Dollar General (NYSE:DG) Shares Gap Up After Better-Than-Expected Earnings

Dollar General Co. (NYSE:DGGet Free Report) gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $158.17, but opened at $166.12. Dollar General shares last traded at $159.53, with a volume of 2,298,455 shares traded.

The company reported $1.83 earnings per share for the quarter, topping the consensus estimate of $1.74 by $0.09. The company had revenue of $9.86 billion for the quarter, compared to analysts’ expectations of $9.77 billion. Dollar General had a return on equity of 31.68% and a net margin of 4.91%. The business’s quarterly revenue was down 3.4% compared to the same quarter last year. During the same period in the previous year, the business posted $2.96 earnings per share.

Dollar General Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, April 23rd. Shareholders of record on Tuesday, April 9th will be given a dividend of $0.59 per share. This represents a $2.36 dividend on an annualized basis and a yield of 1.54%. Dollar General’s dividend payout ratio is presently 27.16%.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on the company. upgraded Dollar General from a “sell” rating to a “hold” rating in a report on Wednesday, February 14th. Wells Fargo & Company increased their price target on Dollar General from $110.00 to $122.00 and gave the stock an “equal weight” rating in a report on Wednesday, December 6th. Barclays upgraded Dollar General from an “equal weight” rating to an “overweight” rating and increased their price target for the stock from $124.00 to $154.00 in a report on Thursday, January 4th. Truist Financial increased their target price on Dollar General from $117.00 to $125.00 and gave the stock a “hold” rating in a report on Monday, December 18th. Finally, Telsey Advisory Group increased their target price on Dollar General from $135.00 to $155.00 and gave the stock a “market perform” rating in a report on Monday. Sixteen equities research analysts have rated the stock with a hold rating and nine have given a buy rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $149.08.

Check Out Our Latest Stock Analysis on DG

Hedge Funds Weigh In On Dollar General

Hedge funds have recently made changes to their positions in the business. First Manhattan Co. grew its stake in Dollar General by 447.4% in the fourth quarter. First Manhattan Co. now owns 104 shares of the company’s stock worth $26,000 after purchasing an additional 85 shares during the period. Financial Freedom LLC bought a new stake in Dollar General in the fourth quarter worth $26,000. Strategic Investment Solutions Inc. IL bought a new stake in Dollar General in the first quarter worth $28,000. Atlas Capital Advisors LLC bought a new stake in Dollar General in the second quarter worth $32,000. Finally, Resurgent Financial Advisors LLC bought a new stake in Dollar General in the second quarter worth $25,000. 90.37% of the stock is owned by hedge funds and other institutional investors.

Dollar General Stock Down 3.4 %

The company has a quick ratio of 0.13, a current ratio of 1.22 and a debt-to-equity ratio of 1.00. The company has a fifty day simple moving average of $139.83 and a 200 day simple moving average of $128.44. The firm has a market capitalization of $33.53 billion, a P/E ratio of 18.20, a P/E/G ratio of 2.95 and a beta of 0.41.

About Dollar General

(Get Free Report)

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.

Further Reading

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