Dollar Tree (DLTR) Raised to Buy at Zacks Investment Research
Zacks Investment Research upgraded shares of Dollar Tree (NASDAQ:DLTR) from a hold rating to a buy rating in a report issued on Tuesday. Zacks Investment Research currently has $104.00 price objective on the stock.
According to Zacks, “Dollar Tree surpassed the industry in the past month gaining strength from its strategic initiatives that include improving store productivity as well as store expansion. The company’s continued restructuring and expansion initiatives, as evident from steady store openings and improvement of distribution centers, should keep driving revenues. Notably, the company opened its 15,000th store and 23rd distribution center in July. Moreover, we believe that focus on consumables and discretionary categories and the everyday low-price model are factors that are expected to drive traffic. However, the company’s dismal top and bottom line trend in recent quarters and a dismal outlook remain concerns. Further, deleverage in SG&A rate owing to higher labor expenses, store payroll costs and utilities expenses is likely to impact margins, which remained soft in the fiscal first quarter. Nonetheless, estimate for fiscal 2018 is trending up lately.”
Several other equities analysts have also commented on DLTR. ValuEngine raised shares of Dollar Tree from a sell rating to a hold rating in a report on Friday, June 8th. Moffett Nathanson lowered shares of Dollar Tree from a buy rating to a neutral rating in a report on Friday, May 11th. BidaskClub raised shares of Dollar Tree from a hold rating to a buy rating in a report on Saturday, June 16th. Telsey Advisory Group decreased their target price on shares of Dollar Tree from $105.00 to $100.00 and set an outperform rating on the stock in a report on Friday, June 1st. Finally, Oppenheimer decreased their target price on shares of Dollar Tree from $108.00 to $92.00 and set an outperform rating on the stock in a report on Tuesday, June 5th. Ten research analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has given a strong buy rating to the stock. The company presently has a consensus rating of Buy and an average target price of $105.99.
Dollar Tree (NASDAQ:DLTR) last released its earnings results on Thursday, May 31st. The company reported $1.19 EPS for the quarter, missing the consensus estimate of $1.23 by ($0.04). Dollar Tree had a net margin of 7.44% and a return on equity of 18.23%. The firm had revenue of $5.55 billion during the quarter, compared to the consensus estimate of $5.56 billion. During the same period in the prior year, the business earned $0.98 earnings per share. Dollar Tree’s quarterly revenue was up 5.0% compared to the same quarter last year. equities research analysts anticipate that Dollar Tree will post 5.54 earnings per share for the current year.
In related news, Director Thomas E. Whiddon purchased 2,250 shares of Dollar Tree stock in a transaction dated Monday, June 18th. The shares were bought at an average cost of $88.78 per share, for a total transaction of $199,755.00. Following the purchase, the director now owns 26,121 shares in the company, valued at approximately $2,319,022.38. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Lemuel E. Lewis purchased 2,500 shares of Dollar Tree stock in a transaction dated Monday, June 4th. The stock was bought at an average price of $80.44 per share, for a total transaction of $201,100.00. Following the completion of the purchase, the director now owns 17,654 shares in the company, valued at approximately $1,420,087.76. The disclosure for this purchase can be found here. Company insiders own 1.50% of the company’s stock.
Institutional investors and hedge funds have recently bought and sold shares of the company. CenterStar Asset Management LLC acquired a new stake in Dollar Tree during the 1st quarter worth approximately $102,000. Signet Financial Management LLC acquired a new stake in Dollar Tree during the 2nd quarter worth approximately $121,000. grace capital acquired a new stake in Dollar Tree during the 2nd quarter worth approximately $153,000. Dupont Capital Management Corp boosted its position in Dollar Tree by 77.0% during the 1st quarter. Dupont Capital Management Corp now owns 1,632 shares of the company’s stock worth $155,000 after buying an additional 710 shares during the period. Finally, Cerebellum GP LLC boosted its position in Dollar Tree by 58.9% during the 2nd quarter. Cerebellum GP LLC now owns 2,120 shares of the company’s stock worth $180,000 after buying an additional 786 shares during the period. Institutional investors own 90.46% of the company’s stock.
Dollar Tree Company Profile
Dollar Tree, Inc operates discount variety retail stores in the United States and Canada. 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 products, as well as everyday consumables, such as household paper and chemicals, and frozen and refrigerated food; various merchandise comprising toys, durable housewares, gifts, stationery, party goods, greeting cards, softlines, and other items; and seasonal goods, which include Valentine's Day, Easter, Halloween, and Christmas merchandise.
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