Although shares may appear cheaper after the dip, I'd still argue that given the countless number of headwinds, the stock is still expensive and has much further to fall. The stock trades at a 26.84 trailing P/E, a 4.2 TTM P/S, and a 23.5 TTM P/CF. This is still a valuation that's indicative of a growth name that's firing on all cylinders. Given the drastic SSSG slowdown and the potential for further disruption, I'd recommend investors avoid buying the dip until the dust settles at the low $30 levels. Foolish takeaway It's been an excellent run for Dollarama, but the industry is about to get crowded. Management is going to need to spend more to drive more traffic into its stores, especially as competitors like Miniso roll out new locations across the country. The easy days are long gone, so I suspect gross margins will be further pressured or ample investments will need to be remade to reinvent the in-store experience. That's money that wouldn't need to have been spent five years ago.