Zacks Investment Research downgraded shares of Dollar Tree (NASDAQ:DLTR) from a buy rating to a hold rating in a report issued on Tuesday, Zacks.com reports.

According to Zacks, “Dollar Tree has outperformed the industry in the past six months, driven by strategic initiatives like improving store productivity and store expansion. Further, the company delivered top and bottom line beat in fourth-quarter fiscal 2018. With this, it reverted to positive sales surprise after four straight misses, with second consecutive earnings beat. Moreover, a robust comps trend reflects strength in Dollar Tree and Family Dollar banners, which should drive growth. Notably, the company expects store-optimization measures to lift comps by up to 1.5%, after its implementation by the end of fiscal 2019. However, management issued a muted earnings view for first-quarter and fiscal 2019. Further, the company reported fourth straight quarter of soft margins due to persistent cost pressures arising from higher domestic freight and investments in store wages. This might persist in fiscal 2019.”

Several other research firms also recently issued reports on DLTR. Credit Suisse Group lifted their price target on shares of Dollar Tree from $105.00 to $110.00 and gave the company an outperform rating in a research report on Thursday, March 7th. BidaskClub downgraded shares of Dollar Tree from a buy rating to a hold rating in a research report on Wednesday, February 27th. Gordon Haskett raised shares of Dollar Tree from an accumulate rating to a buy rating and set a $102.07 price target for the company in a research report on Thursday, March 21st. ValuEngine downgraded shares of Dollar Tree from a buy rating to a hold rating in a research report on Monday, April 1st. Finally, Jefferies Financial Group lifted their price target on shares of Dollar Tree from $94.00 to $100.00 and gave the company a hold rating in a research report on Monday, April 8th. Twelve research analysts have rated the stock with a hold rating and sixteen have given a buy rating to the company. The stock has an average rating of Buy and an average price target of $102.89.

NASDAQ DLTR opened at $98.75 on Tuesday. Dollar Tree has a 12-month low of $78.78 and a 12-month high of $111.61. The company has a debt-to-equity ratio of 0.76, a current ratio of 2.05 and a quick ratio of 0.36. The firm has a market capitalization of $23.69 billion, a P/E ratio of 18.12, a price-to-earnings-growth ratio of 1.94 and a beta of 0.44.

Dollar Tree (NASDAQ:DLTR) last posted its quarterly earnings results on Wednesday, March 6th. The company reported $1.93 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.92 by $0.01. Dollar Tree had a negative net margin of 6.97% and a positive return on equity of 18.21%. The business had revenue of $6.21 billion during the quarter, compared to the consensus estimate of $6.19 billion. During the same quarter last year, the firm posted $1.89 EPS. Dollar Tree’s revenue was down 2.4% compared to the same quarter last year. On average, sell-side analysts expect that Dollar Tree will post 5.23 earnings per share for the current year.

In other news, CEO Gary M. Philbin sold 9,614 shares of Dollar Tree stock in a transaction on Wednesday, April 24th. The stock was sold at an average price of $110.00, for a total transaction of $1,057,540.00. Following the sale, the chief executive officer now directly owns 84,665 shares in the company, valued at approximately $9,313,150. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Michael A. Witynski sold 6,380 shares of Dollar Tree stock in a transaction on Monday, March 11th. The stock was sold at an average price of $102.83, for a total value of $656,055.40. Following the sale, the chief operating officer now owns 12,381 shares in the company, valued at $1,273,138.23. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 43,561 shares of company stock worth $4,537,642. Company insiders own 1.50% of the company’s stock.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. 22NW LP raised its stake in shares of Dollar Tree by 62.2% during the 1st quarter. 22NW LP now owns 12,000 shares of the company’s stock worth $1,260,000 after purchasing an additional 4,600 shares during the period. Skandinaviska Enskilda Banken AB publ raised its stake in shares of Dollar Tree by 1.0% during the 1st quarter. Skandinaviska Enskilda Banken AB publ now owns 43,920 shares of the company’s stock worth $4,613,000 after purchasing an additional 428 shares during the period. Tobam bought a new stake in shares of Dollar Tree during the 1st quarter worth $4,870,000. Castle Hook Partners LP bought a new stake in shares of Dollar Tree during the 1st quarter worth $1,504,000. Finally, Cresset Asset Management LLC bought a new stake in shares of Dollar Tree during the 1st quarter worth $82,000. Institutional investors own 92.86% of the company’s stock.

About Dollar Tree

Dollar Tree, Inc operates discount variety retail stores. It operates through two segments, Dollar Tree and Family Dollar. The Dollar Tree segment offers merchandise at the fixed price of $1.00. It provides consumable merchandise, including candy and food, and health and beauty care, as well as everyday consumables, such as household paper and chemicals, and frozen and refrigerated food; variety merchandise comprising toys, durable housewares, gifts, stationery, party goods, greeting cards, softlines, and other items; and seasonal goods that include Valentine's Day, Easter, Halloween, and Christmas merchandise.

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