adding 395 stores marking a second international pillar. The integration is modestly margin-dilutive for now, but the new growth opportunity and scale is massive. Not just now, but for decades to come.
Staying strong
Despite all this spending on growth, the TSX stock remains fundamentally strong. Dollarama stock remains one of the most profitable retailers in Canada. In the second quarter, earnings before interest, taxes, depreciation and amortization (EBITDA) expanded to 34.1%, with its operating margin at 28%. It’s simply one many global peers cannot match.
Furthermore, cash flow remained strong, allowing it to buy back 932,000 shares in the second quarter. Yet with debt low, it has room to buy more shares, and increase dividends and stores. And through all this? Dollarama stock thrives in any economy. Value retailers hold up in downturns, with consumers merely buying more in better economic environments. In fact, shares have surged about 40% in the last year. So despite trading at 41 times earnings, DOL stock remains a top long-term buy.
Bottom line
Dollarama stock might be a “rich” buy, but it’s so high quality and defensive through global expansion that years from now it won’t feel that way. For long-term investors, it can serve as a core TSX stock alongside other top investments.
In fact, an excellent option today would be dollar-cost averaging, buying the stock at a regular clip. This way, over time, you might pay more, other times you’ll pay less, with the price “averaging” out. All in all, if you’re looking for a TSX60 stock you can pick up now and hold forever, Dollarama stock is simply an easy option on the TSX today that anyone should consider.
