Dollar General (NYSE:DG) Trading Up 6.5% Following Earnings Beat

Dollar General Corporation (NYSE:DG)’s stock price was up 6.5% on Friday after the company announced better than expected quarterly earnings. The stock traded as high as $133.75 and last traded at $133.3770. Approximately 6,387,615 shares traded hands during mid-day trading, an increase of 77% from the average daily volume of 3,600,476 shares. The stock had previously closed at $125.29.

The company reported $1.28 EPS for the quarter, beating the consensus estimate of $0.95 by $0.33. Dollar General had a return on equity of 17.97% and a net margin of 2.86%.The company had revenue of $10.65 billion for the quarter, compared to analyst estimates of $10.60 billion. During the same period last year, the company posted $0.89 earnings per share. The firm’s revenue was up 4.6% compared to the same quarter last year. Dollar General has set its FY 2025 guidance at 6.300-6.500 EPS.

Dollar General Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, January 20th. Shareholders of record on Tuesday, January 6th will be given a $0.59 dividend. The ex-dividend date of this dividend is Tuesday, January 6th. This represents a $2.36 annualized dividend and a yield of 1.8%. Dollar General’s dividend payout ratio (DPR) is 43.70%.

Analyst Ratings Changes

A number of analysts have recently issued reports on the stock. Barclays lifted their price objective on shares of Dollar General from $119.00 to $127.00 and gave the company an “overweight” rating in a research note on Friday, August 29th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Dollar General in a research note on Monday. Truist Financial upped their price objective on shares of Dollar General from $120.00 to $129.00 and gave the company a “hold” rating in a research report on Friday. Telsey Advisory Group reaffirmed a “market perform” rating and set a $130.00 target price (up from $123.00) on shares of Dollar General in a research report on Thursday. Finally, Evercore ISI set a $130.00 price target on Dollar General in a research note on Friday. One investment analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, fourteen have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $124.78.

Hedge Funds Weigh In On Dollar General

A number of large investors have recently bought and sold shares of DG. Caldwell Trust Co bought a new stake in shares of Dollar General during the 2nd quarter valued at approximately $25,000. Elevation Point Wealth Partners LLC acquired a new stake in Dollar General in the second quarter valued at approximately $25,000. Atlantic Union Bankshares Corp bought a new stake in shares of Dollar General during the second quarter worth $26,000. Root Financial Partners LLC acquired a new position in shares of Dollar General during the third quarter worth $26,000. Finally, Peoples Financial Services CORP. bought a new position in shares of Dollar General in the 3rd quarter valued at $35,000. Institutional investors own 91.77% of the company’s stock.

Dollar General Stock Performance

The company has a market cap of $29.57 billion, a price-to-earnings ratio of 24.79, a P/E/G ratio of 2.70 and a beta of 0.27. The company has a debt-to-equity ratio of 0.71, a quick ratio of 0.27 and a current ratio of 1.25. The company has a fifty day moving average of $103.07 and a two-hundred day moving average of $107.20.

About Dollar General

Dollar General Corporation, a discount retailer, provides various merchandise products in the southern, southwestern, midwestern, and eastern United States. It offers consumable products, including paper and cleaning products, such as paper towels, bath tissues, paper dinnerware, trash and storage bags, disinfectants, and laundry products; packaged food comprising cereals, pasta, canned soups, fruits and vegetables, condiments, spices, sugar, and flour; and perishables that include milk, eggs, bread, refrigerated and frozen food, beer, and wine.