"Dollar stores" are coming to Europe

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"Dollar stores" are coming to Europe

13 July 2021

What readers said about this report

So-called "dollar stores" have long been the fastest-growing, most profitable part of the US retail industry. "Dollar stores" are stores that sell a wide range of goods at low prices, typically for one dollar or less. New such brick-and-mortar stores are opened at a record pace, and Amazon cannot compete with them.

Despite the low-pricing strategy, the US' leading dollar store chains have made fortunes for their shareholders.

Dollar General, the market leader, is up 10 times since it went public in 2009. Dollar Tree, the #2, is up 80 times since 1995.

Will the success of dollar stores repeat itself in Europe?

Which company will be the likely winner?

Most deep-discount retailers in Europe are in private hands, because their owners don't want to share the spoils (Aldi, Lidl, Home Bargains, Action). Today's report analyses one of the few publicly-listed European companies that lets you benefit from this retail trend.

It is probably one of the best-run businesses you have never heard of.

During the 2020s, this company could grow by a factor of 4-7 times. If the economy turns sour, inflation ramps up or the middle class hurts – it will do all the better!

While you wait for this growth story to unfold, you get to bag a dividend yield of over 5%.

And with a liquid listing on the London Stock Exchange, it's easy to buy and sell its stock.

Curious to learn more?

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|  What readers said about this report

Erik A.
September 2021

I really enjoyed the report on (company name hidden by Undervalued-Shares.com) a great piece of writing, I also believe in the thesis that these chains will grow in retail. … If all reports are from this level you could say the 49 USD is value for money. Even if it generates 1 idea per year for me to act on.

Wulf S.
August 2021

First of all I'd like to thank you for the (company name hidden by Undervalued-Shares.com) study, which of course wasn't on my radar at all, but like yourself I'm convinced that there's a lot of fun to be had with it.

Steve P.
July 2021

Also saw your new report alert on (company name hidden by Undervalued-Shares.com) - very interesting timing as I've been looking at Fix Price recently to add to my 'Dystopia Portfolio' however it seems fairly fully priced so no rush. Have read through the introduction of your report and agree that discount retailers are certainly primed to prosper.

Gene G.
July 2021

That was a very nice report on (company name hidden by Undervalued-Shares.com). Looks like a promising growth play. Thank you.

Philip T.
July 2021

The anecdotal evidence [from personal observation] supports your thesis and there are lots of similar success stories in other segments. So for me this looks like a promising candidate to initiate a small tracking position to get a foot into the door (and overcome FOMO) and then dig deeper.

Chris P.
April 2020

I especially enjoyed your reports on Porsche Automobile Holding SE, Gazprom and (company name hidden by Undervalued-Shares.com).

l  Report updates

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9 June 2022

Report Update (PDF - 0.8MB)

7 December 2021

Report Update (PDF - 0.2MB)

23 September 2021

Report Update (PDF - 0.3MB)

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