Assessing Dollar Gen: Insights From 23 Financial Analysts

In the last three months, 23 analysts have published ratings on Dollar Gen DG, offering a diverse range of perspectives from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 4 15 1 0
Last 30D 0 0 1 0 0
1M Ago 2 3 11 1 0
2M Ago 0 1 1 0 0
3M Ago 1 0 2 0 0

In the assessment of 12-month price targets, analysts unveil insights for Dollar Gen, presenting an average target of $116.09, a high estimate of $170.00, and a low estimate of $85.00. Experiencing a 21.1% decline, the current average is now lower than the previous average price target of $147.14.

price target chart

Deciphering Analyst Ratings: An In-Depth Analysis

The standing of Dollar Gen among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Karen Short Melius Research Announces Hold $85.00 -
Karen Short Barclays Lowers Overweight $102.00 $154.00
Edward Kelly Wells Fargo Lowers Equal-Weight $90.00 $130.00
Koji Ikeda B of A Securities Lowers Underperform $95.00 $118.00
Matthew Boss JP Morgan Lowers Neutral $97.00 $130.00
Michael Lasser UBS Lowers Buy $108.00 $155.00
Kelly Bania BMO Capital Lowers Market Perform $90.00 $130.00
Kate McShane Goldman Sachs Lowers Buy $122.00 $169.00
Joseph Feldman Telsey Advisory Group Lowers Market Perform $103.00 $168.00
Scot Ciccarelli Truist Securities Lowers Hold $94.00 $130.00
Bobby Griffin Raymond James Lowers Outperform $120.00 $150.00
Michael Montani Evercore ISI Group Lowers In-Line $100.00 $139.00
Anthony Chukumba Loop Capital Lowers Hold $90.00 $130.00
Chuck Grom Gordon Haskett Announces Hold $90.00 -
Simeon Gutman Morgan Stanley Lowers Equal-Weight $100.00 $170.00
Joseph Feldman Telsey Advisory Group Maintains Outperform $168.00 $168.00
Edward Kelly Wells Fargo Lowers Equal-Weight $130.00 $145.00
Scot Ciccarelli Truist Securities Lowers Hold $130.00 $135.00
Joseph Feldman Telsey Advisory Group Maintains Outperform $168.00 $168.00
Anthony Chukumba Loop Capital Lowers Hold $130.00 $140.00
Chris Graja Argus Research Lowers Buy $170.00 $175.00
Michael Montani Evercore ISI Group Lowers In-Line $148.00 $151.00
Anthony Chukumba Loop Capital Raises Hold $140.00 $135.00

Key Insights:

  • Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Dollar Gen. This insight gives a snapshot of analysts' perspectives on the current state of the company.
  • Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Dollar Gen compared to the broader market.
  • Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Dollar Gen's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

To gain a panoramic view of Dollar Gen's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Dollar Gen analyst ratings.

All You Need to Know About Dollar Gen

With more than 20,000 locations, Dollar General's banner is nearly ubiquitous across the rural United States. Dollar General serves as a convenient shopping destination for fill-in store trips, with its value proposition most relevant to consumers in small communities with a dearth of shopping options. The retailer operates a frugal store of about 7,500 square feet and primarily offers an assortment of branded and private-label consumable items (80% of net sales) such as paper and cleaning products, packaged and perishable food, tobacco, and health and beauty items at low prices. Dollar General also offers a limited assortment of seasonal merchandise, home products, and apparel. The firm sells most items at a price point of $10 or less.

A Deep Dive into Dollar Gen's Financials

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Dollar Gen's revenue growth over a period of 3 months has been noteworthy. As of 31 July, 2024, the company achieved a revenue growth rate of approximately 4.23%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Staples sector.

Net Margin: Dollar Gen's net margin is impressive, surpassing industry averages. With a net margin of 3.66%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Dollar Gen's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 5.25%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Dollar Gen's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 1.19%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Dollar Gen's debt-to-equity ratio stands notably higher than the industry average, reaching 2.51. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

The Core of Analyst Ratings: What Every Investor Should Know

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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